We are deeply disappointed with the rhetoric displayed in yesterday’s House Oversight DOGE Subcommittee hearing. From the Committee Chair’s opening remarks, to the primary witnesses’ testimonies, yesterday’s hearing was nothing more than a partisan forum designed to spread misinformation about the nonprofit sector – distracting public opinion from the essential services nonprofits provide and substituting a false narrative that nonprofit organizations exist to misuse taxpayer dollars and push radical agendas.
Yesterday’s overtly political hearing advanced the following mistruths to justify steep spending cuts to the charitable sector in place of needed scrutiny over other underregulated industries that lack transparency:
Mischaracterizing Federal Priorities as “Fraud, Waste, & Abuse”
- The Biden Administration, with Congressional approval, made significant investments in clean energy, environmental justice, and DEI initiatives. This was a stated priority of the Administration, supported through congressionally authorized appropriations.
- Many Americans may disagree philosophically with this use of taxpayer money, but to argue that this was an act of fraud undermines the democratic process outlined in the US Constitution.
Equating Public Sector Experience with Criminal Conspiracy
- Employing past public servants is not evidence of wrongdoing, unethical behavior, or an attempt to subvert accountability – it is a legitimate and common hiring practice.
- Both the nonprofit and private sectors employ individuals with public sector experience due to the skills and knowledge learned from their past roles.
Generalizing the Entire Nonprofit Sector
- The majority of charitable nonprofits are small, community-based organizations, advancing broadly supported issues such as feeding families, supporting veterans, and strengthening local health systems.
- Yesterday’s hearing misrepresented the entire sector as dominated by large, well-funded groups pushing political agendas. In reality, as Diane Yentel of the National Council of Nonprofits testified, more than 92% of charitable nonprofits operate with budgets under $1 million and serve widely supported missions.
The Colorado Nonprofit Association strongly opposes the narrative advanced in yesterday’s hearing. We support government oversight and responsible federal spending, but reject the unfounded portrayal that the nonprofit sector is a significant cause of waste, fraud, and abuse of US taxpayer dollars. We believe that this narrative is being used to deflect scrutiny from other industries that may require enhanced oversight but enjoy stronger political backing.
Paul Lhevine serves as the President & CEO of the Colorado Nonprofit Association. Founded in 1986, the Colorado Nonprofit Association’s mission is to lead, serve, and strengthen Colorado’s nonprofit community to improve the quality of life throughout the state.