Listen, I know that you know that things continue to be escalating versions of fucked up in our country. Our systems are continuing to crumble under the weight of budget cuts, increased violence, and whatever other horrors you want to include in the seemingly never-ending list of “Why things suck.”
To add to that dumpster fire of a list, attacks on nonprofits continue to escalate. Now, let me just give the general disclaimer that I am by no means a policy expert. So rest assured that I inserted approximately 5,000 links into this blog to folks and organizations who know a whole lot more than me. I encourage you to check them out to ensure that you know what is happening.
We need to pay attention
At this moment, nonprofits are facing increased scrutiny and politicization on the local, state, and national level. This level of politicization isn’t new – policy and similar structures have been used to police nonprofits and communities of color since the advent of the 501c3 tax status. These tools keep us compliant and unable to effect radical, liberatory change through nonprofits by keeping us beholden to often shifting and arduous reporting processes. (For more on this, I always encourage folks to read Paul Kivel’s “Social Services or Social Change.”) Nevertheless, we cannot idly stand by as the very systems that work to keep people fed, housed, safe, etc. continue to be increasingly threatened.
What is happening?
Or better yet, what isn’t happening? It seems every week there is a new bill to fear, funding to be defended, and hell to try to avoid. And though much of the conversation is around federal level changes, what’s happening locally isn’t much better.
In King County, we are seeing an increased financial and capacity burden on nonprofits after a county audit revealed serious problems with their contract oversight and financial controls. In response, the county has placed increased controls onto community-based organizations through expanded requirements and reporting, all while providing little guidance or time for nonprofits to adjust to or provide feedback on the changes. Coupled with our state legislative session that included drastic budget cuts for many social services nonprofits, things are not looking too good for nonprofits in Washington. And to add a cherry on top of all this, the WA Governor’s office recently warned that “There will be significant budget shortfalls next biennium in both operating and transportation budgets.” Whoopie.
Don’t worry, it gets worse at the federal level
In case the local and state joyride wasn’t enough, the federal administration continues to give us the gift of new policy nightmares. Has it not been great since… oh let’s say, forever? Sure. Since the onset of this administration, we knew that nonprofits would face existential threats. And we have. It started with congressional investigations into bogus claims of fraud and “domestic terrorism” support. It continued with the lovely “Nonprofit Killer Bill” of 2024.
But now we have new and exciting bills and rule changes to keep us awake at night! (Warning, this is where the policy stuff comes in so buckle up and stick with me.)
This horror movie-esque line up includes:
- Proposed changes to the Office of Management and Budget (OMB)’s uniform guidance, which could require federal agencies to align programs and funding opportunities to the administration’s priorities, allow for grants to be suspended without cause, and specifically restrict funds from organizations working in racial, transgender, and immigrant justice. (One of my favorite lines is that funds will not be given to programs or organizations that “promote anti-American values.” Whatever that means.)
- The Fiscal Sponsorship Transparency Act of 2026, H.R. 9721 which attempts to place fiscal sponsors under more scrutiny (nevermind we already have really high levels of transparency) by creating burdensome reporting requirements and harsh penalties for organizations and individuals who do not adhere to them. This is likely to drastically harm smaller, community-led organizations and projects, who would have to navigate even harsher systems to exist and do their work. Also the definition of “fiscal sponsorship” in the proposed bill is trash and would be the first time a definition for our work would be codified into law if passed.
- Stopping Foreign Influence in Elections Act of 2026, H.R. 9771 which could restrict nonprofits who receive any donations from foreign nationals from participating in policy advocacy as part of coalitions, movements, or committees.
- Foreign Funding Transparency Act, H.R. 9772 which would require nonprofits to ask each donor about their citizenship status in order to stay compliant.
- Under the Fair Treatment of Religious Organizations Act of 2026, H.R. 9722, organizations would be able to seek tax-exempt status even if they have policies or act on any religious beliefs around sexuality, marriage, or gender identity that are counter to public policy or established laws. Fun fact: currently if you are doing illegal things, you cannot be a tax exempt organization recognized by the IRS. Wild I know.
We have to weather the storm together
Hey so those suck, right? Right. And, as many legal experts that are not me have pointed out, these bills and rules changes are clearly based in political ideology and are attempting to target specific nonprofits. (*cough* BIPOC *cough* LGBTQ+ *cough* immigrants *cough*)
This reality, that some of us are facing down some of the biggest threats we have ever seen to our nonprofits and communities has left me reflecting on something our Executive Director JoJo Gaon said the other day. He compared nonprofits at this moment to a collection of boats on sea, tied together with fraying ropes just trying to weather the constant waves. Waves are crashing over us, the ropes continue to fray in the rough waters, but we still stay connected. Because this is the truth of the matter, we have to weather this storm together or otherwise we find ourselves being dragged into the depths of the ocean.
And I get it, okay? I’m exhausted, you’re exhausted, we’re all exhausted. The last two years we’ve all been trying so hard to stay afloat, bailing water out in a never ending game of survival. We’ve been rejecting the desire to jump off our boats and bury our heads in the sand until this nightmare ends, if it ever does. And that’s the point! The point is for us to be so tired we stop talking to each other, stop collaborating, stop fighting for what we know is right.
We can’t quit now.
Not at a moment when people rely on our services now more than ever. We have to continue to tighten our ties to each other, check for leaks, yell across the waves to our neighbors and offer support. So go subscribe to folks like the Independent Sector, National Council of Nonprofits, the International Center for Not-for-profit Law to stay in the know. Talk to your nonprofit pals about what policies are impacting their ability to do the work and how they are navigating that. Keep an eye on the Independent Sector’s policy tracker so you know when and how to get engaged. Learn to rely on and embrace our collective wisdom of how to move through currents and waves and tsunamis until we all come out the other end alive.
