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Issues and events that shape Long Island's economic and legislative landscape.

Thursday, October 30, 2014

LIA Releases a New Report on Long Island's Not-for-Profit Sector

Long Island's non-profit sector accounts for a significant share of the Long Island economy. In a series of prior reports, the Long Island Association underscored the funding and operational constraints that Long Island's non-profit organizations face. Today, the LIA released a new report "Long Island's Not-for-Profit Sector: Doing More With Less During a Period of Economic Change."

The highlights of the new report are as follows:

  • Long Island's non-profit sector supports more than 221,000 Long Island jobs directly or indirectly. These jobs generate annual payrolls of approximately $10.8 billion;
  • In addition, ‘Arts' organizations, which consist primarily of non-profit entities, generate some 3,210 Long Island jobs and generate annual payrolls of almost $149 million;
  • Long Island's non-profits must adjust to a "new normal" created by the need to provide more services with fewer resources;
  • The report found that there has been considerable progress in addressing the challenges faced by Long Island's non-profits. For example, United Way of Long Island's new Capacity and Optimization Tank (LICOT) and Adelphi University's Center for Nonprofit Leadership are working to enhance the performance of those in the non-profit sector.

LIA President Kevin S. Law underscored the fact that "Non-profit organizations face significant funding challenges and powerful accountability pressures and that they must provide convincing proof that their services have a meaningful positive impact on the communities and populations they serve."

The report was funded by the Long Island Community Foundation, United Way of Long Island, Adelphi University, and Goodwill Industries of New York and Northern New Jersey and was authored by Dr. Pearl M. Kamer, the LIA's Chief Economist. In discussing the report, Dr. Kamer noted: "The funding and operational constraints that confront the non-profit community are likely to intensify in coming years. This creates a need for continued dialog and interaction between businesses, governments at all levels and local non-profits." Theresa Regnante, President & CEO of United Way of Long Island noted: "Health and human service nonprofits need to be innovative, creative and accountable to attract new investors and more resources in order to ensure the continued delivery of quality services across Long Island." William J. Forrester, President & CEO of Goodwill Industries of Greater New York and Northern New Jersey said Long Island's nonprofits are challenged by "massive burdens" because of the precarious state of the economy.

The arts remain an important component of the non-profit community. Roger Tilles, Chairman of the Advisory Board of the Long Island Arts Alliance noted: "As a developer, I learned that companies are attracted to Long Island by the quality of life here. The arts contribute substantially to that quality of life." David M. Okorn, Executive Director of the Long Island Community Foundation also underscored the importance of the arts on Long Island. He said: "Our Island's arts industry supports thousands of jobs and generates millions of dollars in economic activities that benefit all Long Island industries."

Earlier this year, the LIA issued its Priorities for 2011 to Improve the Long Island Economy and specifically called for support for the Arts Industry and to build support for our not-for-profit organizations who have seen revenues decrease with the poor economy while the demand for services have increased.

For a free copy of the new report email Tiffany Hansen at thansen@longislandassociation.org