The Department of Government Efficiency (DOGE) is spearheading a massive reduction in workforce that extends beyond federal employees to include consultants, contractors, and NGO workers. This sweeping initiative aims to combat waste and fraudulent activities that have historically misused taxpayer funds. The National Council of Nonprofits reports that NGOs currently employ 250,000 individuals across Washington, D.C., Maryland, and Virginia – a sector now facing intense scrutiny under DOGE’s oversight.
A particularly concerning case has emerged involving the Climate United Fund, which received an unprecedented $7 billion grant from the Biden-Harris administration. This organization, characterized as a “popup nonprofit shell” by FOX Business reporter Elizabeth MacDonald, has raised significant red flags regarding its operations and expenditures.
The Climate United Fund’s trajectory is noteworthy – launching on November 30, 2022, with initial revenue of $547,000, the organization spent $451,000 within just two months of 2023. Of this amount, a quarter went to legal fees, while $323,000 was spent on undisclosed activities. The organization received its massive grant in April 2024 from EPA chief Michael Regan and Vice President Kamala Harris, despite having minimal documented plans for fund allocation beyond
approximately $50 million in solar projects across Idaho, Arkansas, and Oregon.
The organization’s leadership structure reveals strong ties to Democratic Party figures. CEO Beth Bafford previously served as a special assistant in Obama’s Office of Management and Budget and worked as a regional field director for the Obama Campaign. Other connections include Democratic Party of California chairman Phil Angelides, former Transportation Secretary Anthony Foxx, United Farm Workers co-founder Dolores Huerta, and Congressional Black Caucus representative Patrice Willoughby.
Manhattan Institute’s Director of Research, Judge Glock, highlighted that the $7 billion grant was secured with merely a 49-page report. The organization has also distributed funds to Power Forward Communities, an organization linked to Stacey Abrams. Analyst Jeff Carlson suggests the Climate United Fund might be “one of the primary vehicles to take advantage of the giant taxpayer-funded slush funds created by Biden.”
This scrutiny follows a Project Veritas report from December featuring a Biden EPA official discussing with an undercover reporter about “throwing gold bars off the Titanic” as an “insurance policy against Trump winning” through NGO investments. DOGE’s Elon Musk has publicly labeled the Climate United Fund a “major fraud” and a “major problem.”
Further investigation is now focused on the relationships between the Climate United Fund and various entities including Calvert Impact Climate Inc., FPIF Feeder Facility LP, Calvert Impact, INC., Equity for Impact LP, Community Investment Partners, INC., ImpactAssets Funded Guarantee LP, and Beth Bafford. The organization’s tax returns lack typical transparency regarding officer compensation and detailed expenditure plans for the allocated billions, raising additional concerns about its operations and oversight.
This development represents a significant shift in the scrutiny of government-funded NGOs and their role in climate initiatives, with potential implications for future federal grant allocations and nonprofit oversight. The case highlights growing concerns about the use of nonprofit organizations as potential vehicles for
redistributing federal funds without adequate transparency or accountability measures.