State’s Nonprofit Sector: An Economic Engine

The recent challenges facing nonprofits have dominated public discourse, overshadowing a fundamental truth: Mississippi’s nonprofit sector remains one of our state’s most vital economic drivers and community lifelines. As executive director of the Mississippi Alliance of Nonprofits and Philanthropy, I see firsthand the transformative work of thousands of organizations operating with integrity, transparency, and remarkable efficiency across our state.

The numbers tell a compelling story that deserves equal attention. Nationwide, nonprofits employ nearly 12.8 million people—representing almost 10% of the U.S. private-sector workforce. In Mississippi, this translates to thousands of jobs providing essential services in healthcare, education, social services, and community development.

These aren’t just jobs; they’re careers that strengthen families and stabilize communities while addressing our state’s most pressing challenges.

The Real Return on Investment

When we talk about accountability, let’s discuss the actual return on investment nonprofits deliver. Research demonstrates that every dollar invested in nonprofits generates measurable economic and social returns far exceeding the initial investment. National studies show nonprofits contribute over $1.4 trillion to the U.S. economy annually—approximately 5.2% of GDP.

This economic impact extends beyond direct services. Nonprofits purchase goods and services from local businesses, pay property taxes on non-exempt holdings, and their employees spend wages in local economies. They attract federal grants and private philanthropy that might otherwise bypass Mississippi entirely, bringing new resources into our communities.

More importantly, nonprofits address market failures where neither government nor business can effectively operate. They serve rural communities where many for-profit healthcare facilities have closed or relocated. They provide afterschool programs that keep children safe and learning when parents are working. They offer job training for unemployed workers reentering opportunities. These services create value that compounds over generations.

Building Stronger Organizations Through Accountability

The Mississippi Alliance of Nonprofits and Philanthropy exists precisely to strengthen the operational excellence of our sector. We provide comprehensive training, connect resources, maintain advocacy presence, and offer specialized organizational development support to hundreds of nonprofits statewide. Our work ensures maximum impact for Mississippi’s children, families, and communities.

Through programs like our Excellence in Action initiative, we help nonprofits deepen their knowledge and skills that enable them to develop, scale, and sustain programs with measurable, long-term positive impact. We emphasize financial stewardship, governance best practices, and outcome measurement—the very accountability measures that ensure responsible use of resources.

Addressing Real Community Needs

While a few organizations may struggle with management challenges—as happens in every sector—we cannot allow these isolated incidents to overshadow the critical work being done in communities across Mississippi. Consider the nonprofits providing care regardless of ability to pay, the food banks feeding thousands of families weekly, and the housing organizations working to address our affordable housing crisis.

These organizations work in partnership with local, state, and federal agencies, leveraging public investments to attract additional private support. For every state dollar invested, nonprofits typically raise multiple dollars from federal foundations and individual donors—multiplying the impact of public investment.

Moving Forward Together

This moment presents an opportunity for constructive dialogue about strengthening nonprofit operations while recognizing the sector’s indispensable role in Mississippi’s economy and social fabric. The Alliance stands ready to work with state leadership, providing training and technical assistance to ensure the highest standards of accountability and effectiveness.

We invite policymakers, business leaders, and community members to engage with us in this vital work. Visit our member organizations. See the dedicated professionals and volunteers who show up every day to tackle Mississippi’s toughest challenges. Understand the sophisticated operations, measurable outcomes, and transformative impact these organizations achieve.

Mississippi’s nonprofit sector isn’t asking for blind trust. We welcome accountability measures that strengthen operations while preserving our ability to serve. Most importantly, we ask for partnership in building a stronger Mississippi where the nonprofit, public, and private sectors work together to create lasting positive change.

The path forward requires distinguishing between isolated incidents and systemic excellence. Mississippi’s nonprofits stand ready to demonstrate our value, strengthen our operations, and continue serving our state’s pressing needs.

—MBJ

Ellen Collins is Executive Director, Mississippi Alliance of Nonprofits and Philanthropy and is based in Jackson.