A number of nonprofit organizations - from the United Way to the Hershey School to Adelphi University - have been making news in recent years for management lapses involving executive pay and perks, management of endowment property, and conflicts of interest, among other things. Congress has held hearings on these matters, but has so far refrained from enacting legislation that would significantly enlarge the federal role in nonprofit governance. Traditionally, governance oversight of such organizations has been primarily the responsibility of state attorneys general, with federal oversight focused largely on compliance with Internal Revenue Code rules. Might that change? Should it?
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