What are described as “drastic policy and funding changes” have created a $500,000 budget shortfall for the Autism Society of Minnesota (AuSM). The nonprofit, which has served Minnesotans for more than 50 years, will have to cut programs or even close if the gap cannot be filled by year’s end.
The nonprofit serves more than 14,000 people each year with an array of services. It has already made several cuts. More may be ahead for programs including advocacy and public policy; mental health; education and training; camps and social programs; and public safety and health equity. Closing the doors entirely is reluctantly being considered.
The shortfall represents more than 20 percent of AuSM’s budget.
An email from AuSM stated:
“This isn’t just another appeal. It is a turning point. Without your support, Minnesota’s oldest autism organization—and the lifeline it provides – could be forced to shutter many of its essential programs. But together, we can protect what matters most: the safety, dignity, and inclusion of autistic people in our state.”
The growing need for services was also cited. “The need for mental health services for autistic individuals and families is at an all-time high, and yet, insurance shortfalls leave people without access and incentivize most providers to turn autistic patients away from services.”
Supporters are urged to donate, share their stories, seek support through workplace giving programs or volunteer. Go to www.ausm.org AuSM faces a unique and challenging set of circumstances, said Ellie Wilson, executive director. The challenges come at a time when more people need autism-related services throughout their lives. One in 28 Minnesotans is on the autism spectrum.
“It’s an incredibly difficult situation,” said Wilson. Funding sources have changed. County, state and federal grants that the organization long relied on are gone.
The Trump administration’s work to dissolve the federal Department of Education and drop special education services affects funding and resources. Federal efforts to eliminate diversity, equity and inclusion programs also autism programs and their clients. That greatly affect employment opportunities.
Another key change is with Medicaid and how recipients can use that funding in their budgets.Wilson said there are already changes to how disabled people and their families are allowed to use their allocated disability budgets, funded by Medicaid. That’s even true of programs and services that have been covered for by waivers in the past. When services cannot be reimbursed through Medicaid, clients must do without and that impacts AuSM, Wilson said.
Another obstacle is perceptions of autism, fed in large part by actions at the federal level. Unsubstantiated declarations of causes of autism feed into negative stereotypes and complicate the work of AuSM, causing clients to feel as if their lives have no value.
Fraud in some autism programs creates negative effects for all problems, Wilson said.
“We’re doing everything we can” to address the shortfall, said Wilson. AuSM is applying for grants through foundations it has never worked with before. But with many other nonprofits in the same situation, competition for those dollars has increased and AuSM is shut out.
AuSM has already taken steps in recent years to address budgetary issues. Next in Nonprofits is working with AuSM to support grant writing efforts.
Two comprehensive staff reductions have been made since 2023 at AuSM. Office space has been downsized, with more employees working remotely. Programs were reviewed on a cost basis, to reflect true costs and ensure program sustainability and reflect true program cost. Unsustainable programs were redesigned or dropped.
What is happening to AuSM is an example of the difficulties many nonprofits face. Some programs around the nation are merging or slashing offering and staff positions, while others are closing their doors.
The Minnesota Council of Nonprofits (MCN) is closely tracking trends and has recently published two reports on the state’s nonprofits economy, along with an overview of the status of nonprofits and their work.
2025 continues to bring tough conditions for nonprofits, according to MCN. A record 82 percent of respondents reported that their business expenses have increased. While 53 percent of respondents reported a decrease in grants from foundations, 46 percent of respondents reported a decrease in government funds, and 35 percent of respondents reported a decrease in individual giving.
Navigating uncertainty within their organization and the broader community are concerns MCN is hearing. Many organizations discussed the impact of navigating uncertainty due to recent federal actions, including funding disruptions, attacks on DEI, and increased ICE raids. Due to the chaotic landscape, 50 percent of respondents are reporting a decrease in staff morale.
MCN also cites mounting tensions on government oversight of the nonprofit sector. Some respondents stated their organization has been negatively impacted because of the Feeding Our Future fraud case and actions taken by the legislation.
Read the reports at the Minnesota Council of Nonprofits:
New 2025 data on current conditions of Minnesota’s nonprofit sector
New 2025 data: economic impact of Minnesota nonprofits
