Mission Moment: State of the Sector Looks Different in 2026

‘Tis the season for the State of the Union, the State of the State and other milestones that prompt us as Americans and as Oklahomans to take stock of the last year and make plans and predictions for what’s to come. In keeping with this tradition, as the leader of Oklahoma‘s state association for nonprofit entities, I host a virtual State of the Sector each year.

Pulling facts, figures and updates together for 2026 was a notably different experience than the start of 2025.

Some things, of course, stay the same, including the fact that Oklahoma is a state of great need. We are ranked 50th in the nation in education and 49th in public health. We fall in line eighth for poverty. These problems do not occur overnight, and there is no one-size-fits-all solution to solve them. They are familiar to us and even more familiar to our neighbors who live with these issues every day.

This time last year, we were already experiencing some sweeping trends that continue today and into the foreseeable future. The economic effects of COVID, combined with historic inflation, unprecedented facility costs, high interest rates and other challenges have been delivering a one-two punch for nonprofits, which are experiencing not only the same hit to their pocketbooks as businesses and individuals but also seeing drastic decreases in donations.

Fewer Americans are making charitable donations and in smaller amounts than earlier in our lifetimes – the share of U.S. households reporting donating to nonprofit organizations has tumbled in the span of one generation, with fewer than half (about 30 percent) reporting donations in 2023 as compared to 2000. Volunteerism also continues on a notably downward trend.

Building on these facts as a foundation, last year introduced unprecedented challenges for the nonprofit sector. A deluge of dozens of Executive Orders potentially impacting nonprofit funding and operations have been making their way through the court system, prompting uncertainty today and potentially detrimental effects if ultimately implemented. DOGE efforts led to cuts of government contracts and grants, halting work, prompting layoffs and impacting both nonprofit organizations and the stakeholders they serve. Disincentives for charitable giving included in last summer’s big tax bill are predicted to dry up nearly $40 billion in charitable giving over the next decade.

This is a watershed moment.

Again – Oklahoma is a state of great need. And, ironically, need goes up when resources go down. Nonprofits have always “done more with less,” but this season is redefining what that means. And, in many cases, hard decisions are being made about closures, consolidations and program cuts.

These impacts not only have meaning today but are likely to reach forward into multiple generations.

Understanding the seriousness of the situation is the first step. Then, I implore you to make your voice heard. Call your elected officials. Reach out to your favorite local nonprofit to see how you can help. My team at the Oklahoma Center for Nonprofits is here to assist every step of the way.

We are stronger together!