Why Are Grantmakers Rushing to Adopt Grants Management Software?
More grantmakers are using grants management software than ever before. In fact, the number of users has grown 66 percent since 2013
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Managing grants represents an important responsibility that spans community services to infrastructure development. For seldom fully resourced local governments, the administration of grant applications, compliance, and even reporting is immensely burdensome. Fortunately, advanced grant management software solutions for local governments go a long way in effectively easing operations, enhancing transparency, and making sure funds achieve their rightful programs.
In this blog, we look at how local government grants work, what the key features required to enable such processes are, and why Fluxx is necessary to make such grant-making efficient.
A local government grant can be from state, federal, or private organizations to finance various local government programs. These can be for everything, from public safety and economic development initiatives down to educational programs. Local governments depend on these grants as supplements to manage the community needs for which their budgets are usually inadequate, but there are several challenges to manage these grants effectively.
Many of these grants from local governments require close tracking, compliance, and reporting to meet the various requirements of funders. Without the right tools in place, governments are put at a greater risk of losing their funding or failing to meet key milestones that have associated negative impacts on important services.
Most of the grant processes, in general, go through some form of cycle: funding opportunity identification, grant application, management of funds that have been secured, and reporting on outcomes. Well, theoretically speaking, that is not as easy as it sounds.
Manual or clumsy-tool management of these phases makes the process slow and error-prone, and ultimately expensive.
There are so many regulations concerning how local governments are supposed to manage their grants. Federal funding is usually connected with strict requirements outlined by the Uniform Guidance, or 2 CFR 200, that dictates principles around financial management, record-keeping, and reporting. Compliance measures also come from state and local governments, which must be satisfied to make sure the public funding falls into the right hands and that it is used responsibly. Non-compliance can lead to punishments like loss of funds and reputational damage.
This therefore calls for the need to have grant management systems instituted by local governments that, while automating the checking of compliance requirements, generate audit-ready reports to ensure full adherence to the set regulations. Keeping up with these regulatory requirements will enable them to position themselves for future funding eligibility while showing fiscal responsibility to their stakeholders.
With these challenges, comprehensive grant management software can help a lot for a local government. Here are some key features that make grant management software solutions effective for local government:
Local government grants are usually narrower in focus; these grants can be infrastructural, housing, educational, and in other aspects of the community. They may have smaller budgets, yet they require the same intensive attention to detail for tracking, compliance, and reporting like major federal grants.
Also, due to the community-level impact of such grants, they can be more sensitive to public scrutiny and sometimes even other levels of scrutiny. That is why local governments require software which can deal with these unique pressures by managing accountability and transparency at each and every stage of the grant cycle.
Local governments typically manage a range of grant types that may include but are not limited to:
Each of these types of grants has its rules and requirements, thus further driving the need for effective management systems.
What local governments need are solutions that make grant management not only easier but more transparent and accountable. That is where Fluxx comes in: designed with the grantmaker in mind, Fluxx offers a highly capable yet user-friendly platform able to streamline every stage of grant management in local government.
Fluxx allows the local government to:
Using tools like Fluxx will significantly reduce administrative burdens and free the local governments to invest more time and energy in making meaningful programs for their communities.
Care for the grants of local governments is not easy, but once the right software is in place, the task will definitely become much easier to handle. Grant management software solutions for local governments streamline application stages such as management, reporting, compliance, and transparency for your organization. With Fluxx and similar platforms, this will definitely boost efficiency, particularly due to the aspect of confidence among stakeholders, in further improving impacts on the communities in which they serve.
Ready to see how Fluxx can transform your grant management process? Schedule an intro call today to learn how our software can meet the unique needs of your local government.
More grantmakers are using grants management software than ever before. In fact, the number of users has grown 66 percent since 2013
Grants management software doesn't just benefit foundations – it is also a major win for their grantees. It alleviates grantee burden.
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Be the first to know about new Fluxx grants management resources, blog articles and podcasts.