[Op-Ed] Puerto Rico’s safety net on the brink of collapse

Imagine waking up tomorrow to find that your community health center has closed, that homework help for your children has disappeared, or that there is no longer support to find a job or dignified housing. That is the reality hundreds of thousands of people in Puerto Rico could face if the nonprofit ecosystem collapses, as its sustainability is now gravely threatened by the potential loss of federal funding.

The 2022 Nonprofit Organizations (NPO) Study, conducted by Filantropía Puerto Rico and Estudios Técnicos, shows that around 700,000 people receive services from these entities. This amounts to one in five people who rely on essential services such as health, education, social services, culture, and sports. Over the years, nonprofits have become key collaborators with the State in expanding services, especially in communities impacted by poverty, community violence, and other social conditions.

Currently, these organizations face a complex crossroads due to changes imposed by the federal government. In recent days, non-profit entities such as the Urban Institute, Hispanic Federation, CASA, and Grupo Nexos have shared data and experiences on how these changes affect funding and, consequently, community services.

The analysis revealed that 67% of these organizations in the United States are at risk of being unable to sustain operations if government funding stops. In Puerto Rico, that figure rises to 84%. In this same scenario, the projected operating deficit for local organizations would reach nearly 31%.

We cannot look at these figures without questioning what they mean for a country where 40% of the population lives below the poverty line. Many of those who depend on nonprofit services are families led by women and older adults, with children and youth, as well as individuals with health conditions or problematic substance use.

Most of these organizations operate with minimal structures and no guarantees of continuity. The 2022 NPO study reports that 27% have faced cash-flow problems due to delays in fund disbursement. Among those that receive government funding, this figure rises to 44%. Even so, their presence is constant: they are in schools, public housing projects, neighborhoods, and health centers, among other spaces.

Their impact goes far beyond providing services. They employ approximately 12.7 million people in the United States, representing around 10% of private-sector jobs.

These figures do not reveal a new reality of need. What has changed is the magnitude of the risk. We are facing the possible collapse of an ecosystem that sustains much of the country’s collective well-being. Nonprofit organizations, in many instances, constitute the scaffolding through which communities gain access to a more dignified life.

We call on the government and the private sector to join in the search for solutions, contributing their resources to ensure the continuity of a sector that is vital for Puerto Rico.

Originally published in El Nuevo Día.