Public Policy Update - May 2, 2025
Philanthropy Southeast regularly provides members with updates on the latest public policy developments in Washington and state capitols around the region, analyzing their possible impact on the charitable sector. If you would like to see an issue featured in a future Public Policy Update, contact Jaci Bertrand at jaci@philanthropysoutheast.org.
View Our Town Hall & Webinar on In-District Meetings
Recordings of our April 22 Member Town Hall and our April 29 webinar on in-district meetings are now available on the Philanthropy Southeast Program Archive!
The Town Hall, focused on how philanthropy is supporting nonprofits and communities amid uncertainty, drew more than 100 attendees and featured reflections from Cory Anderson of the Winthrop Rockefeller Foundation, the Community Foundation for Greater Atlanta’s Frank Fernandez, Kerri Forrest from the Coastal Community Foundation of South Carolina, and the Southern Education Foundation’s Kenita Williams.
Our webinar on in-district meetings included an update on the policy and legislative landscape in Washington, including recent executive orders, and insights from two members who have organized meetings with lawmakers in their communities: Betsy Pennewill of the Community Foundation of Sarasota County and The Blocker Foundation’s Whitney Saunders.
We plan to hold other webinars as the policy environment changes – keep an eye on our website and your email for future event announcements!
Tax Policy Update: Divisions Among Republicans on Path Forward
House Republican leaders are hoping to pass a massive tax-and-spending package the week of May 19 ahead of the Memorial Day recess. While no legislative text has been released, that bill could include changes to the charitable deduction, taxes on endowments, or other provisions helpful or harmful to the charitable sector.
However, there are signs that the ambitious timeline put forward by leadership may not be realistic. For example, the House’s top taxwriter, Ways & Means Committee Chairman Jason Smith (R-MO), has yet to commit his panel to meeting leadership’s deadline, which would realistically require a markup to be scheduled next week or the week of May 12.
The biggest hurdle in the House, however, may come from Republican lawmakers who are wary of voting for a bill that would require deep cuts in Medicaid to cover tax cuts and increased spending in other areas.
Another divide is between House and Senate Republicans. While both chambers passed an identical budget blueprint earlier this year, that blueprint gave the House and Senate dramatically different mandates on how much spending would need to be cut. Republican senators have also signaled that the cuts to Medicaid being pursued by the House are a non-starter in their chamber.
Key Treasury Nominee Affirms Importance of Charitable Sector
Earlier this week, the Senate Finance Committee approved the nomination of Ken Kies to be Assistant Treasury Secretary for Tax Policy – if confirmed by the full Senate, Kies would be a key voice on policies affecting the charitable sector.
As part of the Finance Committee’s confirmation process, Keis provided written responses to questions submitted by senators. One, from Sen. Raphael Warnock (D-GA), asked whether Keis would work “to ensure that tax policy supports the work of tax-exempt organizations so that these nonprofits can continue to serve our communities in a robust way.” In his response, Kies said “I will work to ensure that tax policy supports the work of tax-exempt organizations, consistent with the law. These institutions play a vital role in serving communities across the country, and I am committed to ensuring that tax policy continues to reflect and support that role.”
A Senate floor vote on Keis’ nomination has not been scheduled.
