Opinion: Don’t fail to notice what Washington may be doing to nonprofits

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With all the change going on in federal policy right now, one area that has been under the radar is potential changes to the rules — and the roles — for nonprofit organizations.

Even as you read about threats to Harvard University’s nonprofit status, you may not be connecting that to the fate of your local food bank or church. But there are federal actions being proposed right now that could have huge implications for all kinds of community organizations you care about. [Minnesota Star Tribune opinion editor’s note: See also “Tax reform shouldn’t be a backdoor attack on nonprofits,” Strib Voices, April 13.]

Nonprofits and charitable giving organizations are as diverse as America itself. They provide important services and step in when government resources aren’t available. From supporting aging veterans to helping kids learn, and from advancing lifesaving research to providing shelter and food for families in need, nonprofit and charitable giving organizations touch every part of our lives and every community in our country.

Nonprofits employ 13% of our workforce and support 380,000 jobs, according to the Minnesota Council on Nonprofits, with the majority of workers providing health care services. Minnesotans also have the third-highest rate of volunteerism in the country, contributing $4 billion in economic benefits.

Preserving the strength and diversity of the nonprofit sector requires ensuring that whoever is in the White House cannot penalize organizations if they don’t align with their political agenda.

That’s why we are standing up for the fundamental right of nonprofits and charitable giving organizations to continue the long-held American tradition of supporting issues and communities they deem important.

We are two Minnesota foundation leaders who represent more than 530 charitable giving organizations from across the country. We are joining together to speak out in support of the freedom to give according to our own distinct purposes. We think everyone in the state should care about keeping our nonprofits independent and operating, regardless of who is in office.

Intentionally, the IRS’s current definition of “charitable purpose” for nonprofit organizations is quite broad and allows for lots of nonprofits to work on lots of different issues with different approaches. Even within our own foundations, we support many nonprofits that have varying and sometimes conflicting views. We think that’s great and healthy and part of what makes our democracy and society strong.

However, if the current presidential administration changes that definition to exclude things not aligned with its political agenda, it will create a precedent that would disrupt nonprofit work — now and with each future swing of the political pendulum. It could mean the nonprofits you support or depend on could lose their charitable status if any part of their work falls out of political favor. And at a time when our government is struggling with increased partisanship and gridlock, we need the creative and caring actions of nonprofits in our communities more than ever.

It may be easier to see the risk right now if you care deeply about an issue that is currently under threat. But even if you don’t care about any such issue, you should be worried that future administrations could prevent you from giving to an organization you do care about.

Regardless of our politics, we should stand united in not wanting the federal government to tell us what issues we can and can’t support. This would undermine our First Amendment rights and one of philanthropy’s most essential purposes. Philanthropy addresses issues and offers help in areas not already covered by the government. If the federal government treats philanthropy like an extension of the government that can be directed by government priorities, then we will lose the flexibility and freedom that have made our sector an effective and vital part of our society for centuries.

Preventing this loss requires keeping the definition of “charitable purpose” broad — broad enough to include things you like and things you may not like, just as you have the individual right to choose what organizations you donate to or where you volunteer.

Minnesota nonprofits enrich our communities, spur innovation and support people to overcome hard times. If you work in, support or benefit from nonprofit organizations (which is pretty much every Minnesotan), we hope you will stay alert and publicly voice your support to preserve the freedom of Minnesota nonprofits and charitable giving organizations to support their communities as they know best.

Jen Ford Reedy is president of the St. Paul-based Bush Foundation. Tonya Allen is president of the Minneapolis-based McKnight Foundation.