Today, the U.S. House Ways and Means Committee will consider H.R. 9721, the Fiscal Sponsorship Transparency Act of 2026. Introduced by Representative Lloyd Smucker, the bill would create broad and unclear requirements, put sensitive nonprofit and project information at risk, increase financial and administrative burdens, and impose consequences that are disproportionate to the concerns they seek to address.
To read the bill text, click here.
H.R. 9721 takes an overly broad and punitive approach that could cause significant harm to nonprofits and the communities they serve. The bill would require project-level reporting without any minimum size or dollar threshold. Because nonprofit annual tax filings are generally public, it could make sensitive information about sponsored projects and organizational parties publicly available, including financial amounts, descriptions of activities, the designated officer responsible for an arrangement, and the dates the arrangement began and ended.
For further questions, please contact Caroline O’Neill.
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