Nonprofit revenue data released amid fraud scandal shows breathtaking amount, top six blue states

The “revenue” of American nonprofit organizations operating in blue states soared in 2024, suggesting a need for further fraud investigations.

Citing recent data from ProPublica’s Nonprofit Explorer, Fox News reported on Monday that California’s 213,720 nonprofit organizations collected $593.4 billion in “revenue” in 2024.

Fox News defined revenue as money collected through “government grants and reimbursements, donations, service fees, investment income, and contracts for public services.”

Other prominent blue states and their nonprofit “revenue” are listed below:

  • New York: 132,097 nonprofits, $445.8 billion
  • Pennsylvania: 85,346 nonprofits, $247.3 billion
  • Washington: 44,332 nonprofits, $139.5 billion
  • New Jersey: 56,332 nonprofits, $113 billion
  • Minnesota: 41,267 nonprofits, $124.2 billion

The release of this data comes amid an unprecedented federal investigation into nonprofit fraud, particularly in Minnesota.

“The Department of Justice is dispatching a team of prosecutors to Minnesota to reinforce our U.S. Attorney’s Office and put the perpetrators of this widespread fraud behind bars,” Attorney General Pam Bondi told Fox News last week.

The fraud in Minnesota was recently discovered by investigative journalist Nick Shirley, who traveled to dozens of Somali-owned daycares in Minneapolis, only to discover that no daycares were present.

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Instead, he found sham nonprofit shells that were being used to collect federal taxpayer money that was then being funneled into the hands of Minnesota’s Somali community — as well as Somalis overseas.

“The Somali fraud rings have sent huge sums in remittances, or money transfers, from Minnesota to Somalia,” journalists Ryan Thorpe and Christopher Rufo reported for City Journal last year.

“[A]n estimated 40 percent of households in Somalia get remittances from abroad. In 2023 alone, the Somali diaspora sent back $1.7 billion—more than the Somali government’s budget for that year,” they added.

Multiple law enforcement sources previously confirmed to Thorpe and Rufo that Minnesota’s large Somali population has specifically been funneling millions of taxpayer funds right into the hands of Al-Shabaab.

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An official who worked on the federal Joint Terrorism Task Force (JTTF) bluntly told the pair that “every cent that is sent back to Somalia benefits Al-Shabaab in some way.”

To his credit, former Attorney General Merrick Garland began the first round of investigations into fraud in Minnesota back in 2022 when he uncovered the Feeding Our Future scheme.

Thorpe and Rufo have written about this scandal as well.

“Using fake meal counts, doctored attendance records, and fabricated invoices, the perpetrators of the fraud ring [tied to Feeding Our Future] claimed to be serving thousands of meals a day, seven days a week, to underprivileged children,” the two reported last year. “In 2021, Feeding Our Future received nearly $200 million in funding.”

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The investigation into these scams has continued into the Trump administration.

“Under [Attorney General Pam] Bondi, the DOJ has continued pursuing cases tied to Feeding Our Future, along with related investigations involving alleged juror bribery and health care fraud,” Fox News notes.

“Bondi has said the scope of the misconduct is larger than previously understood and warned that additional criminal charges are expected, bolstered by the deployment of more federal prosecutors to Minnesota,” according to the conservative news network.

Fox News further notes that 98 fraudsters in Minnesota have already been charged, while 64 have been convicted. Of the 98/64, the majority have been of Somalian descent.

“Most of these cases, unlike a lot of Medicare fraud and Medicaid fraud cases nationally, aren’t just overbilling,” then-acting U.S. Attorney for the District of Minnesota Joe Thompson reportedly said at a September press conference.

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“These are often just purely fictitious companies solely created to defraud the system, and that’s unique in the extent to which we have that here in Minnesota. What we see are schemes stacked upon schemes, draining resources meant for those in need. It feels never-ending. I have spent my career as a fraud prosecutor, and the depth of the fraud in Minnesota takes my breath away,” he added.

Vivek Saxena

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