President Donald Trump issued a directive last week ordering the Department of Justice to investigate whether federal grant funds are being used for illegal lobbying or partisan political activity.
The order, titled “Use of Appropriated Funds for Illegal Lobbying and Partisan Political Activity by Federal Grantees”, instructs the Attorney General to review how federal dollars are distributed and to take enforcement action against organizations that may be using taxpayer money to influence legislation or support political candidates. A report on the investigation’s progress is due to the president within 180 days.
Trump said recent funding reviews uncovered “highly political overtones” in the way some federal grants are spent, calling it a “wasteful, abusive, and potentially fraudulent” misuse of public money. Federal law (31 U.S.C. 1352) already prohibits recipients of federal funds from using those funds for lobbying purposes, but nonprofits find workarounds.
The directive could have implications in Alaska, where billions of federal dollars flow into the state each year through grants to local governments, tribes, nonprofits, universities, and health organizations.
For example, The Alaska Center (for the Environment), a nonprofit focused on environmental advocacy and community engagement, has received federal grants and has a political arm that financially supports candidates and pushes political agendas. Specifically, it has been awarded funds through the Environmental Justice Thriving Communities Grantmaking Program, a funding mechanism of the EPA, with grants ranging from $150,000 to $350,000.
Another focus of funding will be the various arms of tribal organizations in the state, which are regularly found to advocate for public policy issues. Catholic Social Services and Covenant House Alaska are also federal grantees that may engage in lobbying.
The Attorney General’s report, due within six months, will determine whether Alaska organizations face new compliance burdens or even enforcement actions if they are found to be engaging in partisan political battles.
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