In a time of significant uncertainty and disruption, policy and advocacy engagement is essential to ensure nonprofit organizations can continue to serve communities effectively and equitably. Federal policy continues to evolve, the long-term impacts of H.R. 1 are only beginning to emerge, and state and federal budget outcomes remain unresolved—creating instability for nonprofits and compounding challenges for the individuals and families who rely on their services.

As the statewide voice for Pennsylvania’s nonprofit sector, PANO advances a public policy agenda that strengthens nonprofit capacity, protects essential public funding, and promotes charitable giving and workforce sustainability. PANO’s 2026 Pennsylvania nonprofit policy priorities reflect the urgent need for nonprofits and their allies in philanthropy, government, and business to unite around shared solutions, coordinate advocacy efforts, and work collectively to safeguard the systems that support health, housing, education, and human services across the Commonwealth.

PANO supports policies that

• Advance PANO’s vision, mission, and values.
• Ensure financial stability and sustainability for nonprofit organizations by protecting public funding, strengthening charitable giving incentives, and promoting predictable, long-term investment in community services.
• Strengthen the nonprofit sector’s capacity and workforce through policies that support recruitment and retention, reduce administrative burden, and invest in organizational infrastructure and data systems.
• Advance equity and resilience for communities across Pennsylvania by fostering strong government–nonprofit partnerships and ensuring that policy decisions do not disproportionately harm organizations serving the most vulnerable populations.

2026 Public Policy Priorities

1. Protect and Restore Public Funding for Nonprofit Services

Policies that ensure stable, timely, and adequate public funding for nonprofit organizations that deliver essential services across the Commonwealth.

• Promote a timely state budget and avoid budget impasses or government shutdowns that disrupt nonprofit operations and harm communities.
• Support full and fair reimbursement for nonprofit service providers, including administrative and compliance costs.
• Advocate for multi-year contracts and predictable funding streams to allow nonprofits to plan and retain staff.
• Monitor and respond to the downstream effects of federal policy changes and H.R. 1 on state-administered programs.

2. Strengthen Charitable Giving and Philanthropic Incentives

Policies that encourage charitable giving and expand incentives for individuals and businesses to invest in Pennsylvania’s nonprofit sector.

• Support state and federal policies that restore or expand charitable giving incentives for donors of all income levels.
• Promote charitable deductions as a tool to stabilize nonprofit revenues during periods of economic and policy uncertainty.
• Protect nonprofit independence and the integrity of charitable resources.
• Elevate the role of philanthropy as a partner to public systems in meeting community needs.

3. Strengthen the Nonprofit Workforce

Policies that support recruitment, retention, and well-being of the nonprofit workforce.

• Advance workforce stabilization strategies such as student loan relief, credentialing pathways, and professional development supports.
• Promote access to affordable benefits and workforce protections tailored to nonprofit employers.
• Address burnout and turnover by supporting sustainable funding models for staffing.
• Ensure equitable access to workforce resources for organizations led by and serving communities of color and individuals with disabilities.

4. Increase Nonprofit Capacity and Reduce Administrative Burden

Policies that allow nonprofits to maximize resources for mission delivery rather than compliance and bureaucracy.

• Reduce unnecessary regulatory and reporting burdens without compromising accountability or transparency.
• Improve coordination among state agencies that fund and regulate nonprofits.
• Support investments in organizational capacity, data systems, and infrastructure.
• Strengthen government–nonprofit partnerships to improve policy design and service delivery.

5. Promote Civic Engagement of Nonprofits as Keepers of Our Democracy

Policies that protect the rights and responsibilities of nonprofits in civic engagement and nonpartisan activities, including but not limited to:

• Engagement as field experts with local, state and federal representatives.
• Movement building, including such things as the use of social media.
• Voter registration.
• Candidate forums on issues critical to local communities.
• Protecting the fair and just application of law and constitutional rights to nonprofits and those they serve.
• Training participants and community members in civic engagement and supporting grassroots organizations.
• Protect the right of 501(c)(3)s and 501(c)(4)s to affiliate to maximize advocacy efforts.

Public Policy & Advocacy Strategies

In 2026, PANO will advance this agenda by

• Working with allies in the legislative and executive branches at the state and federal levels.
• Collaborating with nonprofit, philanthropic, and business partners who share these priorities.
• Using research and data to understand the compounding impacts of policy changes on nonprofits and communities.
• Seeking opportunities to proactively shape policy, not only respond to proposals.