The institutions and individuals that comprise the global development community (international aid and relief focused on development, health, humanitarian, and sustainability activities) have learned that the White House is planning to cut $4 billion out of the AID etc budget as early as today. I honestly don't know what percent this reduction represents of the total budget but my many years working with US-based international development organizations provides me with an understanding that this could cause pain for all. And while I am disturbed that the welfare of those in countries with few resources is not a priority or even interest of this Administration and its constituents I am aware that the intent does not necessarily translate into action. Hence the subject of today's blog: what are the options for boards when they are provided the news that their biggest funders are "pulling out".
Devex (a social enterprise and media platform for the global development community) offered analyses of what are the options noting that I believe these options are worth understanding by all nonprofit boards. The reality that federal, state and local governments are, despite "the best economy ever created", looking actively for ways to reduce their experiences. The international community is not the only sector that will face these types of possible actions.
So, here's what a recent article offers as 3 options noting that ahead of action, a board, informed by staff, should be really clear on what is the situation and what goes on behind the situation (e.g. motives, intent).