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Philanthropy This Week

This newsletter featured a roundup of the most important news, opinion, tools, and resources of the week. The last issue ran on May 31, 2025 and was replaced by Need to Know This Week.

April 26, 2025
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From: Marilyn Dickey

Subject: How to Push Back Against a Dangerous Tax Bill (Opinion)

The U.S. Capitol Building is seen at sunrise on April 9, 2022.
Architect of the Capitol

Good morning.

Congress is moving swiftly to pass a massive federal tax bill that could permanently shrink the nonprofit sector and alter it in irreparable ways, writes a former leader of United Way Worldwide, in an opinion piece.

Steve Taylor, a lifelong Republican who worked on the tax reform that eventually became the 2017 Tax Cuts and Jobs Act, writes that legislators are eyeing the nonprofit sector as a significant source of revenue in light of President Trump’s vow to eliminate taxes on tips and Social Security benefits, in addition to extending the 2017 tax cuts.

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The U.S. Capitol Building is seen at sunrise on April 9, 2022.
Architect of the Capitol

Good morning.

Congress is moving swiftly to pass a massive federal tax bill that could permanently shrink the nonprofit sector and alter it in irreparable ways, writes a former leader of United Way Worldwide, in an opinion piece.

Steve Taylor, a lifelong Republican who was engaged in federal tax reform efforts starting in 2014, writes that legislators are eyeing the nonprofit sector as a significant source of revenue in light of President Trump’s vow to eliminate taxes on tips and Social Security benefits, in addition to extending the 2017 tax cuts.

In response, Republicans in conservative states need to speak out to block it.

“This political environment, combined with the lack of consistent and compelling information about the value of the services provided by nonprofits in red states and districts has resulted in growing antipathy toward the sector,” he writes. “It isn’t too late to intervene before Republicans in Congress enact a massive new tax bill. But those interventions can’t come soon enough.”

Trump’s rhetoric about the tax-exempt status of nonprofits is stoking fear among many in the sector, writes Ben Gose in another article. But experts say that fear is overblown.

Revoking tax-exempt status takes years and starts with an audit. Even if the audit results in a proposed revocation, the nonprofit can appeal — first to the IRS and then through the courts.

“I’ve been through this many times,” Jeffrey Tenenbaum, a lawyer who counsels nonprofits, told Ben. “The administration doesn’t have the authority to take away one’s exempt status with the stroke of a pen.”

A new campaign is trying to raise $20 million to support nonprofits standing up to the Trump administration, write leaders of two organizations fighting for democracy, in another opinion piece.

The Courage Calls Us campaign will support groups that stand up for the rule of law and protect free and fair elections. And it will help nonpartisan organizations pay for physical and digital security, legal counsel, and crisis communications.

“We are watching as government officials disregard the rule of law, which affects virtually every issue that philanthropy funds,” write Joe Goldman and Skye Perryman. “Public health, immigration, climate resilience, affordable housing, the arts, and so many other causes are suffering setbacks in areas that philanthropy has advanced over decades.”

Other recent highlights:

An Asian American advocacy organization lost $250,000 in funding from a major progressive foundation over a 15-month-old Instagram post calling for people to “join in support and speak out to end Israel’s oppression of Palestinians,” writes Sara Herschander.

Wellspring Philanthropic Fund, which canceled the funding, issued a statement in response to a Chronicle request for comment: “As a human rights funder whose work is grounded in respect for the dignity and worth of all people, we will not support any organization that, considering the context, appears to cheer or celebrate a massacre of civilians, such as happened on October 7, 2023.”

The executive director of the advocacy group, 18 Million Rising, told Sara, “It wasn’t a statement of celebration. It was a statement of solidarity to the Palestinian people which also acknowledged that … both Palestinians and Israelis have been killed and have been hurt.”

Nonprofit leaders say millions in grant dollars have been lost over pro-Palestinian statements.

New research offers clues to attracting gifts from donor-advised funds, writes Rasheeda Childress. Account holders tend to give from multiple sources — not just their DAFs. And when they donate anonymously, they often do so to avoid making their gifts public, not necessarily because they want to hide their identity from the charity.

Donors with DAFs are also good candidates for planned gifts. “I’m hoping this donor survey report is a prod to nonprofits and planned giving officers,” Jeff Williams of the Dorothy A. Johnson Center for Philanthropy and an author of the report told Rasheeda. “Go chase people with legacy balances at DAFs precisely because the decision about what channel to put the money down was already made. That money, by definition, cannot go to my kids. It’s looking for a charitable home.”

Looking for emergency funds? Stephanie Beasley has been adding to our list of rapid-response grants, including announcements from the Elizabeth Taylor AIDS Foundation, the Catalyst Fund from Population Services International, and the Founders Pledge and the Life You Can Save for international aid.

      — Marilyn Dickey, Senior Editor, Copy


      Webinars

      • 050825-Monthly Giving Program_COP_newsletter_Plain.jpg

        Today: Thursday, May 8 at 2 p.m. ET | Register Now

        Monthly gifts bring in about 31 percent of all online revenue for nonprofits, and that share is growing — even as giving by individuals ebbs. Join us for How to Build a Monthly Giving or Sustainer Program to learn what infrastructure to have in place when starting your program, ways to adapt your donation form and marketing materials to include monthly giving, and tips for keeping donors connected to your cause.

      Online Forums

      • NewsletterPlain-600x500 (8).png

        Today, April 29 at 2 p.m. ET | Register Now

        Trust in nonprofits has been falling for years. How can charities and grant makers reverse the trend? Join us for How Nonprofits Can Rebuild Trust With America to learn from Kristen Grimm, founder of Spitfire Strategies, who conducted research and created a playbook for tackling the trust deficit. Aisha Nyandoro, CEO of Springboard to Opportunities, has applied Spitfire’s ideas and will share practical advice on how to earn trust with funders, partners, and the public.

      More News, Advice, and Opinion

      • A U.S. Immigration and Customs Enforcement (ICE) officer on Feb. 8, 2025, in New Orleans.
        Opinion

        I Was Recently Detained by ICE. Here’s My Message to Philanthropy

        By Jazmín Chávez
        Sitting on the sidelines isn’t an option as immigrant advocates are targeted.
      • The Internal Revenue Service (IRS) building in Washington, D.C.
        Diversity, Equity, and Inclusion

        Faced With Anti-DEI Complaint, Gates Foundation Opens Scholarship to White Students

        By Alex Daniels
        After Edward Blum’s complaint to the IRS about the Gates Foundation’s “illegal” scholarship program for students of color, the Seattle philanthropy giant said it would change the scholarship’s eligibility criteria to include all races.
      • Young fans of the content creator MrBeast watch him onstage during an event on June 26, 2024 in Sydney, Australia.
        Opinion

        MrBeast’s Buzzy, Clickbait Videos Are Warping Gen Z’s Expectations of Philanthropy

        By Dan Mangiavellano and Maureen Harris
        Fundraisers puzzling over how to reach young donors must acknowledge and counter the misconceptions peddled by the influencer.
      • University of California, Berkeley alumna Bethany Schoenfeld demonstrates against the Trump administration at her alma mater as part of a Day of Action for Higher Ed on Thursday, April 17, 2025, in Berkeley, Calif. <br/><br/><br/>
        Government & Regulation

        Law Firms, Universities, and Now Civil Society Groups Are in Trump’s Sights for Punitive Action

        Lisa Mascaro, Associated Press
        Advocacy groups are the latest targets of the Trump administration, which is seeking to limit the independence of various civil society organizations — or put them at risk of losing their federal funds and professional livelihood.
      • News_RendonMelindaFrenchGates01.JPG
        Big Philanthropists

        Melinda French Gates Is Just Getting Started

        By Jim Rendon
        Since last spring, when she left the Gates Foundation, she’s written another book and announced a billion dollars in new funding — discovering creative ways to support women and inspiring more of them to give.
      • Nick Turner, president of the Vera Institute of Justice.
        Q&A

        First, the Vera Institute of Justice Lost Its Federal Grants. Then DOGE Called

        By Alex Daniels
        Vera’s experience is a ‘harbinger’ for the rest of the nonprofit world, says Nicholas Turner, president of the criminal-justice reform organization.
      • Students, faculty and members of the Harvard University community rally, Thursday, April 17, 2025, in Cambridge, Mass.
        Government and Regulation

        Can the IRS Revoke Harvard’s Tax-Exempt Status?

        By Gabriela Aoun Angueira and Thalia Beaty, Associated Press
        Attorneys who specialize in nonprofit law and freedom of speech weigh in the president’s battle with the university.
      • Broomfield FISH’s self-shop marketplace allows community members to select food items with dignity and respect.
        Nonprofit Finances

        A Tariff ‘Tidal Wave': Higher Costs, Donor Pullback, More Budget Pain

        By Ben Gose
        President Trump’s shifting approach to tariffs is adding new headaches for nonprofits already grappling with chaos related to executive orders from his administration.
      • 476845400
        Advice

        How to Retain Skittish Donors Amid the Economic Turbulence

        By Rasheeda Childress
        Donors rattled by stock market volatility and gloomy economic forecasts may be hesitant to give. But that doesn’t mean they won’t, say experts.
      • 1487595083
        Work and Careers

        Fundraiser Burnout Is Hurting Charities. New Report Explains Why, Offers Fixes

        By Rasheeda Childress
        Fundraisers’ great empathy makes them prone to burnout. Changes in the workplace and by fundraisers themselves can help reduce the problem.
      • President and CEO of the Marguerite Casey Foundation Carmen Rojas poses for a portrait in Kansas City, Mo., on Tuesday, April, 22, 2025. (AP Photo/Ed Zurga)
        Grant Making

        Marguerite Casey Foundation Dips Into Endowment to Donate $130 Million This Year

        By Thalia Beaty, Associated Press
        The grant maker, which has given $23 to $57 million annually since 2019, is increasing its support in response to the Trump administration’s actions.
      • Tim Dixon NN Headshot.png
        Podcast | Nonprofits Now: Leading Today

        Listen Now: Steps Leaders Can Take Today to Bridge Divides

        Tim Dixon, co-founder of More in Common, joins Chronicle CEO Stacy Palmer to offer research-based strategies leaders can use to bridge divides in the workplace and in their communities. Tune in as Stacy asks Tim to walk listeners through his approaches to persuading people with widely different views to unite and get things done.
      • 1460787398
        Opinion | What We've Learned

        Why We Stopped Asking for General Operating Support

        By Mark S. Gold
        When a financially stable nonprofit vacuums up precious dollars, smaller organizations lose out.

      WHAT WE’RE READING ELSEWHERE

      The Trump Administration and Nonprofits

      Employees of Elon Musk’s DOGE project have taken over an online clearinghouse for federal grant opportunities, according to sources for the Washington Post. After a DOGE engineer deleted many officials’ permissions to post grants to the grants.gov site, officials must email their notices to an inbox at the Department of Health and Human Services, where someone at DOGE will review them. The website posts about 5,000 notices of grant opportunities, worth more than $500 billion, annually for nonprofits, universities, and local governments “for activities that include cancer research, cybersecurity, highway construction, and wastewater management.” (Washington Post)

      Representatives of Elon Musk’s DOGE team told attorneys for a nonprofit that they plan to embed themselves in all institutes or agencies that receive federal funds, according to a transcript of the conversation. On a phone call to discuss placement of a DOGE representative with the Vera Institute of Justice, one DOGE member said that DOGE wants to have teams assigned to every institute and agency that receives federal funds through the congressional appropriations process. A DOGE spokesman said the meeting was in keeping with the executive order establishing the group. They backed off upon learning that Vera had just lost $5 million in federal grants. In a statement, Vera Institute president Nick Turner said, “This administration has systematically attacked every aspect of civil society, from academia to law firms and the media, and is now coming after the nonprofit sector.” (Washington Post)

      A legal nonprofit backed by major conservative donors is challenging the Trump administration’s new tariffs against China in a federal lawsuit. Lawyers for the libertarian-leaning New Civil Liberties Alliance are representing a Florida business owner who argues that her business has been harmed by the tariffs and that the president overstepped his authority in imposing them. The alliance has received millions from powerful conservative groups including the Charles Koch Foundation and Donors Trust, which has financial ties to Leonard Leo, who advised Trump on appointing the Supreme Court’s conservative supermajority. A spokesman for Stand Together, the umbrella group for Charles Koch’s philanthropies, said it is “not involved in this case.” (New York Times)

      The Trump administration is planning to ask Congress to rescind $1.1 billion in funding for the Corporation for Public Broadcasting, sources told the New York Times. That amounts to two years of funding, most of which goes to local member stations of NPR and PBS. Another $100 million for emergency communications would be left intact. Given perennial attempts by Republicans in the White House and Congress to defund it, NPR produced a report in 2011 that concluded that “up to 18 percent of roughly 1,000 member stations across the United States would close,” if government funding dried up, with the Midwest, South, and West most affected. (New York Times)

      One of the country’s oldest and largest criminal justice nonprofits has had federal grants canceled, in what the organization’s vice president is calling “an opening salvo” in the Trump administration’s campaign against criminal justice reform. The Vera Institute of Justice is appealing the decision, which imperils about $5 million worth of funding for “programs to improve prison conditions and mental health crisis response, as well as training law enforcement to better serve deaf survivors of domestic violence.” Vice President Insha Rahman said the Vera Institute was the first criminal justice nonprofit to be targeted, via a form letter, likely for its vocal criticism of the Trump administration. The Department of Justice did not immediately respond to requests for comment. In fiscal 2023, the organization had revenue of $263 million, according to tax filings. (Mother Jones)

      The Justice Department can temporarily cut funding for legal guidance for people facing deportation, a federal judge has ruled, while he hears litigation brought by groups that would receive those grants. The ruling means that a coalition of nonprofits that offer education programs, including counsel for children and a help desk for immigration court appearances, lost their funding as of midnight April 16. The Justice Department has been attempting to end its contracts with the groups since January 22. The judge said he hopes to rule on the case in a month. (Associated Press)

      The Justice Department has cancelled hundreds of grants that support violence-prevention and victim-advocacy efforts, among other things. The cancellations, which come mid-funding cycle for many organizations, affect at least $180 million worth of grants. The leader of a nonprofit set to lose funding said she was baffled that support of crime victims has been deemed at odds with the administration’s priorities, while a former Biden official noted that most of the targeted organizations serve isolated or marginalized communities. A Justice Department official said that the money would be reallocated to better support Trump administration priorities, including combating violent crime, protecting victims of trafficking and sexual assault, and ‘protecting American children.’ (Washington Post)

      Harvard saw a surge in online donations in the 24 hours after its president announced the university would not comply with Trump administration demands to make big changes at the institution. The institution received more than 3,800 online donations totaling more than $1 million, more than 40 times the average intake of other April days. Laurence H. Tribe, a professor emeritus, says he has heard from many people who want to give. “I’m getting a huge, huge response from people,” he said, “not only alumni and not only former students of mine — of whom there are thousands — but also from people who never had a thought about Harvard that was positive in their lives.” (Harvard Crimson)

      Harvard University is looking to its major donors to help make up the billions in federal dollars it stands to lose after rejecting the Trump administration’s demands to change its culture and operations. The school’s leaders are reaching out to the likes of Michael Bloomberg, David Rubenstein, and John Paulson, sources told the Wall Street Journal. They will also need to woo donors who walked away over concerns about the climate on campus for Jewish students during the war in Gaza. Major contributor Peter Malkin, a lawyer and real-estate investor, has stepped up his giving, saying, “The shame of all of this is that what is being damaged is science and medical research, which has really nothing to do with antisemitism.” (Wall Street Journal — subscription)

      Harvard University is suing the Trump administration over the administration’s demands to police the school’s culture and operations. In a federal lawsuit, the university argues that the government’s freeze on billions of dollars in grants, ostensibly over Harvard’s failure to address campus antisemitism, is an unconstitutional infringement on the school’s academic freedom. It also argues that the government, which has accused Harvard of violating its Jewish students’ civil rights, has bypassed the proper procedures for addressing potential civil rights abuses. The administration’s antisemitism task force, which made the demands, did not immediately respond to a request for comment. (Boston Globe)

      Some major donors have quietly urged Harvard University’s leaders to try to defuse the school’s feud with the Trump administration and re-engage in talks. Among those pushing for a softer approach are financiers John Paulson and William Ackman. Instead, the university is suing the administration over demands a White House antisemitism task force made related to Harvard’s culture and operations and requiring government audits. Those demands came in an April 12 letter that an administration lawyer reportedly said had been sent by mistake, scuttling behind-the-scenes negotiations that had been going on since late March. (New York Times)

      The Trump administration says it is not preparing an executive order targeting progressive nonprofits, some of which had feared the president would attempt to revoke their tax-exempt status. Just as President Trump was asking the Internal Revenue Service to end Harvard University’s tax exemption, rumors started flying that certain groups could be singled out for the same treatment. In response to a reporter’s question, Trump himself “said the targets ‘could be’ immigrant-rights or environmental groups, and voluntarily name-checked the watchdog group CREW.” Those groups have been under close scrutiny in the White House, sources told the New York Times. (New York Times)

      Other News

      If J.B. Pritzker, Illinois’s billionaire governor, runs for president as widely expected, among the arrows in his quiver will be the philanthropy work he and his extended family have done for decades. Pritzker and his wife, Mary Kathryn, have given away hundreds of millions of dollars through the foundation they launched in 2001, and in 2023 Pritzker started Think Big America, a social-welfare nonprofit that defends abortion rights across the country. In addition, major giving by the governor’s siblings and cousins, heirs to the Hyatt hotel fortune, “means the Pritzker name is on many things in the Chicago area.” (Wall Street Journal — subscription)

      Food and consumer goods giant Unilever is looking into grants made by the Ben & Jerry’s Foundation to a nonprofit that has been critical of the World Bank and Israel. At issue are grants the philanthropy has made to the Oakland Institute, an employee and founder of which serve as a foundation trustee. Unilever, which bought the ice cream maker in 2000, has given between $1 million and $6 million annually to the foundation, which was to maintain its independence under the terms of the deal. Founders Ben Cohen and Jerry Greenfield reportedly have been seeking investors to help repurchase the company from Unilever. (Semafor)

      Some California nonprofits are mounting a fight against the Trump administration’s agenda even as many of their counterparts avoid the conflict in order to survive. St. John’s Community Health, a major provider of care for the state’s working class and immigrants, is leading a coalition to save Medicaid from GOP cuts via a campaign in the districts of vulnerable Republican lawmakers. The Public Counsel nonprofit law firm is seeking to intervene in court on behalf of sanctuary cities threatened with the loss of federal funding, and the Los Angeles Neighborhood Land Trust continues to push for equitable redevelopment, even at the risk of a grant from the Environmental Protection Agency. (Los Angeles Times)

      Foundations that have long supported New York City’s emerging artists, venues, and troupes are rejiggering their grant-making, creating tumult in the city’s nonprofits arts scene. The Doris Duke Foundation is narrowing its focus; the Ford Foundation is looking to spread its largesse more equitably across the country; and the Andrew W. Mellon Foundation seems to be making fewer, but larger, gifts, with an emphasis on recipients who have not received grants in the past. As a result, some arts residency and support programs have closed or pared back their offerings. (New Yorker)

      NEW GRANT OPPORTUNITIES

      Your Chronicle subscription includes free access to GrantStation’s database of grant opportunities.

      Performing Arts: Venturous Theater Fund’s Venturous Capital Grants support productions of new plays perceived as especially challenging at nonprofit theaters across the U.S. Support is provided for productions of text-based, author-driven new plays that are ambitious in scale, epic in scope, challenging in form, controversial in subject matter, experimental in concept, or unabashed in their theatricality. Grants primarily range from $5,000 to $30,000; letters of inquiry accepted May 1 to June 2.

      Civics: The Herb Block Foundation’s Encouraging Citizen Involvement grant program seeks to help ensure a responsible, responsive democratic government through citizen involvement. Support is provided nationally. Proposals may focus on citizen education and greater voter participation in the electoral process. (All projects must be nonpartisan and may not involve lobbying for specific legislation or candidates.) Grants range from $5,000 to $25,000; letters of inquiry due June 4.

      Marilyn Dickey
      Marilyn Dickey is senior editor for copy at the Chronicle of Philanthropy.
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