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A coalition of nonprofit groups is calling on the Senate to enact a temporary emergency stimulus to unlock $200 billion in charitable funds to assist charities overwhelmed by the pandemic. They are asking the Senate to update the laws governing private foundations and donor-advised funds (DAFs) to require that they release more of the estimated $1.2 trillion they currently hold. The proposal would increase the required distributions to 10 percent annually for three years.
"I've been appalled for years by how many foundations treat the five percent federal floor as a ceiling and refuse to spend a penny more than they are required to," said Scott Wallace, co-chair of the Wallace Global Fund, which committed to give away 20% of its $120 million endowment this year. "The wealthy donors who created these foundations and donor-advised funds have already reaped vast taxpayer subsidies for their future generosity. In this moment of crisis, only Congress has the power to compel a massive injection of wealthy people's money into jobs and nonprofit charitable organizations vital for our recovery. It's time we sped up that generosity by making foundations pay more right now."
"One of the beauties of philanthropy is that different foundations invest in widely different nonprofits. By increasing foundation payout, philanthropies will be making more grants across a wide array of causes. We'll be keeping nonprofit workers employed, and we'll also be increasing funding across diverse areas like arts and culture, social justice, and direct services," said Mary Mountcastle, trustee, Mary Reynolds Babcock Foundation.
"While charities and the people they serve are suffering, billionaires are accumulating unprecedented amounts of wealth," said Chuck Collins, director of the Charity Reform Initiative at the Institute for Policy Studies. "Jeff Bezos just became the first person to surpass $200 billion in net worth. As Amazon and others continue to make money off the pandemic, Congress could mandate a payout of an additional $200 billion over three years from foundations to support recovery - without one cent of taxpayer funds."
Led by the Charity Reform Initiative of the Institute for Policy Studies, Patriotic Millionaires, and the Wallace Global Fund, the groups first proposed the idea in May with a letter to Congress. The letter has now been signed by 550 philanthropists and leaders of foundations and several thousand nonprofit leaders and staff.
The proposal contains the following measures: 1) Mandating a temporary doubling of private foundation payout from 5 percent to 10 percent for three years, and 2) Establishing a similar 10 percent payout for donor-advised funds (DAFs) that currently have no mandate.
Researchers at the Institute for Policy Studies estimate these policies would unleash an estimated $200 billion in additional charity funds over three years. These funds would support vital social services at no cost to taxpayers. The independent nonprofit sector is part of the front-line response to the pandemic and other natural disasters such as forest fires and hurricanes. The sector employs 12 million workers or more than 10 percent of the private workforce. A recent report predicts that as many as 38 percent of non-profit organizations may close as a result of the pandemic.
Prominent signers of the letter include: Scott Wallace, Wallace Global Fund (PA); Abigail Disney (NY); Aileen Getty, Aileen Getty Foundation (CA), Lisa Cowan, Robert Sterling Clark Foundation (NY); Surina Khan, Women's Foundation of California; Regan and Susan Pritzker (CA); Ning Mosberger-Tang, Innovo Foundation (CO); Catherine Gund, George Gund Foundation (NY); Mary Mountcastle, Mary Reynolds Babcock Foundation (NC); Anna Fink, Amalgamated Charitable; Ellen Friedman, Compton Fund (CA); Jerry Hirsch, Lodestar Foundation (AZ); Edgar Villanueva, Decolonizing Wealth (NY); Farhad Ebrahimi, President, The Chorus Foundation; Sara Miller, Miranda Family Fund (NY), Rory Kennedy (CA); Merle Chambers (CO); Morris Pearl (NY); and Stephen Prince (TN).
The letter states in part, "Increased funding could be immediately absorbed by food banks, health care providers, educational institutions, and organizations addressing issues like poverty alleviation, economic development, safe and secure voting, and social justice."
The letter also says, "Private foundations are currently mandated by federal law to spend five percent of their assets each year in grants and overhead, and DAFs are not required to spend a dime. While some foundations pay out more, the vast majority of American foundations treat the five percent floor as a ceiling on their giving, in part to ensure that the institutions will live in perpetuity. Wealthy donors take an immediate, taxpayer-subsidized deduction when giving money to these entities, regardless of when the money is distributed. And in this time of unprecedented crisis, the money is not reaching charities fast enough."
About the Charity Reform Initiative
The Charity Reform Initiative of the Institute for Policy Studies aims to modernize the rules governing philanthropy to increase the flow of resources to the nonprofit independent sector and protect the integrity of the tax system.
About the Wallace Global Fund
The mission of the Wallace Global Fund is to support people-powered movements to advance democracy and rights and to fight for a healthy planet.
The Patriotic Millionaires is a group of high-net worth Americans who share a profound concern about the destabilizing level of inequality in America. Our work centers on the two things that matter most in a capitalist democracy: power and money. Our goal is to ensure that the country's political economy is structured to meet the needs of regular Americans, rather than just millionaires. We focus on three "first" principles: a highly progressive tax system, a livable minimum wage, and equal political representation for all citizens.
(202) 446-0489“Through its third country deportation deals, the Trump administration is putting millions of taxpayer dollars into the hands of foreign governments, while turning a blind eye to the human costs," reads a new Senate report.
Using secretive agreements, often with countries that have histories of human rights abuses, the Trump administration has "expanded and institutionalized" a system in which the government deports migrants to nations where they have never lived, according to a report released Friday by Democrats on the US Senate Foreign Relations Committee.
The report, titled At What Cost? Inside the Trump Administration’s Secret Deportation Deals, was commissioned by Sen. Jeanne Shaheen (D-NH) and is the first comprehensive review of the administration's coercive and secretive agreements with countries including El Salvador, Equatorial Guinea, and Eswatini.
Third-country deportations were "previously a rare tool used only in exceptional circumstances," said the authors, but "the Trump administration has broadened this practice into a sprawling system of global removals," sending direct financial payments of $32 million in taxpayer money to foreign governments.
Five countries, which also include Palau and Rwanda, entered into those deals and have taken 300 people. In all, the administration has spent more than $40 million on the deportations, according to the report.
“This report outlines the troubling practice by the Trump administration of deporting individuals to third countries—places where these people have no connection—at great expense to the American taxpayer and raises serious questions,” said Shaheen, the ranking member of the committee. “Through its third country deportation deals, the Trump administration is putting millions of taxpayer dollars into the hands of foreign governments... For an administration that claims to be reigning in fraud, waste, and abuse, this policy is the epitome of all three.”
The senators conducted a 10-month review of the administration's agreements and third country deportations through January 2026, with staff traveling to the countries and meeting with people who have been deported, attorneys, US and foreign officials, and human rights organizations.
The agreements, said the senators, amount to an "expensive and dangerous form of shadow diplomacy that prioritizes the appearance of toughness over the security of Americans" and includes little oversight over whether public funds are being used to finance human trafficking or rights abuses.
While the agreements include "blanket language" on upholding international human rights laws, the report states, the senators' extensive review uncovered no evidence that the administration is conducting systemic monitoring or follow-up enforcement, "raising serious concerns that the assurances made by foreign governments exist only on paper and that the United States is turning a blind eye to what happens to migrants in third countries."
Cart Weiland, a deputy assistant secretary at the US State Department, was questioned by the Senate Foreign Relations Committee about his work helping to establish the third country agreements and "could not articulate whether any oversight on their treatment had been conducted. Instead, he reiterated that 'the agreement has a provision that explicitly mandates adherence to international human rights treaties and conventions.'"
Committee staff members also heard from US officials in one country that they had been instructed "not to follow up on the treatment of deportees."
A Trump administration attorney even acknowledged in a federal court case regarding deportations to Ghana, another country that has entered into agreements with the administration, that it appeared "Ghana was violating assurances it had provided the United States, including that it would comply with the Convention Against Torture, after sending a migrant onward to a country where they would likely be tortured."
The senators also found that the administration is likely using third countries to circumvent US immigration law—carrying out removals "that US law would otherwise prohibit, such as sending protected individuals onward to countries where they may face persecution or death."
The majority of migrants flown to third countries have had court-ordered protections prohibiting the US from sending them back to their home countries, where they could face persecution or torture.
"One migrant with protective orders stated: 'While at the fuel stop in the US Virgin Islands, the apparent head [US Immigration and Customs Enforcement] official on the plane... told me that those on the plane were being sent to Ghana and that Ghana would send us to our home countries," according to the report.
The document said that "the Trump administration’s defense is that the United States 'does not have the power to tell Ghana what to do,'" a claim it also made after garnering condemnation for its use of the Alien Enemies Act to deport about 250 Venezuelan migrants to El Salvador, where they were imprisoned in the notorious Terrorism Confinement Center (CECOT).
The report also details how the administration has threatened some countries with increased tariffs, travel bans, or cuts to US foreign aid if they don't enter into the deals.
"The Trump administration is expending political capital in its bilateral relationships that could instead be used to advance more pressing USb national security interests, while not being transparent about the full extent of its deal-making, including what is being offered to foreign governments," reads the report.
The senators emphasized that they released their report "as the administration is aggressively seeking to strip hundreds of thousands of migrants of legal status in the United States through the ending of temporary protected status and humanitarian parole, among other avenues, increasing the risk of expanded third country deportations."
The Democrats on the committee said they would continue to conduct oversight of the agreements and demand transparency.
"The Trump administration should cease its use of these third country deportation deals," they said, "which are putting millions of taxpayer dollars into the hands of foreign governments without oversight while turning a blind eye to the potential human cost."
Analyst Mouin Rabbani said the deployment comes as “Netanyahu is seeking to... inject poison pills into the negotiations in order to ensure that they fail and thereby set the stage for a new armed conflict with Iran.”
President Donald Trump further escalated his threats to attack Iran on Thursday by deploying another massive aircraft carrier to the Middle East.
According to Axios, Trump decided to send the USS Gerald Ford to the region shortly after his Wednesday talk with Israeli Prime Minister Benjamin Netanyahu, the seventh such meeting in just over a year since he returned to the presidency.
The Ford, America’s largest aircraft carrier, will take approximately 3-4 weeks to reach the Persian Gulf from Venezuela, where it was used as part of Trump’s operation to overthrow President Nicolás Maduro in January. It will join the USS Abraham Lincoln, which was sent to the region earlier this month.
Trump has said he wants to finalize a new nuclear deal with Iran by next month after ripping up the old one during his first term, and has threatened war if one is not reached.
Iranian President Masud Pezeshkian has said Iran is open to making a deal to limit its capabilities to develop nuclear weapons in the future and to allow weapons inspectors to ensure compliance with the deal.
“We are not seeking nuclear weapons, and we are ready for any kind of verification,” Pezeshkian said on Wednesday.
However, its leaders have said they are not willing to negotiate on their broader ballistic missile program, which they view as the only deterrent against attacks by Israel and the US.
Netanyahu, who met with Trump for nearly two and a half hours on Wednesday, has pushed the president to pursue maximalist demands that Iran is unlikely to accept.
"I said that any agreement must include... not just the nuclear issue, but also the ballistic missiles and the Iranian proxies in the region," Netanyahu said.
Middle East analyst Mouin Rabbani said in an interview Thursday with Democracy Now that "what Netanyahu is seeking to do with this visit is to inject poison pills into the negotiations in order to ensure that they fail and thereby set the stage for a new armed conflict with Iran."
So far, this appears not to have worked, as Trump has said he is willing to negotiate on the narrower issue of nuclear weapons.
But, according to Rabbani, "it's really impossible to take any statement he says either seriously or literally because his subsequent actions could either be a very accurate reflection of what he said or the precise opposite."
"Trump seems to think that a deal limited to the nuclear issue may be preferable to going to war to tackle everything else," said Christian Emery, an associate professor of international politics at the University College London. "Yet opponents of US military action, which include all of Washington’s Middle Eastern allies except Israel, should still be worried."
"It is far from clear whether Iran will offer the kind of nuclear deal Trump would find acceptable, and Trump himself does not seem to know what else to do other than double down on military threats," Emery said. "That alone may scupper the talks."
"The danger here... is that Washington, encouraged by Israel, is looking at Iran as a substantially weakened power," Rabbani said. "It has taken note of the widespread unrest in Iran last month. And coming straight off the successful abduction of the Venezuelan president, they may believe that it's just going to be one and done and that there can be a limited clean conflict with Iran."
“But of course, Iran is a very different kettle of fish than Venezuela,” he continued. “Iran has already indicated that should there be a new armed conflict, it will observe neither strategic patience nor restraint or proportionality as it has in previous realms.”
"Noem and Lewandowski are like the most toxic couple you have ever met given full rein of a government agency."
An explosive report published by the Wall Street Journal on Thursday shed fresh light on what critics have described as "outrageous corruption" by US Homeland Security Secretary Kristi Noem.
Among other things, the Journal report highlighted Noem's relationship with top adviser Corey Lewandowski, whom sources said is romantically involved with the Trump Cabinet official despite both of them being married.
Of particular note, the Journal wrote, is the way Lewandowski has taken over the contracting process at the US Department of Homeland Security (DHS) despite being classified as a special government employee whose service is supposed to be capped at a maximum of 130 days per year.
"Given Lewandowski’s continuing business interests in the private sector, his role in awarding contracts has raised alarm bells inside the White House and DHS," reported the Journal. "Several officials inside the department said contracts and grants are being awarded in an opaque and arbitrary manner, and some are being held up without explanation."
The report also claimed that Noem and Lewandowski have been flying around the country together on a luxury 737 MAX jet, complete with a private cabin.
DHS has been leasing the plane, although the Journal's sources said it is in the process of buying it for $70 million, which "would be double the cost of each of seven other commercial planes the department is also buying at the pair’s direction to carry out deportations."
Additionally, the report outlined allegedly abusive behavior by Noem and Lewandowski toward DHS staff members, as sources said they "frequently berate senior level staff, give polygraph tests to employees they don’t trust, and have fired employees," including one incident where "Lewandowski fired a US Coast Guard pilot after Noem’s blanket was left behind on a plane."
The report generated fierce reaction from critics on social media.
"Noem and Lewandowski are like the most toxic couple you have ever met," wrote New York Times columnist Jamelle Bouie, "given full rein of a government agency."
Veteran foreign policy journalist Laura Rozen described Noem and Lewandowski as "the most vile scumbags on Earth" after reading the report, highlighting the details about the pair flying on the luxury jet as particularly egregious.
Investigative journalist Sarah Posner found herself floored by the conduct outlined in the Journal's report.
"There is so much crazy shit, outrageous corruption, and naked, ham-fisted ambition in this WSJ piece about Noem, Lewandowski, and DHS," she wrote. "Read and take note of the of eye-popping number of sources who have knives out for Kristi and Corey."
Former Rep. Barbara Comstock (R-Va.) argued the report showed Noem and Lewandowski "are wholly unqualified and a disaster at DHS," and have been "been very effective in driving [President Donald] Trump’s ratings into the ditch."
Ron Filipkowski, editor-in-chief of MeidasTouch, expressed disbelief at how much power Lewandowski had accumulated despite only being a special government employee.
"How the fuck is Corey Lewandowski in any position to fire a Coast Guard pilot?" he asked. "What is his title? What is his job? What is his official position in the US government? If you are Kristi Noem’s boyfriend you get to fire Coast Guard officers?"