Health Nonprofits Worry About DEI Impacts
by Dianne Anderson
Federal cuts coming down hard are set to impact health-focused nonprofits trying to reach the Black underserved community that is already facing higher death rates in nearly every category compared to whites.
The overall impact is disturbing, but no surprise for healthcare advocate Rhonda Smith. She said it was predictable and contained in Project 2025.
But eliminating programs and DEI funding for the Black and Brown community will be a hard pill to swallow.
“It is tragic. This is an example of how our vote is inextricably connected to our health and our voice,” said Smith, executive director of the California Black Health Network.
She feels the community has one main recourse – to participate in voting in the midterm election for the people who represent the community’s best interests, versus those who want to harm the community.
“I am hopeful that will help mitigate and restore human decency among the governing that holds the future of our country and our lives in their hands,” she said. “A lot of people stand to lose insurance coverage if cuts to Medi-Cal happen, as well as to the Affordable Care Act. People who are already at risk will be harmed, and that could exacerbate health outcomes for everyone. That’s millions of people.”
In its recent report, the Kaiser Family Foundation shows that DEI programs slashed under the Trump Administration are hitting the nation’s big agencies, including Health and Human Services and the Centers for Disease Control.
Even as Black moms are over two times more likely to die during childbirth than white women, and Black babies die at more than twice the rate of white babies during their first year, stopping DEI means less diversity and less access to data could have dire consequences.
“The recent actions to eliminate diversity efforts among federal agencies and contractors, as well as in education, will likely reverse progress diversifying the health care workforce,” the KFF report said, citing one JAMA study that shows the community having access to Black doctors led to longer life expectancy and lower death rates.
Last month, Long Beach launched its Racial and Health Equity Data Hub, an interactive platform with priority areas to help advance health equity in the city.
“We are committed to working with our communities to advance health equity through accessible, critical data,” said Mayor Rex Richardson. “The new Racial and Health Equity Data Hub will help us better understand Long Beach’s needs by tracking health disparities and identifying areas for action as we collectively shape important health initiatives.”
Rice Epstein, spokesperson for the city’s health department, said they work with local healthcare efforts to reduce infant deaths, especially among Black, African American, and Native American mothers. She said they intend to use all funding resources to sustain and grow local equity efforts.
Several partnerships include local hospitals and clinics, also hosting outreach events with resources for residents. Black Infant Health, which partners with organizations such as HealthNet, also works with partners in the Black Health Equity Collaborative, such as M.O.R.E. Mothers, Speak Up Empowerment Foundation, The G.R.E.E.N. Foundation, Delta Sigma Theta Sorority, and Project Optimism, among others.
Other programs like Housing Authority, WIC, and Medi-Cal are not facing funding cuts that affect the health department’s operations, except for HUD mixed-status families, households with both documented and undocumented members.
That issue has been reported, but she said HUD has not yet provided any official guidance.
“The Health Department is planning in case major cuts to Medicaid and SNAP are realized. We are strengthening relationships with partners like the Long Beach Unified School District and L.A. County offices to understand the landscape of corporate and community-based partners who can provide free or low-cost services to meet basic needs,” she said.
California Attorney General Rob Bonta said they continue working with 19 other states to challenge the Trump Administration’s anti-DEI policies.
Bonta stressed the need to uphold the nondiscrimination protections of Section 1557 to ensure equitable access to health care, especially for underserved communities facing significant healthcare barriers.
“Unfortunately, the practice of discrimination in health care has become overwhelmingly obvious, and has affected so many we call friends, family, and neighbors. Despite the Trump Administration’s efforts to roll back these critical protections, this coalition underscores our ongoing commitment to ensuring uninterrupted access to high-quality care for all,” he said.
Recently, the American Journal of Managed Care found that DEI in the healthcare workforce is critical, especially in marginalized communities.
With the sudden removal of the FDA draft guidance and Trump’s Executive Order, they said industry leaders and policymakers face uncertainty, even as diversity in healthcare had previously gained good ground.
“The recent DEI bans are an unfortunate turn backward on decades of progress towards a more just, equitable society in the U.S.,” said Lilian G. Bravo, PhD, RN, assistant professor at the University of Miami School of Nursing and Health Studies, quoted in The American Journal of Managed Care.
Nonprofits have also taken funding hits over the years, which is likely to get more intense.
Michelle Byerly said TNP can help with contingency plans and offers insight on how to go after funding with corporations and other opportunities.
Uncertainty has many people in limbo.
“Nonprofits are waiting and seeing. Some of them are already seeing cuts and having to make significant changes,” said Byerly, Executive Director of The Nonprofit Partnership in Long Beach.
Depending on the funding source, she said some funders that had supported DEI may now redirect those funds to those who are not DEI-focused. The Nonprofit Partnership is Long Beach Gives’ fiscal sponsor.
“It’s a good time to look at Long Beach Gives as an opportunity,” she said. “That’s why it was created in the first place—to give nonprofits unrestricted funds. Everything they get, they can do whatever they want to do with it, for DEI and other programs.”
Proposed federal Medicaid cuts are set to hurt Californians, according to the California Budget & Policy Center, especially those on Medi-Cal. If passed, CBPC shows cuts could target a broad range of public services and systems, impacting at the state and local levels.
As it stands, they predict funding cuts would destabilize the state budget as federal funds make up over one-third of the state budget, about $170 billion. Most of those federal dollars support Medi-Cal, which provides health coverage to more than 14 million Californians.
“State policymakers should strive to prevent or mitigate the impact of harmful federal funding reductions. Cuts to Medi-Cal—like reducing benefits, limiting provider payments, or restricting eligibility—should be a last resort rather than a first response. Instead, state leaders should prioritize identifying new, sustainable sources of revenue to safeguard health care access for millions. They can start by closing tax loopholes that benefit corporations and the wealthy,” the CBPC report said.
For Long Beach Racial Health Equity Data, see
https://racial-and-health-equity-data-longbeachca.hub.arcgis.com/
For TNP, see The Nonprofit Partnership – Building the power of nonprofits to transform the communities they serve
For California Budget and Policy Center Fact Sheet, see
