Some Arizona nonprofits may not overcome virus-driven losses

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A typically busy downtown Phoenix Wednesday, April 1, 2020 is mostly idle during the first full day of Arizona Gov. Doug Ducey's stay-at-home order to slow the spread of the new coronavirus. Gov. Ducey is urging Arizonans to be understanding and reasonable as people and businesses face April 1 due dates for bills such as mortgages, rent, utilities and internet service since the COVID-19 coronavirus outbreak has slowed the economy. The new coronavirus causes mild or moderate symptoms for most people, but for some, especially older adults and people with existing health problems, it can cause more severe illness or death. (AP Photo/Matt York)

Nearly half of nonprofits in Arizona will be unable to serve the public within the next month because of the heavy toll brought by the coronavirus pandemic.

Arizona State University released a survey Tuesday that found many nonprofits are facing bleak prospects due to losses in revenue and volunteering. While some programs like food banks and child care are seeing their demand balloon, other nonprofits such as performing arts groups continue to spiral.

Those surveyed cited cancellations of major fundraisers and few donations because of rising unemployment. Stay-at-home orders also forced groups to cease regular in-person activities.

The report states more than 40% of nonprofits believe they will stop offering services in the next four weeks. Furthermore, nearly 20% expect to only be able to cover payroll for another eight weeks.

Conducted in mid-April by the ASU Lodestar Center for Philanthropy and Nonprofit Innovation, the survey is based on feedback from around 450 leaders of nonprofit organizations.

There were an estimated 23,000 charities across Arizona in 2016, according to the National Center for Charitable Statistics and the IRS. Nonprofit work makes up $8.3 billion in wages in the state with one in 16 people working in that sector.

More than 9,300 people in Arizona have been confirmed to have COVID-19 and an estimated 395 have died, according to the state Department of Health Services.

For most people, the new coronavirus causes mild or moderate symptoms, such as fever and cough that clear up in two to three weeks. For some, especially older adults and people with existing health problems, it can cause more severe illness, including pneumonia and death. The vast majority of people recover.

Republished with the permission of the Associated Press.