When the Government Cuts Funding, We Keep Going
How a 36-year state employee thinks about federal budget cuts and why panic isn't the plan
Summary
Instead of panicking about potential federal funding cuts, Cindy Vatalaro recommends putting our energy into what we know AND what we can do now. "We just don't have the capacity for spin and mire."
What’s in it for you:
You're worried about federal budget cuts affecting your work
You want to understand how to think differently about government funding uncertainties
You're looking for a practical approach to navigate uncertain funding times
You want to know how government employees are approaching these changes—and looking for opportunities and action to take
Helia’s Perspective
From Jess
The federal budget is shifting—and with it, many of us are really worried about what these changes will mean for the organizations we lead, programs we've built, communities we live in, and neighbors we serve.
I'm not sure I necessarily even believe in politics (a complicated statement I know—happy to explore!) and I will certainly not pretend to even begin to understand all the pieces, from 900-page budget docs at the federal level to the number of local, county and state programs and departments and policies...
AND, the reality is that many of us have built programs and structures around government funding. So keeping up with what's what could meaningfully impact our day-to-day work (and, of course, lives!).
This is the perspective of just one state employee - where cuts are not yet defined or certain - and it was helpful for me to hear how she was thinking about what “might” happen. And while just one, and one who I’m very biased towards as the most effective government person I've ever worked with—entrepreneurial, gets it done, thinking differently but also super strategically and tactically - it grounded me in a different reality than I might hear in the daily news.
Cindy’s clear that the government is not the solution to social crisis—and, at the exact same time, that "we will keep doing the things...and need to do it differently." Moments of change and crisis are often the moments to build the next—how can we pay attention to what is working in the world and make that our reality?
David's Story
As told by Cindy Vatalaro
How government funding actually works
As a government agent, we're constantly in these states of financial flux. Sometimes the money flows, sometimes it's halted abruptly with no relief in sight.
State government funding is complex and doesn't manifest overnight. We have our state budget with our own money and priorities AND we have the federal budget that we need to incorporate into our local landscape. These federal grants usually come with a "match" of state dollars as a condition to participate.
For the programs that I oversee for older foster youth—we're getting some federal funding, but it is not nearly enough to cover the actual needs of over 14,000 youth each year who are in foster care and the additional 3,000 who elect to stay beyond age 18.
Think of it like a diverse portfolio. If funding runs short in one, there's another one. But at the end of the day, all of the funding streams just aren't enough money, period. We're limping along with everything else that's coming into play. Counties are already struggling to operate and provide the full range of services—this is already our status quo.
The realization: Government is not the solution to social crisis
Some believe that if the government can take it over, it will be done better. And I'm here to say... we can't do it. At least, not alone.
If the government was the solution then logic says it would be working. If we could solve homelessness or keep all kids safe, we would already be doing it.
The government has so many rules and exceptions that are tied to all of the funding because people want to see prudent spending with their tax money. There's a lot of internal processes that happen to talk about any kind of money that comes into play. Everybody will come to the table with their own priorities.
"We are policy makers and we can write policy and legislation and we can write all the laws we want—and none of that can change the human factor. I cannot write a law or a policy that will tell people how to interact and be human. The human connection is core at the work we do. And that's the truth."
Carrying On → "We just don't have the capacity for spin and mire"
We're hearing a lot of... "oh the federal government is cutting programs, they're cutting Medicaid, they're cutting this. Oh my god you guys are next. What are you going to do?"
And the answer is... "Well, we don't know what to do. We don't know what to do because it hasn't happened yet. So we can either continue to put our energy into that mire of spin, which absorbs too much of our energy, or we can just take that energy and put it into action for what we know now and what we can do now"
So, Cindy is keeping her head down and remembering why she is here:
If the federal funding gets cut, we will continue business as usual as much as we can.
Will there be an impact? Yes, there will be an impact AND we're going to rally around it.
We will see what other funding sources are available. Is there unspent money to move over? (Note—there almost always is!) Is there philanthropy that can step in? Are there more partners we can leverage?
"And, as of today, this is what we know: so far, no direct federal grants have been cut. So we are still going business as usual. That's where when I think about all the things that I'm responsible for, I need to stay focused on the bigger prize, which is supporting these kids no matter what. No matter what."
We're constantly operating in this space. This isn't changing all things. Federal money is NOT the sole source. And if it's that important, if something's effective, we will find the money.
I love exploring my beautiful state. Here at the Cabrillo Bridge in San Diego. Imaging what it was like when it was built as the main entrance to Balboa Park for the 1915 Panama California Exposition.
Thinking Differently
Can I send a text message?
"The constraint could be something as simple as I would like to let 14,000 youth in foster care ages 16 to 18—I'd like to send them a text that says it's time to file your FAFSA or there's this new program out there or do you know that you have a guardian scholar available at your school that you're going to?"
But from a government perspective, she'd have to put together a proposal, make sure she's not sharing any client information, get these numbers to reach these kids. The kids are looking at the government as policing and surveilling. "To send out something like an easy communication via text, I probably wouldn't be able to get it out if I could get it out to wrong numbers in a matter of months."
Whereas an organization where youth go seeking help can respond within an hour.
Partnerships as the Most Important
This realization led Cindy to a fundamental mind shift: "I am 100% government, I am not in nonprofits or education or local companies. So I don't have the awareness of who and what all of the nonprofits in California adjacent to my work are doing and how they're doing it." And, she is committed to finding them as this potential for partnership is what gives her hope, regardless of the funding status.
When there IS funding but government can't do the work: Take the text message example. She has money and wants to reach 14,000 foster youth about filing FAFSA. Government process: months of proposals, wrong numbers, kids who don't trust government messaging. Partner solution: "An org where youth and people go to them seeking help can easily capture that information, they can respond within an hour. Here, we sent your text out to the people that we know."
When funding gets cut and someone needs to step in: When she's $500K short for education vouchers—100 kids who can't attend college—she looks at philanthropy and nonprofits. "I always come at people with data, a strong problem statement, where my shortage is and why. And very rarely do I have to really provide what the consequence is because again, I'm talking about a youth. I'm talking about maybe $500 that's stopping them from going to college...for a foster youth who didn't have that nurturing, who's really trying to get themselves positioned for long-term stability, people are there. They really are."
Both scenarios require the same approach: "I'll pick up the phone and I'll talk to people and I'll get a breadcrumb here and I'll get a breadcrumb there and I'll find an org that will say yes this is one of our pillars. This is one of the things we're focusing on. We can help you."
The bigger reality
"There will never be enough money to solve all of the problems in human services. Government should not be the 'end all be all'—we will always need to work together to solve community challenges and issues."
"We are in this work to do this work. So come help me and we'll help you."
What She’s Learning
Strength in numbers matters: "In the line of work, if I start feeling nervous, I'm going to start chatting about it to my colleagues, my co-workers who are also going to feel that impact."
Find your champions: "We do have partners in the legislature that we know are big advocates for foster care. We know who our advocates are for housing. We know who our legislators are that are all about youth housing." Whenever a colleague reaches out to say, “I found an org that’s doing amazing work for older youth around higher education attainment and I thought you’d like to meet them.” Those are the words that my soul sing! Yes! I do want to meet them. I want to meet everyone who is in this space with me and hear about the positive impacts they’re doing. So if you’re one of those people, call me!
Hard decisions are coming: "A hard decision could be that's great, but that's not my priority, Cindy. My priority is going to be over here." She knows she'll hit dead ends, be disappointed, be saddened—but that won't change her core mission.
The work continues: "We're constantly operating in this space. It's a constant. You going to cut my federal money? Oh well. I mean, it's not my sole source. It's not. And if it's that important, someone else is going to find that money."
Love exploring other countries and cultures, especially with my grown son!
Questions you might want to sit with
Where am I putting energy into "spin and mire" versus what I know and can do right now?
What would it look like to approach this uncertainty with Cindy's mindset of "we will keep doing the things"?
How might thinking of government funding as one part of a "diverse portfolio" change how I plan and prepare?
What partnerships could I be building before I need them?
Could I be a partner with Cindy? What are some of the ideas that I could bring to help with the greater impact? Even if you’re not sure, always reach out. There could be another branch you didn’t know about that she can help you find.
Want to Try This?
Templates & Guides:
How to Find Your Government Human - a quick step by step guide to finding your government human (inspired by Cindy!)
To track state legislative sessions online, several resources and websites are available. You can track legislation on the official state legislative websites (find your’s HERE), which often provide bill tracking tools and subscription services. Additionally, third-party platforms like LegiScan and BillTrack50 offer comprehensive bill tracking and analysis across multiple states.
Recommended Reads:
The Magic in Reaching Out - Helia shares more on why reaching out can be magical including examples and templates HERE
Non-Profit Survival Guide by Nancy - scroll down to download your copy!
About the Contributor
Cindy Vatalaro serves as Bureau Chief at California Department of Social Services, where she oversees policy development for the nation's largest foster care program. What makes her special is her entrepreneurial approach to government work—she gets things done by thinking strategically while caring deeply about the young people at the center of it all. When she talks about her work, what comes through is someone who refuses to get caught up in bureaucratic limitations and instead focuses on "supporting these kids no matter what."
This article comes from a coffee chat with Cindy in June 2025. These conversations form the heart of the Helia Library – because I've learned the most from doing and from talking with other doers willing to share their wisdom. We don't need to start from blank pages or do everything alone.
As always, take what's helpful, leave what's not, and make it your own.
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