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Trump’s Smart Move to Cut Nonprofit Funding
City Journal ^ | Aug 18 2026 | Naomi Schaefer Riley, James Piereson

Posted on 08/19/2026 5:41:40 PM PDT by T Ruth

The Trump administration is changing the nonprofit landscape. A recent report from Granted AI found that federal grants to “everyday” charities that are not hospitals or universities dropped more than 40 percent when comparing the months from February to September 2025 with the same period a year earlier.

The Chronicle of Philanthropy has sounded the alarm, noting, “Nonprofits have long relied on federal funding to help them provide vital services to their communities.” And since this funding was “often viewed as more reliable than funding from grant makers, which can shift priorities,” the loss of federal money has “upended finances for charities across the country.” But maybe such an earthquake is long overdue.

First, it’s important to understand what counts as an “everyday charity.” In addition to the well-publicized cuts from the U.S. Agency for International Development (USAID), which supported NGOs operating in foreign countries, the Trump administration also “abruptly canceled grants to criminal-justice groups, cut funding to arts and humanities organizations, and canceled funding for NPR and PBS.” No doubt some of these cuts resulted from groups running afoul of the administration’s anti-DEI agenda. ...

***

Finally, the fact that government, especially the feds, allocates so much money to nonprofit groups has pushed the entire sector into becoming advocates for more government spending. Once a group receives a federal grant, it soon turns its attention to receiving the next one, and it becomes part of a larger operation calling for more spending at a time when the federal government is already almost $40 trillion in debt.

It’s time for a reset of the relationship between the public and nonprofit sectors. The Trump administration is off to a good start.

(Excerpt) Read more at city-journal.org ...


TOPICS: Crime/Corruption; Government; News/Current Events
KEYWORDS: temporary

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1 posted on 08/19/2026 5:41:40 PM PDT by T Ruth
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To: T Ruth

Good. We will get the usual suspects saying nothing is happening...

But it is.

For too long we have allowed the Left to funnel money freely into “non-profits” that directly benefitted the Democrat Party.

It is why, in my opinion, they have made the SAVE America Act the hill to die on. We should help them die on that hill.


2 posted on 08/19/2026 5:57:21 PM PDT by rlmorel (Factio Communistica Sinensis Delenda Est)
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To: T Ruth

“””Finally, the fact that government, especially the feds, allocates so much money to nonprofit groups has pushed the entire sector into becoming advocates for more government spending. Once a group receives a federal grant, it soon turns its attention to receiving the next one, and it becomes part of a larger operation calling for more spending at a time when the federal government is already almost $40 trillion in debt.

It’s time for a reset of the relationship between the public and nonprofit sectors. The Trump administration is off to a good start.”””


I agree with you in that the last two paragraphs are very important.

NGOs have become a major lobbying group instead of doing their original mission of helping people.

When George W Bush introduced Faith Based Initiative 20 plus years old, the idea sounded good. Namely, the government would send money to local charities doing good work.

Instead what has happened over the past 20 years is that NGOs have become criminal enterprises.


3 posted on 08/19/2026 6:00:17 PM PDT by Presbyterian Reporter
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To: rlmorel

And since this funding was “often viewed as more reliable than funding from grant makers, which can shift priorities,”

Right. Instead of private funding they now need to ‘comply’ with govt standards to maintain funding. What a crock


4 posted on 08/19/2026 6:01:42 PM PDT by linedrive ( )
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To: T Ruth

“vital services” aka the annual season for Summer Riots.


5 posted on 08/19/2026 6:06:55 PM PDT by Aria (Voted for Trump 2016, 2020 & 10/22/2024 )
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To: Presbyterian Reporter

I might also add-—
“””at a time when the federal government is already almost $40 trillion in debt”””


As of today the debt has passed $40 trillion.
$40,047,425,768,420.22

https://fiscaldata.treasury.gov/datasets/debt-to-the-penny/debt-to-the-penny


6 posted on 08/19/2026 6:14:15 PM PDT by Presbyterian Reporter
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To: Aria

“vital services”, i.e. grease the palms to get out the vote, like busing homeless vagrants to the polling stations and paying them $20 bucks for their ballot.


7 posted on 08/19/2026 6:15:52 PM PDT by Flavious_Maximus (Tony Fauci will be put on death row and die of COVID!)
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To: T Ruth

The next President will just re-allocate it. Or the next after the next.

Nothing is actually being abolished. I wish we could get more permanent things going. Yes temporary is nice but its not easy to get drunk on temporary.

The Administration never asks for things to be abolished, nor have they IIRC ever asked for a true budget to be passed - it’s always a continuation of Obamunism emergency spending bills.


8 posted on 08/19/2026 6:20:30 PM PDT by ProgressingAmerica (The U.S. Constitution is not a suicide pact. Progressivism is a suicide pact.)
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To: T Ruth

“””The Trump administration is off to a good start.”””


We had the DOGE team in early 2025 identify areas of waste, fraud, and abuse.

In order to fix a problem, the first step is to identify that a problem exists.

Following DOGE we had creative folks like Nick Shirley and James O’Keefe expose specific examples of waste, fraud, and abuse by NGO’s being funded by the Feds.

As of today, a typical American would have to have been living under a rock since January 2025 to not know there are major problems with the government funding of NGOs.

Yes, the Trump administration is off to a good start.

of course, we still have the ‘instant gratification’ crowd who complain that things are not already fixed.

Well, it took over 20 years of government funding of NGO’s to create the problem Trump’s administration has exposed.

It will take constant future work to undo the 20 years of roadblocks the NGOs have erected to keep their scams alive.


9 posted on 08/19/2026 6:38:00 PM PDT by Presbyterian Reporter
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To: Presbyterian Reporter

Elect new politicians, cut spending, prosecute fraudsters, deport Illegals.


10 posted on 08/19/2026 6:38:13 PM PDT by citizen (Say it with me.....the UK is now UKistan. Short & to the point.)
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To: T Ruth

Pass legislation to end non profit status for all organizations. We have self perpetuating foundations earning billions of dollars on investments using that money to destroy our nation. Why should any organization, including religious organizations be free from taxation? Universities have huge endowments generating millions in investment income which could be used to lower tuition. Instead universities raise tuition faster than inflation because federal college loan programs cover tuition cost for many students. Many religious denominations have huge real estate portfolios generating tax free income. Taxpayers should not be forced to subsidize religious activity by giving religious organizations tax fee status? If religious organizations are generating profits, let them pay taxes on the profits.


11 posted on 08/19/2026 7:28:15 PM PDT by Soul of the South (The past is gone and cannot be changed. Tomorrow can be a better day if we work on it.)
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To: T Ruth

You often hear about “useless” college degrees and wonder: Where do the people with these degrees find jobs? The answer is that non-profits and NGOs soak up many of them.


12 posted on 08/19/2026 8:00:08 PM PDT by rbg81 (=)
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To: T Ruth

I think, this is a double edged knife.

Historically, it was conservatives that realized faith based groups did far better than some cold impersonal government organization devoid of morals / principals etc.

https://www.georgewbushlibrary.gov/research/topic-guides/office-faith-based-and-community-initiatives

There was a push to get money for groups helping with criminal rehabilitation or drug users, etc.

But I think like the Internet that in it’s infancy may I dare claim was conservative in many ways, has been taken over by these liberal groups that see free money and were able to construct some “public good” argument.

We live in a world where we have “climate refugees.” Allowing government to pump tax money into non profits today means a lot is simply going towards made up BS that is a front for some political or borderline fraudulent activity, IMHO.


13 posted on 08/19/2026 9:09:46 PM PDT by Red6
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