Support for the Southern Poverty Law Center (SPLC) and against donor-advised fund (DAF) sponsors that cut off donations to the organization seems to be gaining steam.
The SPLC’s supporters, which include individual and organizational supporters, signed a letter decrying the DAF sponsors’ decision to not process fund distribution request to the SPLC from their clients. The letter, which is dated May 6, is hosted on inclusion-promoting foundation Democracy Fund’s website (https://democracyfund.org/idea/sign-on-letter-in-support-of-the-southern-poverty-law-center/).
A May 12 statement from Democracy Fund listed 75 signers. As of midday on May 13, that number had increased to 89 signers.
The letter followed the decision by several donor-advised fund sponsors, including DAFGiving360 (the DAF operations of Charles Schwab), Fidelity Charitable and Vanguard Charitable, to block fundholders from making donations to the SPLC from their DAFs. The DAF sponsors blocked the fund transfers after the U.S. Department of Justice filed an 11-count indictment against the Southern Poverty Law Center alleging SPLC, in part, raised funds and made payments to, and in support of, undercover informants within hate groups.
DAF sponsors have the option of blocking distributions to nonprofits under investigation to avoid charges of funding allegedly illegal activities. However, leaders at the SPLC have denied the illegality of their organization’s actions, and have claimed the Department of Justice’s indictment is based on ideological differences, rather than legal malfeasance.
In late April, SPLC Interim CEO and President Bryan Fair released a video statement in which he said, in part, “We are… unsurprised to be the latest organization targeted by this administration…the focus appears to be on the SPLC’s prior use of paid confidential informants to gather credible intelligence on extremely violent groups. This use of informants was necessary because we are no stranger to threats of violence.
“There is no question that what we learned from informants saved lives,” Fair added. “Today the federal government has been weaponized to dismantle the rights of our nation’s most vulnerable people. And any organization like ours that tries to stand in the breach…We will not be intimidated into silence or contrition, and we will not abandon our mission or the communities we serve… We will vigorously defend ourselves, our staff, and our work.”
The DAF sponsors acknowledge suspending donations. Asked for comment, a spokesperson for DAFgiving360 wrote: “Per DAFgiving360 policies, granting to Southern Poverty Law Center has currently been suspended. If a governing body of a charity declares an investigation into a charity it oversees, DAFgiving360 may suspend grants to the organization. DAFgiving360 applies its policies consistently across all charitable organizations.”
A spokesperson for Vanguard Charitable responded: “Vanguard Charitable grants only to organizations that meet IRS eligibility requirements. If we become aware an organization has been charged with a crime by state or federal authorities, we pause grantmaking while the matter is pending.”
It continued: “All grant decisions are made based on the information available at the time of the grant recommendation.”
A spokesperson from Fidelity Charitable referenced the organization’s due diligence process, which reads, in part: “Instances when a grant recommendation might be declined… Illegal or noncharitable activities: The organization is being investigated for alleged illegal activities or non-charitable activities, such as terrorism, money laundering, hate crimes, or fraud. In addition, other state and federal agencies may review the activities of a charitable organization, which can also affect whether Fidelity Charitable makes grants to an organization.”
The Democracy Fund letter calls out the federal government’s threats and actions against nonprofits, as well as the DAF sponsors’ decisions to halt distributions, saying in part:
We are living through a broader moment that demands we name what we are seeing. The organizations and institutions that protect our democracy are under sustained and coordinated pressure. There is a documented pattern of the federal government threatening nonprofit organizations, law firms, and even public servants who disagree with the current administration, a pattern that courts have rebuked repeatedly.
And as with law firms and universities, financial institutions and other intermediaries critical to charitable work now appear to be acting out of intimidation. When donor-advised fund sponsors preemptively decline to process contributions to civil rights organizations, the effect is no different from any other form of targeted pressure. It chills free speech and erodes our democracy.
The letter ends with a call for more qualified signers. The link to raise a hand as a potential signer can be found here: https://docs.google.com/forms/d/1_FLQOIxmHf3KYRMPj8quiDwIigVYUBTRaNwY2OF-uDk/viewform?ts=69f8b3c8&edit_requested=true
Currently, the signers include:
Aaron Dorfman, National Committee for Responsive Philanthropy
Adasina Social Capital
Adelaide Park Gomer, President – Park Foundation
Akonadi Foundation
Alissa Keny-Guyer
Andrew Goodman Foundation
Anonymous
Anonymous
Asian Americans/Pacific Islanders in Philanthropy
Bernard and Anne Spitzer Charitable Trust
Betsy Fairbanks
Brighton Jones
Catherine Raphael
Clara Miller
Common Counsel Foundation
Communitas Financial Planning PBC
Community Foundation of Mendocino County
Conant Family Foundation
David Bronner
Democracy Fund
Don Chen, Surdna Foundation
Dorothy Quincy Thomas
Dr. John W. Cavanaugh, Ph.D.
Edie Harding
Emily Teitsworth
Foundation for Middle East Peace
Franklin Weinberg Fund
Fred Blackwell
Freedom Together Foundation
Geraldine R. Dodge Foundation, President and CEO
Grantmakers for Effective Organizations
Grantmakers in the Arts
Greg Taylor
Humanity United
Hyams Foundation
Isabelle Murphy
Jackie Nirenberg
John H. Jackson
Jubitz Family Foundation
Kataly Foundation
Kenneth Rainin Foundation
Laughing Gull Foundation
Laurie Schecter
Leslie Ramyk
Lucas Garrett
Marc Bendick Jr and Mary Lou Egan Charitable Trust
McGregor Fund
Michelle Puckett
Miguel A. Santana
Movement Strategy Center
Nat Chioke Williams
Onion Foundation
Open Society Foundations
Philanthropy Northwest
Philip W. Eubanks
Phyllis B. Rubin
Pia Infante
Pink House Foundation
Priscilla Kersten
Propel
Racial Justice Investing Coalition
Raikes Foundation
Ray Colmenar
Richard and Lynn Voelbel
Rickke Mananzala
Robert Wood Johnson Foundation
Roger + Margot Milliken
Ruth Goldman
Scherman Foundation
SSoqo, Unitarian Universalist Service Committee
Stonewall Community Foundation
Susan Orkin
Susan Thomas
The Albert Pick, Jr. Fund
The Arca Foundation
The California Endowment
Theresa Ellis, Liminality Partners
Tides
Timothy Silard
Tina Barber
Tom Mendelsohn & Julia Gittleman
United Philanthropy Forum
- Frothingham
Voices for Progress
Wallace Global Fund
Way to Rise
Way to Win
Weissberg Foundation
Women’s Foundation of Minnesota
