The National Rifle Association (NRA) has reached a settlement with the District of Columbia’s attorney general, agreeing to governance changes following accusations of mishandling tax-deductible donations raised by an affiliated charity. The NRA was accused of using charitable donations for political activity, drawing millions from the foundation’s funds.
The settlement was portrayed by the NRA as a victory, with the organization claiming that funds taken from the foundation were used for charitable programs. However, the attorney general characterized the settlement as the NRA using its foundation as an “unchecked piggy bank” to divert millions of dollars.
This settlement is the latest legal issue for the NRA, following a ruling earlier this year that found the organization’s leader liable for misspending organization money. The NRA also faces litigation in federal court in New York and has been dealing with internal dissent due to management and spending practices.
As part of the settlement, the NRA has agreed to a number of steps to create transparency in financial management. This includes requiring grant applications before receiving funds, creating a reporting process for funds usage, rules for loans, creating an audit committee, and establishing policies on conflicts of interest. The NRA has also agreed to monitor and report any changes to the attorney general’s office through 2026.
The settlement comes amidst financial challenges for the NRA, including declining membership and revenue. Efforts are being made to improve governance and financial practices in the wake of regulatory scrutiny. While the NRA continues its political advocacy work, activities related to gun safety training and marksmanship are considered legitimate uses of foundation funds.
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