In this episode of the First Day Podcast, host Bill Stanczykiewicz, Ed.D. is joined by Shivant Shrestha, a research associate at the Indiana University Lilly Family School of Philanthropy. The episode looks at a study aimed at mapping nonprofit spending on climate change in the United States. This research seeks to understand the amount of money U.S.-based nonprofits are allocating towards climate change initiatives, dividing these efforts into two primary categories: mitigation, which focuses on preventing the impacts of climate change, and adaptation, which involves adapting to its effects. The primary purpose of the study is to establish a baseline for understanding which efforts receive the most attention and funding, aiding fundraisers, funders, and policymakers in directing resources effectively.

The methodology of the study involved a survey of 130 U.S. nonprofit organizations of various sizes and budgets, ranging from under $500,000 to over $20 million. These organizations were selected to represent a broader spectrum of about 3,200 U.S.-based nonprofits partly or wholly involved in climate change or environmental work. The survey data was weighted against this larger sample to ensure representativeness. The sample included not only environmental nonprofits but also organizations from other sectors like education and arts, which have programs related to the environment or climate change. This comprehensive approach underscores the interconnected nature of different sectors in addressing climate issues.

The study's findings reveal significant insights into nonprofit spending on climate change. It estimates that U.S. nonprofit organizations spend between $7.8 and $9.2 billion annually on climate change-related programs and activities, with philanthropic sources contributing approximately 88% of this funding. The breakdown of climate expenditure shows that about 49% is spent on mitigation activities, 14% on adaptation, and 15% regranted to other organizations. An interesting aspect highlighted is the reliance of the climate change sector on philanthropic funding, which is significantly higher than in other sectors of U.S. nonprofits. Additionally, the study identified a funding gap in certain tactics, with policy-based approaches being the most utilized yet also the most in need of additional funding. This comprehensive analysis provides a valuable baseline for understanding and enhancing philanthropic efforts in combating climate change.