Report finds millions in local funding lost or at risk from state budget cuts

EAST WENATCHEE — A new report from Our Valley Our Future (OVOF) and Thriving Together NCW details the substantial financial strain recent Washington state budget cuts are placing on public and nonprofit organizations in Chelan, Douglas, Grant and Okanogan counties.

The Washington State Government Reduction Survey found that 26 of 30 surveyed organizations — including 16 nonprofits and 10 public entities — have either lost state funding or been told their funding is at risk. The report estimates that $37.9 million in funding from state sources has been canceled or placed in jeopardy. Public sector organizations reported an average of $5.8 million in cuts or threatened cuts, while nonprofits reported an average budget reduction of 25.1%.

In some cases, organizations have been affected by both state and federal reductions. One government entity reported losing $2.6 million in state funds and another $4.1 million in federal funds, forcing budget adjustments on multiple fronts.

Survey responses indicate that the full scope of the cuts may not be realized for months or even years. “The impact has not yet been seen and will likely take months, even years to collect enough data to report on the impact,” one respondent wrote. Organizations are already taking steps to cope, including reducing programs and services, laying off staff, and using financial reserves.

The state funding analysis follows the release of a similar report earlier this year examining the effects of federal budget cuts on North Central Washington. Together, the two reports — based on public surveys posted on Thriving Together NCW’s website — offer what the organizations call a “real-time picture” of how budget reductions at both levels are affecting essential services, from education and health care to housing.

The Report on State Government Reductions in NCW is available online at thrivingtogether.org/state-government-reductions-impact. The earlier Report on Federal Government Reductions in NCW can be found at thrivingtogether.org/federal-government-reductions-impact. An Okanogan County-specific analysis is also posted at the same link.

OVOF is a nonpartisan nonprofit that engages in community outreach, visioning and planning, producing a community-generated Action Plan every five years. The group also facilitates collaborations on the region’s most pressing challenges, conducts research and publishes reports.

Thriving Together NCW, one of nine Accountable Communities of Health hubs in Washington state, works to advance health and wellbeing in the region by unifying partners, supporting collaboration and enabling systems change.