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Dear Michelle,
We know this is a deeply unsettling moment. Recent statements from federal leadership and speculation around forthcoming executive orders are sparking fear across the nonprofit sector. Many of you are wondering how these changes might impact your programs, funding, and the communities you serve.
During this time of uncertainty, we find grounding in the law. In the National Council of Nonprofits’ resource, “Myth v. Reality,” we are reminded that:
- “The executive branch does not have the authority to unilaterally limit what types of organizations are eligible for 501(c)(3) status.” (page 1)
- “The President does not have the authority to direct the IRS to strip a specific nonprofit organization or foundation of its 501(c)(3) status.”
(page 1)
- “The IRS does not have the authority to strip a nonprofit organization or foundation of its 501(c)(3) status without following the required processes.” (page 2)
- “The IRS does not have the authority to strip a nonprofit organization or foundation of its 501(c)(3) status for engaging in lawful activities, including those that promote diversity, equity and inclusion.” (page 2)
- “Myth v. Reality, Executive Branch Lacks Authority to Target Nonprofit Organizations,” National Council of Nonprofits
Community Initiatives is closely watching the latest developments. While there are still unknowns about what specific actions may come next, we understand how real and personal the threats feel, both to your missions and to the communities you serve.
We want to reassure you that:
- Your work is vital and deeply valued.
- We are proactively preparing with our allies. Our Board of Directors, Executive Leadership, legal counsel, and staff are working diligently with our partners, colleagues, and outside experts to remain informed with solid response plans at the ready.
- We are committed to acting quickly but not hastily. As more confirmed information becomes available, whether it is an official executive order, IRS guidance, or policy shifts, we will share updates with you.
- We are advocating alongside you. We attend briefings, conferences, and convenings in our sector, and coordinate with our legal and policy partners to understand the implications of any actions that may affect nonprofits.
Please know that Community Initiatives is taking every possible step to safeguard our shared work and prepare for what may lie ahead. Hold fast to your mission and the communities you serve—your purpose is worthy, your voice matters, and the law still protects your right to lead change.
Thank you for all that you do on behalf of our communities.
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