The Economy

ARRA includes nonprofit capacity building funds

The American Recovery and Reinvestment Act of 2009, a nationwide effort to sustain and create jobs and transform the economy to compete in the 21st century, includes funding to empower nonprofits to be part of economic recovery through the new Strengthening Communities Fund of the Department of Human Services’ Administration for Children and Families.

The SCF will also help federal, state, local, and Native American tribal governments ensure that the information and services described in the ARRA reach disadvantaged and hard-to-serve populations. Click here for more information about this new program.

The program’s focus is to build the capacity of nonprofit organizations, whether secular or faith based, to address the broad economic recovery issues present in their communities, including helping low-income individuals secure and retain employment, earn higher wages, obtain better-quality jobs and gain greater access to state and Federal benefits and tax credits, including ARRA benefits. It includes two grant programs:

Nonprofit Capacity Building Program:  This program will make one-time awards up to $1 million to experienced lead organizations to provide nonprofit organizations – or project partners – with capacity-building training, technical assistance and competitive financial assistance. At least 55 percent of the Federal funds awarded must be provided to project partners through a competitive process. The grant period for this award is 24 months. Click here to read to full program announcement for the SCF Nonprofit Capacity Building program.

State, Local and Tribal Government Capacity Building Program: This program will make one-time awards of up to $250,000 to state, city, county and Native American tribal government offices – for example, offices responsible for outreach to faith-based and community organizations or those interested in initiating such an effort – or their designees, to build the capacity of nonprofit faith-based and community organizations to better serve those in need and to increase nonprofit organizations' involvement in the economic recovery. Grantees will use program funds to provide free capacity-building services to nonprofit organizations and to build their own capacity to provide such services to nonprofits. The grant period for this award is 24 months. Click here to read the full program announcement for the SCF State, Local and Tribal Government Capacity Building Program.