Greetings Friend,

The landscape for philanthropy is shifting fast. Major policy changes in Washington — from the rapid closure of USAID to looming tax legislation — threaten to disrupt critical funding pipelines for global development. These shifts could leave civil society groups in the US and abroad without essential resources, making philanthropy’s role more critical than ever.

Philanthropy has stepped up in crises before — during the pandemic, funders mobilized quickly, increasing giving, accelerating grants, and removing restrictions to meet urgent needs. We know US global grantmakers are responding in this moment and appreciate their commitments to the partners and communities they support around the world. 

At the Council, we’re closely watching what’s happening on Capitol Hill, in the courts, and through executive actions. Our Tax Reform Hub offers up-to-date resources and material as Congress works on tax legislation, the Public Policy Action Network connects advocates, Washington Snapshot delivers regular updates, and Member Policy Briefings bring leaders together to discuss how these changes are affecting the sector and what it means for the road ahead.

As always, please do not hesitate to reach out if we can be of any support. Council members can contact the following teams:

• The Council’s legal team at legal@cof.org
• The Council’s government affairs team at govt@cof.org
• Sign up for more frequent policy updates via our Washington Snapshot newsletter

How Philanthropy is Responding to U.S Aid Cuts

• With critical global programs at risk, several emergency funds are stepping up to provide immediate relief. Funds like the Foreign Aid Bridge Fund, GlobalGiving Community Aid Fund, and NEAR Bridge Funding Window are helping affected organizations stay afloat. But leaders are clear — philanthropy can’t fill the gap left by U.S. foreign assistance.
• US foundations are also announcing increased support for partners. MacArthur Foundation is a global grantmaker committing an additional $150 million over the next two years, and President John Palfrey called on peers to take bold action in support of communities in this moment. 
• Many foundations are also increasingly flexibility with grantees, supporting networks that play key roles for the sector, and investing in advocacy related to foreign assistance.   

All the best,

Natalie Ross Vice President of Membership, Development, and Finance natalie.ross@cof.org	Brian Kastner Director of Engagement brian.kastner@cof.org

Upcoming at the Council

Global Training Registration is now open!

With foreign aid cuts, policy shifts, and growing uncertainty, now is the time to strengthen your expertise. Our three-half-day virtual training, backed by the Council’s 40+ years of experience, provides a deep dive into global regulations, practical tools for navigating complex systems, and fresh insights informed by the latest data and research. Join us for one of these offerings: 

• Spring Dates: April 22, 24, & 30
• Fall Dates: November 12, 13, & 19

Learn more and register for the April dates now!

Legal and Regulatory Resources

Sweeping Policy Changes Disrupt U.S. Aid Programs

• USAID Cuts & Fallout: The shutdown of 83% of USAID programs has left unpaid partners facing layoffs, while the remaining 1,000 programs moved to the State Department. Although a judge has ordered the release of $2B in frozen aid, the damage is already being felt. More than 700 diplomats have issued a formal dissent, warning that decisions jeopardize partnerships, erode trust, and create openings for geopolitical adversaries.
• Changes to USADF Leadership & IAF Shutdown: President Trump has nominated Office of Management and Budget Director Russell Vought to the boards of the U.S African Development Foundations (USADF) and the Inter-American Foundation (IAF), following weeks of leadership purges and grant terminations. While a court order temporarily blocks further changes to USADF, IAF has been virtually dismantled, with unconfirmed individuals now controlling both agencies amid legal and congressional challenges.
• DOJ’s FARA Revisions Spark Concern: Comments were due on proposed revisions to the Foreign Agents Registration Act (FARA) last week. Press freedom organizations warn that the revisions could force foreign-affiliated journalists and media organizations to register under FARA, restricting their ability to operate freely. Advocacy groups have also raised concerns that waiting for DOJ advisory opinions could delay critical international advocacy efforts. Despite opposition, the DOJ is expected to proceed with at least some of the revisions.

Foundations for Ukraine

The Robert Bosch Stiftung and Charles Stewart Mott Foundation recently launched Foundations for Ukraine (F4U) — an open, global network of funders dedicated to sustaining Ukraine’s civil society now and in long-term recovery. The network welcomes foundations worldwide and partners with key organizations to strengthen collaboration and communication. 

News and Resources

• Germany’s Aid Future in Question: Germany's new government is expected to cut aid funding, prioritizing migration and security, with CDU proposals influenced by AFD, including potential BMZ restructuring.
• UK Slashes Foreign Aid to Fund Defense: Prime Minister Keir Starmer announced a cut to the UK’s aid budget from 0.5% to 0.3% of GDP, redirecting billions to military spending.  NGOs and aid leaders condemned the cuts, calling them “a day of shame for Britain” and warning of devastating global consequences.
• Israel Introduces Stricter Regulations on Foreign NGOs: A new directive allows Israel to deny or revoke permits for international humanitarian organizations operating in Palestinian areas if they engage in boycotts, delegitimization, or denial of the October 7 massacre, with stricter criteria for NGO registration and oversight. 

Keep in Touch!

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