July 2004 Roundtable IS's initial response (PDF) to the Senate Finance Committee's discussion draft Other papers submitted for the Roundtable posted on the Committee's website Staff discussion draft ("white paper") released before June 2004 meeting Testimony of Diana Aviv, Independent Sector president and CEO at June 22, 2004 hearing: Written Testimony (PDF) Oral Testimony Press Release June 22 statement of Chairman Grassley (PDF) and Ranking Member Baucus (PDF) and testimony of other witnesses are available from the Senate Finance Committee website. U.S. Joint Tax Committee Description of Law Relating to Charitable and Other Exempt Organizations (PDF) Live Broadcast -- The archived webcast is available from the Kaiser Family Foundation's website, Kaisernetwork.org

Senate Finance Committee Roundtable
on Nonprofit Sector

The Senate Finance Committee held a roundtable on July 22, 2004, to consider responses to a staff discussion draft proposing reforms for tax-exempt organizations. The comments shared will inform the Committee's work on legislation to improve the oversight, governance, and operations of charities and private foundations.  Independent Sector President and CEO Diana Aviv, and several IS members, participated in the roundtable and submitted comments.  See the Committee's press release (PDF) for a list of participants.

Subsequently, the Senate Finance Committee sent a letter encouraging Independent Sector to convene a national panel on the nonprofit sector "to consider and recommend actions that will strengthen good governance, ethical conduct and effective practice of public charities and private foundations."

Senate Finance Committee Hearing
The Senate Finance Committee held a hearing on June 22, 2004, regarding “Charity Oversight and Reform:   Keeping Bad Things from Happening to Good Charities.”

Independent SectorPresident and CEO Diana Aviv testified on the importance of the sector, the actions many organizations are taking to address concerns raised by the media and Congress, and how government might be helpful in this process.

Finance Committee Chairman Chuck Grassley (R-IA) and Ranking Member Senator Max Baucus (D-MT) focused on:

• enforcement of laws governing charities and foundations;
• tax shelter schemes;
• donor gifts of tangible and intangible property;
• governance and best practices of charities and foundations; and
• current problems and issues in the charitable and foundation community.

Chairman Grassley hoped the hearing would serve as a basis for consideration of possible legislation to improve governance of charitable organizations and curb charitable giving abuses. The Finance Committee staff released a "white paper" prior to the June 22 hearing that outlines the preliminary thoughts about legislative proposals to address compensation of board and staff, board responsibilities for financial oversight, valuation of in-kind contributions, and other issues.

Last Updated: October 12, 2004