Empowering Nonprofits Act

HR 314, the Empowering Nonprofits Act, reduces the cost-sharing requirement for certain nonprofit organizations receiving federal grants. Specifically, it lowers the nonprofit's share of grant costs by 25% for five years after enactment for organizations located in states where over 20% of people live below the federal poverty line. This applies only to 501(c)(3) nonprofits that are exempt from federal income tax. The bill directly affects eligible nonprofits in high-poverty states by making federal grants more accessible with lower upfront financial obligations. It modifies existing grant rules without creating new programs or changing eligibility for other organizations.