Promoting and protecting nonprofit advocacy for a stronger democracy

Thursday, August 23, 2007

Attention: Organizations That Apply For USAID Funding, New Unwarranted Administrative Burden

The Washington Post reports on a very alarming notice posted in the Federal Register on July 17. All organizations and nonprofits that receive or apply for U.S. Agency for International Development (USAID) funds would be required to screen all who work with the charities and provide the information to the government, this includes phone numbers, date and place of birth, e-mail addresses, nationality, gender, profession, citizenship, and government issued identification (such as social security number and passport number.) The information will be collected to make sure that no one has any connection with individuals or groups associated with terrorism. The program is outlined as the Partner Vetting System (PVS). The notice is quite vague, and it leads to a number of questions. Such as, will this some day extend to all government grantees, and what is the information being screened against? The government may deny an organization based on the collected information, but may not tell the group why; another way of saying, because the government says so. In addition, the program goes into affect the day comments are due (Aug. 27), suggesting that the agency will not take into account concerns of the nonprofit community. OMB Watch plans to submit comments. The Global Health Council also opposes the PVS.

InterAction, a coalition of U.S.-based foreign aid groups including many that receive USAID funding, will have to deal with this head on and has sent a letter to the Chief Privacy Officer at USAID asking that the plan be withdrawn. The letter also points to the other numerous concerns, such as the possible infringement upon privacy laws in other countries and the possibility that the lives of those working in some areas may be put at risk. "If they are perceived to be extension of the U.S. intelligence community, terrorist attacks against them can only increase."

The InterAction letter also addresses there has not been any verified need for the program. "USAID has not demonstrated a need for such a system. There is no evidence that USAID funds are flowing to terrorist organizations through NGOs. The Office of the Inspector General has reported repeatedly that it has found no such diversion in exercising its oversight of programs in USAID's sensitive West Bank/Gaza portfolio. Nor has it reported finding such diversions elsewhere. Neither has any other competent authority. There is no statutory basis for the PVS or any similar system outside of, arguably, the West Bank and Gaza. The fact that Congress has not required such measures elsewhere indicates the proposed system has not been deemed necessary by our national legislature. Nor is it required by Executive Order 13324."