A Working Group on State Grants to Nonprofits

The Minnesota Council of Nonprofits (MCN) is convening a cross-sector working group aspiring to equitable state grantmaking for all, by focusing on the lived experiences and expertise of rural-based, small, and BIPOC-led and –serving nonprofits.

Working Group Membership and Timeline

The working group is made up of 35 members, including 15 staff engaged in disbursement of state grant funds, two legislators, and 20 nonprofit leaders from across the state. Nonprofits reporting the most significant barriers (small, rural, and BIPOC-led and -serving nonprofits) represent the majority of the nonprofit members. The working group will meet three times between September and October 2023, and any tangible outputs will be made available in following months.
 

Rationale

Each year, Minnesota’s state government invests hundreds of millions of dollars in the nonprofit sector. Government relies on the expertise and community knowledge of charitable organizations to ensure all Minnesotans have basic needs met and opportunities to thrive.

From conversations with nonprofit leaders, research done in partnership with The Humphrey School of Public Affairs, and research led by Minnesota Management and Budget, we know that a number of eligible nonprofits currently face significant barriers in accessing state funding. Rural-based, small, and/or BIPOC-serving nonprofits tend to receive disproportionately less state funding than larger, established, and/or Twin Cities-based nonprofits. We also know that state agencies face their own obstacles such as limited funding for grants administration, lack of technology to support grants management, and more.
 

Response

The state is investing in its capacity to expand access to state funding for eligible groups, including specific work to address inequities. MCN is also working to ensure that nonprofit expertise and lived experience are incorporated into policies and practices related to state grantmaking. In Fall 2023, MCN will convene a working group as a unique opportunity to join individuals who share a goal of strengthening Minnesota communities through mission-driven work but often have few opportunities to work directly together.

[Related: Learn more about ongoing State Grant Reform efforts in Minnesota]
 

Working Group Goals

MCN is seeking a broad range of perspectives and experiences to engage in a productive conversation in order to:

• Strengthen relationships across sectors, including between nonprofit organizations and state agencies;
• Surface issues and opportunities facing nonprofit organizations, state agencies, and legislators regarding state grantmaking processes and policies; and
• Ensure the experiences and priorities of nonprofit organizations are influencing state-led reform efforts regarding grants management, particularly those who have been marginalized by current practices (rural, BIPOC-led and/or -serving groups).

 
Working Group Outputs To Be Determined, But Could Include

• Co-discovery of potential recommendations for best practices and reforms
• Recommendations for a possible state agency wide grants management technology platform
• Recommendations for the Office of Grants Management
• Resource guide for state agencies seeking to implement equitable practices in grantmaking
• Workshops for major MCN conferences and nonprofit professional development opportunities