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*Despite fiscal cliff deal, Hawaii nonprofits still uncertain about future – Pacific Business News

Laura Smith of Goodwill Industries of Hawaii Inc. said Wednesday that many local nonprofits are still on the edge of their seats when it comes to the fiscal cliff.

Though a last-minute deal delayed income tax spikes and federal spending cuts, Smith told PBN there is still some concern for local nonprofits.

“While there is a lot of relief that the fiscal cliff was avoided, nonprofits are still very uncertain about how future debt reduction and spending cuts talks will impact us.” she said in an email. “We deal with the most vulnerable people and any further cuts to social service spending will continue to impact those who need services the most.”

Programs that were at risk of being cut include the Supplemental Nutrition Assistance Program, or food stamps, unemployment benefit extensions and the Earned Income Tax Credit, she noted.

“Those programs will need to continue to be preserved for our families, it’s just the right thing to do,” she said.

Federal talks to place a cap on charitable deductions continue to be a concern for local nonprofits as well.

“On a local level, this was enacted by our state Legislature two years ago, we are the only state in the nation with a cap and many nonprofits believe we are starting to see the impact of the public cutting back on their giving,” she said. “If this were to be imposed on a broader federal level, there is a good possibility of many charities being impacted, which in turn impacts the people we serve.”

– Jenna Blakely
General Assignment Reporter- Pacific Business News