There are 7,242 nonprofit organizations in Montgomery County, and many of them are currently trying to make do with decreasing incomes as they face an economic future that is expected to worsen in the near future.
These businesses that are involved in human services, religion, education and the arts are facing “unprecedented challenges,” according to Cari Gutherie, president and CEO of Cornerstone Montgomery and board president of Nonprofit Montgomery.
That organization issued its 2025 State of Nonprofits in Montgomery County report Thursday during an event at the Silver Spring Civic Building.
Due to economic hardships, high housing costs and strained federal, state and local budgets, these nonprofits face the challenge of being needed more and having fewer dollars help residents.
In fact, said Brigid Howe, executive director of Nonprofit Montgomery, it is not uncommon for nonprofit employees in Montgomery County to qualify for the services they are proving.
“This report highlights that nonprofits are struggling,” said Scott Gottbreht, assistant secretary of policy for Maryland’s Department Housing and Community Development.
According to Manny Hidalgo, executive director of Shepherd’s Table in Silver Spring, requests for meals has risen 28% since October of 2024. Meanwhile, as more and more federal workers lose their jobs, he expects a decrease in donations.
The nonprofits face a future of fewer philanthropic donations along with decreases in government grants. Already, seven in 10 nonprofits here are understaffed, mostly due to budgetary constraints.
A family of four in Montgomery County needs an annual income of $122,000 to survive. Yet the medium income is $118,000, according to Gottbreht.
With nearly 8% of county residents living beneath the federal poverty line, these nonprofits “are the heart and soul of the county,” noted Council President Kate Stewart. “You are needed now, more than ever,” she said.
“We are here to support you all, and work with you all,” she said.
Montgomery County Board of Education President Julie Yang praised nonprofit workers, because they help students become ready and able to learn.
The report, which was labeled a call to action, lists 10 recommendations needed for a stronger nonprofit sector.
The first recommendation calls for the creation of a county office of nonprofit partnerships to enable government employees and nonprofits to better work together.
Another recommendation calls for the development of standard procedures for the county’s nonprofit partners’ contract procurements, grant funding and monitoring so it is “transparent, equitable and reflective of the changing community needs.”
