What We're Tracking in DC
Introduction of the SPONSOR Act
Sen. Ted Cruz (R-TX) and Sen. Ted Budd (R-NC), along with Rep. Nathaniel Moran (R-TX), introduced the Stop Proxy Organizations Nurturing Subversive Operations and Riots (SPONSOR) Act (H.R.7799/ S.3942).
The bill would codify the definition of a fiscal sponsor and the legal relationship between a sponsor and its sponsored project. It specifies that the fiscal sponsor will be liable for any criminal acts arising from the fiscal sponsorship and will also retain civil liability for a sponsored project that engages in certain activities, including aiding or abetting international terrorism; the physical obstruction of inter- or intrastate commerce; and physical obstruction, intimidation, or injury of people exercising a constitutional right.
We are continuing to engage Council members to understand whether there may be unintended consequences.
Senate Hearing on Foreign Influence in Higher Education
Yesterday, the Senate Committee on Health, Education, Labor, and Pensions held a hearing on “Transparency and Trust: Exposing Malign Foreign Influence in Higher Education.” Chairman Bill Cassidy (R-LA) highlighted the DETERRENT Act (S.1296), legislation he and Sen. Thom Tillis (R-NC) introduced last year that would increase transparency around foreign donations to colleges and universities.
Committee Republicans focused on influence from foreign governments, particularly the Chinese Communist Party, on U.S. universities. Meanwhile, Committee Democrats called for Secretary of Education Linda McMahon to testify in front of the Committee. While the Committee did not discuss philanthropy, conversations around higher education often reflect sentiments about the broader sector. We will continue to monitor this conversation.
Proposed Regulations for the Federal System for Award Management
In February, the General Services Administration (GSA) issued proposed revisions to the certifications nonprofits; state, local, and tribal governments; and other organizations seeking federal grants, agreements, loans, and insurance make to access the System for Award Management (SAM) portal.
The proposed revisions ask organizations to certify they will:
- Remain in compliance with all federal laws and executive orders “prohibiting unlawful discrimination on the basis of race or color in the administration of federally funded programs;”
- Not harbor, shield, hire, or recruit undocumented immigrants; and
- Not fund, subsidize, or facilitate violence, terrorism, or other illegal activities that threaten public safety or national security.
The draft regulations seek to implement the Department of Justice’s Guidance for Recipients of Federal Funding Regarding Unlawful Discrimination memo and Executive Order 14173: Ending Illegal Discrimination and Restoring Merit-Based Opportunity.
Comments on the proposed revisions are open until March 30. The Council plans to submit comments to the GSA. Reach out to govt@cof.org to let us know how they would impact your work.