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 only option
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. Her journey from believing the government could solve everything to building the partnerships that actually move the needle shows us a different way through uncertainty.
What’s in it for you:
You're worried about federal budget cuts affecting your work
You want to think differently about government funding uncertainties
You're looking for a practical approach to working with government
You want to know how someone with 36 years inside government is approaching today’s volatile funding landscape
Helia’s Perspective
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 humans 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!).
Cindy is, without question, the most effective government person I've ever worked with—entrepreneurial, gets it done, thinks differently but also super strategically and tactically. What grounded me was hearing how someone with 36 years inside the system thinks about uncertainty. She's clear that the government is not the solution to social crisis—and, at the exact same time, she’s emphatic that "we will keep doing the things” even if we need to do those things 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?
Cindy’s Perspective
As told by Cindy Vatalaro
Learning 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.
Think of it like a diverse portfolio. If funding runs short in one, there's another one. 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. So, we try to cover the rest of the needs with funding from other sources like philanthropy or other applicable budget line items.
All that said, 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.
Potential cuts don’t necessarily make me panic because we're constantly operating in this space of need. 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.
Cindy’s 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 the government could solve homelessness or keep all kids safe, we would already be doing it.
Part of why the government isn’t usually the best party to carry out the actual work is because there are so many rules and exceptions that are tied to all of the funding. People want to see prudent spending with their tax money, so there are a lot of internal processes that take place just to talk about any kind of money that comes into play, and even more processes to take action.
For example, say I want send a text to the 14,000 youth in foster care ages 16 to 18 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?”
From a government perspective, I'd have to put together a proposal, make sure I'm not sharing any client information, and collect all these phone numbers from kids who are already looking at the government as policing and surveilling. At best, it would take me a matter of months to send text like this, and it would likely go out to a lot of wrong numbers.
Whereas, an organization where youth go seeking help where they’re already in a “texting relationship”? They can send that text out within an hour.
After coming up against constraints like this enough times, it hit me: I am 100% government. 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 where partnerships come in.
Partnerships are what move the needle
If the government isn’t always designed to carry out the work, then we must find non-governmental partners and work together. These partnerships can look different depending on the situation.
Situation A: When there IS funding but the government can't do the work –Take the text message example. I have money and want to reach 14,000 foster youth about filing FAFSA.
Government alone: Months of proposals, wrong numbers, kids who don't trust government messaging.
Partner solution: Within an hour they say, “We sent your FAFSA text out to the kids that we know."
Situation B: When funding gets cut and a non-governmental group needs to step in – Say I'm $500K short for education vouchers—1000 kids who can't attend college. I'm talking about maybe $500 that's stopping a foster youth who didn't have that nurturing, who's really trying to get themselves positioned for long-term stability from going to college.
Government alone: Those kids don’t go to college.
Partner solution: I call up contacts at philanthropy and nonprofits. I always come at people with data, a strong problem statement, where my shortage is and why. And almost always, those partners help me find the money and those kids go to college.
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."
And it works in the other direction, too.
Here's the reality: government money flows in ways most nonprofits never see coming. One week you hear "there's no money," and the next week someone gets an email saying, "We have $44 million we need to spend in the next 8 months." The folks who benefit from those unexpected opportunities? The organizations that already have relationships in place."
Building these relationships from scratch can seem daunting, so here are some ideas on how to find your “Government Human:”
“I don’t know where to start.” → Begin with one department that's most relevant to your work. Use LinkedIn to find 2-3 people and start following their work.
“They never respond to my emails.” → Try a different entry point – attend a public meeting, comment on their LinkedIn posts, or ask for a mutual introduction.
“I feel like I’m bothering them.” → Remember that these are mission-driven folks who chose public service because they care. Your work aligns with their goals.
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. If you’re panicking about cuts, this is one thing you can start doing now.
We are in this work to do this work. So come help me and we'll help you.
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.
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 my 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.
As of today, this is what we know: so far, no direct federal grants in child welfare 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.
So this is what I’m doing now to support them:
Remembering why I’m here: If the federal funding gets cut, we will continue business as usual as much as we can. We will keep doing the things.
Researching other funding sources that might be available. Is there unspent money to move over? (Note—there almost always is!)
Nurturing relationships with funders and other non-governmental organizations should we need to fill a gap. Is there philanthropy that can step in? Are there more partners we can leverage?
Will there be an impact if there are cuts? Yes, there will be an impact AND we and all of our partners are going to rally around it and carry the work on.
Love exploring other countries and cultures, especially with my grown son!
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 employment."
The work continues: "We're constantly operating in this space. It's a constant. You're 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."
Questions you might want to sit with
Here are some questions or ideas to sit with after reading Cindy's story...
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?
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. These are GREAT to help find folks that are passionate about your issues (aka - a good inroad to finding your government human!)
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!
Connections:
If you’re a non-profit leader, the world feels relentless. For help strategizing how to navigate both the uncertainty AND the realities, related to government funding or not, , when the government cuts funding, Nancy Fournier* is incredible (and offers 90 minute strategy sessions to get some grounding and an initial plan in place - which we highly recommend!).
Andrea Chen* is a phenomenal leadership coach and consultant for all your revenue, operations, and finance needs! If you need to get your books in order AND figure out what additional funding to go after, she is your human!
*Helia Collective Member
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.
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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