Funding and planning for the 250th anniversary of the signing of the Declaration of Independence fell largely to two nonprofits with similar names: America250 and Freedom 250.
That similarity has sowed a lot of confusion over who was in charge of which celebrations. And according to a report House Democrats released on July 2, 2026, one of the groups, Freedom 250, has allegedly engaged in some fraudulent fundraising practices that took advantage of that confusion.
A Freedom 250 spokesperson, Danielle Alvarez, has denied the allegations. But the allegations have piqued my interest because I’m an accounting professor who researches charitable fraud.
America250
America250 is a bipartisan initiative established by Congress in the Semiquincentennial Commission Act of 2016 to encourage nationwide participation in 250th anniversary events. Because it’s a charitable nonprofit with 501(c)(3) status, that organization does not have to pay any taxes, and its donors may be able to deduct their gifts from their taxable income.
America250’s stated mission is to “inspire our fellow Americans to reflect on our past, strengthen our love of country, and renew our commitment to the ideals of democracy through programs that educate, engage, and unite us as a nation.”
It has hosted several major events, including the American Block Party events held July 3-4, 2026, in Los Angeles, New York City, Philadelphia, Boston and other cities. Its funding comes from money appropriated by Congress, as well as donations from corporations and individuals.
American250’s events are ongoing and throughout the country – both in both Democratic- and Republican-leaning states.
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Freedom 250
Freedom 250 is much newer.
It was founded through an executive order President Donald Trump signed in January 2025. The National Park Foundation oversees and owns Freedom 250 LLC, a limited liability company formed at the request of the National Park Service, and it receives federal funding for use at events approved by the park service.
There is no statement on the tax-deductibility of donations on the Freedom 250 website or on the National Park Foundation site. But the law firm Skadden released tax guidance stating that Freedom 250 essentially borrows its tax-exempt status from the National Park Foundation, which is a 501(c)(3) organization eligible for tax-deductible donations.
The White House has described Freedom 250’s purpose, in part, as to “ignite a spirit of adventure and innovation to help our nation succeed for the next 250 years, and invite Americans to pray for our country and our people and rededicate ourselves as One Nation Under God.”
After Congress appropriated US$150 million for 250th anniversary events in the big tax, spending and immigration bill Trump signed into law on July 4, 2025, much of that money flowed to Freedom 250’s coffers. The Trump administration is now asking lawmakers to provide $10 million more in federal funds, citing “elevated security threats against high-profile events in Washington, D.C.”
The White House has actively promoted Freedom 250 events, including the Great American State Fair on the National Mall and the UFC fight on the White House grounds. Up next: The 2026 Patriot Games, a national competition for high school athletes, Aug. 9-11, followed by a Grand Prix, Aug. 22-23 – a 1.66-mile (2.67-kilometer) temporary street circuit around the National Mall. Drivers will complete 125 laps.
Trump has played a central role at Freedom 250 events, giving a keynote speech at the Great American State Fair that emphasized his “Make America Great Again” agenda and a long political speech before the July 4 fireworks display.
Many performers, including country singer Martina McBride and rock musician Bret Michaels, declined to participate in Freedom 250 events due to their political overtones. They said they opted out after finding out the events would not be the nonpartisan celebrations they had originally been led to expect.
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Alleged wrongdoing
The House Committee on Natural Resources has oversight responsibilities for the National Park Service. House Democrats on the committee began investigating Freedom 250 to understand why it was created after Congress had established America250.
In their report, those lawmakers said they received incomplete answers from Department of Interior officials, including Interior Secretary Doug Burgum.
In the 55-page interim report, released on July 2, the lawmakers allege that some donors who intended to support America250 were instead given directions to wire funds to Freedom 250’s bank account.
Additionally, the report says that some corporate sponsors and other donors were targeted for donations. Some sponsors allege that they were pressured to support Freedom 250 instead of America250.
This report may appear partisan because a group of Democrats released it. Even so, in my view, these allegations of misleading donors and wire fraud could be grounds for legal charges.
I believe that if these allegations are proven true, Freedom 250 has committed a crime called charitable solicitation fraud.
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Charitable solicitation fraud
This kind of fraud occurs when a charity asks for donations using false or misleading claims about who is asking for a gift, where the money will go or what the donated funds will be used for.
Both Freedom 250 and America250 operate and are registered in the District of Columbia. As a result, they are subject to the District of Columbia laws dedicated to charitable solicitations, which can be used to stop unlawful fundraising, dissolve nonprofits or freeze their funds.
The D.C. government can challenge the spending of funds that is not in line with the charitable purpose of nonprofits like these.
The D.C. attorney general’s office has previously used these laws to stop fraudulent solicitations as well as other kinds of charitable wrongdoing.
Additionally, federal law prohibits deceptive charitable solicitation, and it’s up to a government agency, the Federal Trade Commission, to investigate consumer claims of fraudulent fundraising.
The FTC, for example, shut down a massive fraudulent operation in 2021 that raised more than $110 million from 1.3 billion deceptive fundraising robocalls for a variety of charitable causes, including support for homeless veterans, cancer patients and children with autism.
The IRS could potentially get involved as well if there is evidence that Freedom 250, a tax-exempt organization, has violated federal tax laws that apply to nonprofits with that status. And if authorities investigate the wire fraud allegations for Freedom 250, the Department of Justice, and possibly the FBI, may get involved in the investigation.
Even if the Democrats’ allegations don’t lead to lawsuits and official probes by government agencies, it is likely that Freedom 250 will continue to be subject to scrutiny as additional events celebrating America’s founding take place.