Federal, state, and tax compliance developments are converging in ways that require immediate attention from nonprofit leaders. This February 23, 2026 Navigator News Update highlights tightening federal grant compliance expectations, increased DEI-related enforcement activity, funding disruption risks, and key IRS, audit, and fraud-prevention issues—alongside significant state-level proposals affecting nonprofit funding, transparency, political activity, and fundraising operations. Use this update to prioritize governance and compliance actions, strengthen documentation, and plan for operational and financial resilience.
