A Note from Rusty:
Welcome to the fourth Defend Nonprofits Defend Democracy (DNDD) Update from Fund the People. America's 12.5 million nonprofit workers are a powerful force for good in our democracy, economy, and society. These DNDD Updates provide all the information, inspiration, analysis, and action steps you need to defend nonprofits, our workers, and the communities we serve.
Today we also publish the Season 7 finale of Fund the People Podcast. During this season:
- We passed the 100-episode mark with an incredible lineup of guests and resources! Thank you to everyone who participated this season—hip, hip, hooray!
- We started our Talent Justice Podcast Series, featuring participants from our California Talent Justice Initiative. This occasional series highlights how funders and nonprofits can advance equity and inclusion in the nonprofit workforce.
- We launched our Defend Nonprofits Defend Democracy Podcast Series, which is part of a larger body of work we're building to protect and advance the sector as part of our democracy.
A quick scheduling note: We've been releasing DNDD Updates every other Wednesday, aligned with our DNDD Podcast episodes. However, we'll shift to an as-needed publishing schedule for our DNDD Updates during July and August and reassess in the fall.
Thank you for all you do for your community. Keep your tank full, take care of yourself, and take care of one another!
Today’s Podcast Conversation:
- We're excited to have John Palfrey, President of the John D. and Catherine T. MacArthur Foundation, as our special guest in our Defend Nonprofits Defend Democracy podcast series. In our conversation, Mr. Palfrey shares the inside story of how the Foundation has stood up for the "freedom to give," and increased their payout to support grantees hurt by Trump Administration spending cuts and attacks. He shares how MacArthur is taking additional actions to meet the moment, why he chose courage over quiet, and why—by speaking out in defense of nonprofits and philanthropy—he believes #CourageIsContagious.
Today’s Message:
- Courage is Contagious. What does this mean? We can all bravely defend our sector—some publicly, others behind the scenes. Every action we take and every time we speak out helps reinforce the value of our work as a crucial part of our democracy, economy, and society. It also creates space for our colleagues to do the same. Together, we can amplify our voices on behalf of the social sector, the First Amendment, and the public good. We encourage you to find your own path to #DefendNonprofits #DefendDemocracy.
Today’s Call to Action:
Use this simple form to contact your U.S. Senators today! Urge them to oppose or fix the Big, Bloated Bill:
- OPPOSE the proposed tax hikes on the tax-exempt sector (both foundations and nonprofits)! These proposals (Sections 112022 and 112024) divert scarce resources away from essential services, undermine nonprofits' ability to meet community needs, and put greater strain on government and a sector already wounded by massive federal spending cuts.
- OPPOSE limits on charitable donations as a "pay-for" for the bill. These proposals (Sections 110011 and 112027) discourage charitable donations made by corporations and individuals, leaving nonprofits with fewer resources to serve their communities.
- OPPOSE cuts to Medicaid that will eliminate the basic healthcare and social safety net used by all Americans. These cuts will also hurt social service and health nonprofits, which are often reimbursed through Medicaid for services they deliver to individuals.
- SUPPORT and EXPAND tax incentives for charitable giving. Congress should include the Charitable Act in the tax reconciliation bill to create a non-itemizer tax incentive for charitable donations to nonprofit organizations. See the National Council of Nonprofits' one-pager on the Charitable Act.
Find more information from NCN about the tax bill here.
Last week, the House of Representatives DOGE Sub-Committee held a hearing titled "Public Funds, Private Agendas: NGOs Gone Wild." This smear on our sector comes on top of all the policy attacks, funding cuts, and verbal abuse we're receiving from the Executive Branch. Thankfully, Diane Yentel, CEO of the National Council of Nonprofits, was a witness in the hearing—the only witness actually defending the sector. She made it clear: this isn't about waste, fraud, efficiency, or identity politics—it's about punishing nonprofits that dare to speak up and hurting the American people in the process.
Diane didn't take the bait—she set the record straight! And we can all do our part, so don't sit on the sidelines in silence! It's your constitutional right and civic responsibility to let your senators know where you stand. #CourageIsContagious
(Shout-outs to the National Council of Nonprofits and Bethany Snyder, whose publications helped inform today's call to action. Fund the People is responsible for the content of this blog post, including any mistakes or misrepresentations.)
Today’s Headlines:
- Nonprofits Targeted At Partisan DOGE Subcommittee Hearing, by Paul Clolery, NonProfit Times, 06/04/25
- ’NGOs Gone Wild’: House Republicans Target Nonprofits in Hearing, by Sara Herschander, Chronicle of Philanthropy, 6/5/25
- President George H.W. Bush’s nonprofit plans to spend $100 million to boost volunteerism in America as Trump’s funding cuts threaten organizations by Thalia Beaty, Associated Press via Fortune, 6/6/25
- Slash and Burn: Trump Cuts Open Up More Funding Gaps in Native American Education, by Connie Matthiessen, Nonprofit Quarterly, 05/29/25
- Nonprofit Leaders Face Tough Choices on Staffing, Fundraising as Federal Cutbacks Continue, by Stephanie Beasley, Chronicle of Philanthropy, 5/28/25
- Politics, Economics Burning Out Staff And Execs, NonProfit Times, 05/28/25
Trends, Research & Analysis:
- Courage in Unity: A Funders Response to the ‘State of Nonprofits’, by John Palfrey, Center for Effective Philanthropy blog, 06/03/25.
- State of Nonprofits 2025: What Funders Need to Know, by Elisha Smith Arrillaga, Ph.D., Emily Yang, and Christina Im, Center for Effective Philanthropy, 05/29/25.
- Amid Trump Cuts, Can Foundations Fill the Hole? ‘Never,’ Funders Say, by Junyao Yang, Mission Local (San Francisco), 5/29/25
- How to File a Temporary Restraining Order Against the Trump Administration, by Abdullahi Lawal, Nonprofit Quarterly, 5/29/25
- What New Data Tells Us About the MAGA Coalition and the Challenges Facing Liberal Philanthropy, by David Callahan, Inside Philanthropy, 05/28/25
Photo by Heidi Besen/Shutterstock