Friday, January 16, 2009

Budget Crisis Hits Nonprofits Too...

California's fiscal crisis has derailed 4,000 conservation projects across the state, from restoration of tidal marshes on San Francisco Bay to expansion of the coastal trail, and threatens major land acquisitions on the Sonoma, Big Sur and Mendocino coasts, state officials say.

Facing a cash crunch, state officials notified 1,100 groups last month that they were losing $647 million in environmental grants that were tied to bond funds issued under voter-approved propositions. Now most of the groups can't meet deadlines to apply for matching funds, pay contractors or fulfill obligations under purchase agreements. Many of them are laying off staff and shutting down work.

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