The State of Homelessness Funding in 2024

Emerging Trends in Alternative Grantmaking for Social Change Organizations The Exchange Fund's rapid response small grants program is designed to support grassroots social change organizations' ability to collaborate, share best practices, and build capacity. As the grantmaking landscape continues to evolve, several trends are emerging that are particularly relevant to organizations applying for the Exchange Fund grant. One key trend is the increasing recognition of the importance of 'other grants besides Pell grant' and 'other federal grants' in supporting social change initiatives. Organizations are seeking diverse funding sources to supplement traditional grants, and the Exchange Fund is responding to this need by providing 'grants other than FAFSA' for eligible organizations. Another trend shaping the grantmaking landscape is the growing emphasis on capacity building for grassroots organizations. The Exchange Fund's focus on supporting organizations' ability to collaborate, share best practices, and build capacity reflects this trend. As a result, organizations with strong 'non-profit support services' are well-positioned to leverage this grant to drive social change. The regulatory environment is also influencing the grantmaking landscape. For example, organizations must comply with the Uniform Guidance (2 CFR 200) regulation, which sets forth the standards for auditing state and local governments, Indian tribes, and non-profit organizations receiving federal awards. This regulation has significant implications for organizations applying for the Exchange Fund grant, particularly those that receive 'other federal grants besides Pell.' ## Operational Challenges and Constraints in Alternative Grantmaking Despite the growing recognition of the importance of alternative grantmaking, organizations face several operational challenges and constraints. One significant delivery challenge is the need to navigate complex reporting requirements while maintaining the flexibility to respond rapidly to emerging opportunities. The Exchange Fund's monthly rolling cycle and relatively modest grant amount of $1,000 - $2,000 exacerbate this challenge, as organizations must be prepared to submit applications and reports on a tight timeline. Another constraint is the need to build internal capacity to manage the grant effectively. This requires organizations to have staff with the necessary skills and expertise to navigate the grant application and reporting process. For smaller organizations, this can be a significant barrier to accessing the grant. ## Measuring Success in Alternative Grantmaking To measure the success of the Exchange Fund grant, the funder, a Banking Institution, is likely to require grantees to report on specific outcomes and KPIs. These may include metrics related to collaboration, best practice sharing, and capacity building. Organizations applying for the grant should be prepared to articulate their expected outcomes and develop a plan for measuring and reporting on these outcomes. Eligible organizations should also be aware of the potential risks and compliance traps associated with the grant. For example, failure to comply with the Uniform Guidance regulation could result in audit findings and reputational damage. Organizations should carefully review the grant agreement and reporting requirements to ensure they understand their obligations. Q: How does the Exchange Fund grant differ from other grants besides FAFSA? A: The Exchange Fund grant is designed to support grassroots social change organizations' ability to collaborate, share best practices, and build capacity, whereas other grants may have different priorities or requirements. Q: What types of organizations are eligible for other federal grants besides Pell, and how can they leverage the Exchange Fund grant? A: Organizations that receive other federal grants besides Pell may be eligible for the Exchange Fund grant if they meet the eligibility criteria. They can leverage the grant to build their capacity and drive social change. Q: What are the reporting requirements for organizations receiving grants other than FAFSA, and how can they ensure compliance? A: Organizations receiving grants other than FAFSA, including the Exchange Fund grant, should carefully review the grant agreement and reporting requirements to ensure they understand their obligations and can comply with regulations such as the Uniform Guidance.