For nonprofit leaders planning next year's work, an election raises practical questions. Which funding priorities could change? What will remain available? Should an organization adjust the projects it intends to pursue?
Those questions deserve careful answers grounded in what has actually happened.
What happened on November 3
Democrats won control of both the U.S. House and the U.S. Senate in the November 3 midterm elections. As of November 9, Democrats were projected to hold at least 54 Senate seats and more than 250 House seats. A small number of races, including the Senate contests in Alaska and Mississippi, were still being counted, and recounts or legal challenges could still adjust the final totals. Those races will affect the size of each majority, but not which party controls either chamber.
The members elected on November 3 take office on January 3, 2027. Until then, the current Congress remains in session for the final weeks of 2026, and its existing majorities will handle any legislation that moves before the new year.
What the results tell us
The clearest change is who will control Congress beginning in January. What is not yet clear is how funding for specific grant programs will change. Because the President retains veto power and most legislation still needs 60 votes in the Senate, observers expect the new majority to focus on oversight and on the conditions it attaches to funding, rather than sweeping changes to grant programs.
As of this writing, Congress has not enacted any of the regular appropriations bills for federal fiscal year 2027, which began October 1, 2026. Federal agencies are operating under a continuing resolution (Public Law 119-103) that keeps funding at largely current levels through December 11, 2026. Before that date, the current Congress will need to pass full-year funding bills, extend the stopgap, or allow funding to lapse. That means many FY2027 funding decisions, which affect a large share of federal grant competitions in 2027, may be made by the outgoing Congress in December or carried into the new year by another extension.
The same law delays a proposed Office of Management and Budget rule that would revise the Uniform Guidance, the rules that govern federal grants to nonprofits, until at least December 11. Organizations that receive federal awards should watch whether that delay is extended. Congress may also consider extending that block to agency-specific rules, and some analysts have not ruled out a short-term shutdown in late December.
At this point, no federal grant program has changed as a direct result of the election. Funding notices that are open now are funded under existing law, so read each notice for its funding source, award period, and deadlines rather than assuming the election has changed it.
What nonprofit leaders can do now
Begin with the work your organization intends to accomplish. A clear project plan remains useful while funding details develop. Identify the people you want to serve, the activities you propose, the results you hope to achieve, and the expenses involved.
Then review your funding assumptions. Keep committed awards separate from pending requests and opportunities you are still researching. If a project depends on a particular source, record what you know about its timing and what needs to be reconfirmed.
Give each unresolved question an owner. Who will check the official funding notice? Who will follow up with an existing funder? When will the team revisit a decision? A shared record can help prevent uncertainty from turning into an assumption that everyone treats as fact.
Make room for additional research
This is also a useful time to consider whether other funding sources may fit parts of your work. Foundation, corporate, state, local, or federal opportunities each require their own assessment. Their suitability depends on your organization and project, and developing a new funding relationship can take time.
Choose a few prospects for further review rather than adding every possibility to an application calendar. Read the priorities and requirements, consider the preparation involved, and make a deliberate decision about where to invest staff effort.
Keep your plan open to confirmed information
As you prepare for 2027, record what is known, what is anticipated, and what remains uncertain. Update that record when official information changes the decision in front of you.
KFA can help identify and prioritize potential funding opportunities through our grant prospectus service. If your organization needs a clearer starting point for its 2027 funding plan, contact us to discuss what you want to accomplish.
