East Texas nonprofits struggling after pandemic loan halt

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GILMER, Texas (KETK) — East Texas nonprofits are being forced to carefully review their budgets. This comes after the federal government stopped lending under the Paycheck Protection Program (PPP).

Nonprofits are struggling financially because they don’t have the PPP loans they relied on during the height of the pandemic. Many organizations have used this money to help pay their staff.

“With donations not coming in as much, we’ve had to reduce some staff,” said Amy Baskin, executive director of Young Audiences Arts for Learning of Northeast Texas.

Now that the lending has stopped, that’s how many nonprofits feel.

Young Audiences of Northeast Texas supports the arts for children in local school districts. The nonprofit has used the money to pay its staff, but with the end of the loans and record inflation, it has to adapt.

“The PPP loan really helped us pay our staff and really some of our artists,” Baskin said. “It’s really carried us through these years because people’s giving habits have changed due to the pandemic and a lot of people have redirected their donations to more basic needs, food, clothing (and) shelter. . Because it was so obvious in terms of need.

It’s not just the arts that suffer. Organizations that focus on providing housing to people in need are also struggling.

“The fact is, if we don’t have these gifts, our doors will be closed. We won’t be able to help people,” said Melanie Wright, director of Hannah House Ministries, a nonprofit that helps pregnant women by providing shelter, medical needs and support through the adoption process.

“Whether it’s a mother trying to find a family for her baby she’s about to deliver, we have to keep those doors open,” Wright said.

These non-profit organizations are 100% donation driven. If you would like to donate to Hannah House Ministries, click here. To donate to Young Audiences Arts for Learning Northeast Texas, click here.

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