Rights of Government Grantees

Articles & Analysis

Census Amendment Stalls Appropriations Bill, LSC Funding

Civil rights groups are urging the Senate to reject a controversial amendment to the FY 2010 Commerce, Justice, and Science (CJS) Appropriations bill (H.R. 2847) currently working its way through Congress. Sens. David Vitter (R-LA) and Robert Bennett (R-UT) have proposed the amendment, which is designed to cut off funding to the Census Bureau unless the 2010 Census survey includes a question regarding citizenship and immigration status. The amendment flap has delayed passage of the CJS legislation, which would, in part, increase funding and restore speech rights to Legal Services Corporation (LSC) grantees.

Assessing the Impact of the Social Innovation Fund

The Social Innovation Fund (SIF) is the Obama administration’s major philanthropic effort, with the White House requesting $50 million for the program earlier in 2009. While it is clear that the administration is interested in innovation within the nonprofit sector, organizations are uncertain about how the program will impact their work.

Senate Set to Lift Legal Services Corporation Restrictions

On June 25, the Senate Appropriations Committee approved a bill that increases funding for the Legal Services Corporation (LSC) in FY 2010 and drops some speech restrictions on legal aid grant recipients that have been in place since 1996. The Senate version of the bill increases legal aid services by $10 million over FY 2009 levels, but it contains $35 million less than the Obama administration's request. The House version of the bill has $40 million more than the Senate version, but it continues a number of speech restrictions dropped by the Senate bill.

Legal Services Corporation Changes Introduced

Momentum is growing for Congress to eliminate severe restrictions on legal aid programs that receive Legal Services Corporation (LSC) funds. LSC programs are currently prohibited from engaging in certain activities such as lobbying, participating in agency rulemaking, and bringing class-action lawsuits. The new congressional efforts come as reports show how the restrictions have harmed home foreclosure prevention efforts.

Obama Administration Delays Implementation of Controversial USAID Rule

On Feb. 2, the Obama administration announced that it was delaying the implementation of the controversial Partner Vetting System (PVS) rule and opening a 30-day public comment period. The rule is now scheduled to go into effect on April 3.

GAO Reports on Nonprofit Funding through Sub-Award Contracts

A recent report to the chairman of the House Budget Committee shows that the federal government relies on networks and partnerships to achieve its goals, and many of these involve nonprofit organizations. The Government Accountability Office (GAO), the investigative arm of Congress, produced the report.

Questions Loom for President's Office of Faith-Based and Neighborhood Partnerships

On Feb. 5, President Barack Obama signed an executive order establishing the White House Office of Faith-Based and Neighborhood Partnerships to help address the nation's social problems by strengthening the capacity of faith-based and community organizations. The executive order amends a Bush-era order that created the former Office of Faith-Based and Community Initiatives. Despite campaign promises, the Obama order does not reverse the Bush policy that allowed federal agencies to award contracts to faith-based organizations that discriminate in their hiring processes based upon religious affiliation, marital status, or sexual orientation.

Obama Withdraws Family Planning Policy, Restores Some Nonprofit Speech Rights

On Jan. 23, President Barack Obama issued a memorandum withdrawing the Mexico City Policy. The Mexico City Policy prohibited organizations funded by the U.S. Agency for International Development (USAID) from using private, non-USAID funds to engage in activities including "providing advice, counseling, or information regarding abortion, or lobbying a foreign government to legalize or make abortion available." Foreign nonprofits, referred to as nongovernmental organizations (NGOs), were already barred from using U.S. funds to pay for abortions as a method of family planning. However, the Mexico City Policy went further and ultimately restricted the free speech rights of government grantees.

Past, Future of Faith-Based Initiative in the News

A late June conference sponsored by the White House Office of Faith-Based and Community Initiatives (OFBCI) featured a speech by President Bush praising the faith-based initiative as "one of the most important initiatives of this Administration." On July 1, Democratic presidential candidate Barack Obama announced his plan to restructure the program, criticizing lack of funds for the current effort and promising to bar religious hiring discrimination for federally funded positions. The next day, Republican presidential candidate John McCain issued a statement disagreeing with Obama on the hiring issue.

Comments Blast Proposed Affiliation Rule for HIV/AIDS Grantees

A proposed U.S. Agency for International Development (USAID) rule for international HIV/AIDS grantees has generated criticism and calls for change. If implemented, the proposed rule would force such grantees to choose between adopting government policy for their entire organizations or setting up completely separate affiliated organizations. Comments from OMB Watch, the Brennan Center for Justice, and two members of Congress contrast the harshness of the proposed separation requirements with the much more flexible standards the agency has adopted for its faith-based initiative.