US Funding Changes
Message from our managing Director, Nancy Bikson
Date Posted:
April 23, 2025
Categories:
We know that with all the information floating around in the media about the situation in the US, there are concerns about what may/might/could happen going forwards. Whilst we will not engage in any speculation we can clarify what, as of today, is the position, and what, if you or your stakeholders have concerns, you may want to look at doing regarding your US engagement. The overall message from us though is DO NOT PANIC.
The Current Situation
There has been no suggestion that 501(c)(3) status for the nearly 1.5 million 501(c)(3) organisations will be terminated. There has also been no suggestion that tax deductibility of donations to those organisations will be terminated. These would require administrative procedures. Up to now the focus has been on Federal (US Government) funding for activities with which the Administration does not agree such as DEI (Diversity Equality Inclusion) and Climate Change, the use of Federal funds and US international aid.
There are legal limitations as to what a US President can do and unilaterally terminating 501(c)(3) status is not in his legal remit. Executive Orders have been legally challenged and are with the courts to make further determinations.
Actions
If you and/or your stakeholders are concerned about the way things are moving in the USA, we can make the following suggestions for some small actions you can take:
- Ensure you make any grants now rather than waiting so that could mean either through a Unanimous Written Consent or a Board Meeting
- Speak to donors about accelerating any donations, particularly large ones.
- Review the programmes for which you are seeking funds and perhaps moving from any DEI, Climate Change or similar activities which might be targeted.
We are constantly reviewing the situation and our extremely connected and involved Head of International Philanthropy, Heather Hill, is serving as the Coordinator for monitoring this. She is always available to you, as indeed am I to answer questions.
We wish you all the best.
Kind regards,
Nancy Bikson
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