Florida’s nonprofits step into the policy arena

Florida’s nonprofit sector is increasingly stepping into policy conversations that shape its ability to serve communities — not just through advocacy on specific bills, but by making sure lawmakers understand the scope, scale, and fiscal realities of the work nonprofits do every day.

Ahead of this year’s Nonprofit Day at the Capitol, leaders are focused on expanding engagement across the sector, bringing first-time participants into the process, and flagging how broader debates, including proposed changes to property taxes, could ripple through local services and contracts.

The following Q&A explores what’s driving that effort, who’s at the table, and what nonprofits want elected officials to understand as Session unfolds.

What is the Florida Nonprofit Alliance and how do you serve nonprofits throughout Florida?

FNA: The Florida Nonprofit Alliance is the state association for Florida’s nonprofit sector. We strengthen the nonprofit sector through research, policy advocacy, and practical capacity support—so they can deliver results in every county. We exist to strengthen the organizations that strengthen Florida communities.

How do nonprofits contribute to Florida’s quality of life and economy, and where is their impact most clear?

FNA: Nonprofits are everyday infrastructure—housing, health and behavioral health, workforce supports, disaster recovery, libraries, arts, and more. They’re also a major economic engine: Florida nonprofits employ 456,016 people—on par with construction and manufacturing industries. When nonprofits are strong, communities are healthier, safer, and more resilient.

What are the biggest capacity challenges nonprofits face right now, and what does it take to remain effective and sustainable?

FNA: Demand is up while costs rise. Three in five nonprofits report higher costs, and one in three—about half in 2025—served more clients, compounded by federal changes and the 2024 hurricanes. To stay effective, nonprofits need predictable, multi‑year funding; prompt reimbursements; fair indirect cost coverage; and simpler state grants and contracts that reduce administrative burden. Resilience alone doesn’t sustain service delivery—predictable funding does.

What else is FNA watching during the 2026 Session and would like to remind legislators and those in the process?

FNA: Proposed homestead changes risk a 14% drop in city general funds. That forces service cuts or a near‑doubling of millage and creates risks to bond ratings and debt capacity. Even if nonprofits are tax‑exempt, they feel the shock quickly: 22% of nonprofits receive local contracts and grants, so when local revenue shrinks, nonprofits lose capacity just as demand spikes—especially for housing, health, workforce, and disaster recovery. Our ask is simple: as you consider homestead changes, and we understand many Floridians have experienced significant increases in property tax bills, it is necessary to protect local revenue stability so communities don’t lose essential services, and pair any change with safeguards that keep local services and nonprofit delivery strong.  Property tax policy isn’t just a government issue—it’s a community services issue.

Looking ahead, what are the most important opportunities to strengthen Florida’s nonprofit ecosystem and its ability to serve Floridians?

FNA: Florida can lead by modernizing grants and contracts—simplify reporting and speed reimbursements—and by including nonprofits early in policy design as implementation partners.  Making these changes also allows for additional transparency, something FNA prioritizes. Small process fixes will return big dividends to Florida families, quickly. Building in prompt‑pay and fair indirect costs protects service continuity and value for taxpayers.