Editor’s Note: When it was announced that Peter Churchbourne had been named Executive Director of the NRA Foundation, I had questions. The first was one I think a lot of people ask. What is the difference between the NRA and the NRA Foundation—beyond the requisite IRS paperwork? I incorrectly assumed that the NRA Foundation is part and parcel of the National Rifle Association. That is not the case at all.

To clear up my confusion, and the confusion of what I assume are many others, we asked Churchbourne and the folks at the NRA Foundation to explain what exactly is the NRA Foundation and its structure. As to the other main question, $500 million. That’s the total in grants doled out since the Foundation’s inception, making it the proverbial 800-pound gorilla when it comes to supporting shooting sports, ranges and vital Second Amendment related programs.

In 1990, the NRA Foundation incorporated in the District of Columbia as a separate not-for-profit corporation and separate legal entity with its own governing documents, its own board, and its own officers. It was approved by the IRS as a 501(c)(3) public charity in 1990.

While affiliated with the NRA, the Foundation has, since its inception, always been a separate and distinct nonprofit organization with separate corporate forms.

At the time of the creation of the Foundation, the NRA was physically headquartered in DC, and it established the Foundation as a District of Columbia nonprofit organization. This took place years before the NRA moved its headquarters to Fairfax Virginia.

In creating the Foundation, governing documents were filed with the District of Columbia clearly showing the Foundation’s mission included raising charitable dollars to promote, advance, and encourage the 501(c)(3) activities of the NRA and other qualified groups that align with the Foundation’s mission to support and enhance the shooting sports and Second Amendment education.

Since inception, the Foundation has provided over $500 million in grants to support qualified organizations and programs, including the NRA’s Education and Training, Competitions, Law Enforcement, Eddie Eagle, Hunter Education and other charitable programs.

In 2020, the District of Columbia Attorney General brought an action against the NRA and the Foundation following the enforcement action by the New York Attorney General against the NRA and certain named NRA officers.

It is notable that no Foundation employees, officers or Board members were named in the DC action against the Foundation.

The Foundation vigorously defended against the DCAG frivolous action. Ultimately, the DCAG, the Foundation and the NRA entered into a consent decree (found here) on April 17, 2024. Neither the Foundation nor the NRA admitted liability and none was found.

Instead, the Foundation agreed to enact and implement various governance requirements that were either already undertaken by the Foundation or that expanded on and improved Foundation operations and established best practices.

The Foundation was not required to pay any money to the DCAG nor was constructive trust or monitorship imposed. In entering this Consent Decree, the Foundation was able to avoid protracted litigation and an expensive trial and settle this matter favorably.

In the action, the Foundation rebutted many false allegations. For instance, it was alleged that the NRA exercised excessive control over the Foundation and its funds. This was not true and no evidence that came out during the case supported that statement.

From its inception, the Foundation was set up to be an affiliated entity with the NRA. This is quite common in the nonprofit world. Despite this affiliation, the Foundation remains a separate legal entity. In the interest of making improvements to corporate governance, compliance and internal controls, the Foundation amended its Bylaws (something it has always had the authority to do) to provide an even greater degree of independence from the NRA including as to selection for membership on its Board.

From the very beginning, the Foundation’s operations have been conducted by NRA employees whose time and professional responsibilities, in whole or in part, were allocated to the Foundation. This includes the position of the Executive Director, financial services and management, and grant review and approval obligations.

The Foundation, in turn, reimbursed the NRA for fair market value of the fees, salaries, and expenses associated with the allocated work. Such a reimbursed shared services relationship is commonplace among affiliated nonprofits.

As a further improvement to its internal controls and best practices, the Foundation and NRA formalized this arrangement by entering into a “Shared Services Agreement.” Pursuant to the Agreement, and in furtherance of the Board members’ fiduciary responsibilities, the Foundation is given more extensive supporting information on items for which it reimburses the NRA.

The Foundation’s governance function is satisfied with its 15 Trustees currently serving on the Board. The Foundation’s President and a Vice President also serve as Trustees and are responsible for governance oversight and decision-making.

The Foundation Board also has established its own audit committee, compliance committee and an investment subcommittee. The Foundation’s governing documents are subject to continuing review and assessment. The Board works with in-house and outside counsel to ensure the Foundation’s policies, practices and governing documents are aligned with dynamic best practices.

The Foundation has also hired an independent Executive Director who exclusively reports to and is subject to the direction of the Foundation Board. This important step is the latest in an effort to ensure the Foundation continues to maintain its independence in budgeting, financial accountability and grant review and approval.

The Foundation has long exercised robust fiscal policy and compliance with its statutory and regulatory obligations.

The Foundation and its board and officers take the charitable mission of the Foundation and their own individual legal obligations quite seriously. This is reflected in the strong financial position of the Foundation as America’s leading charitable organization in support of the shooting sports.

The Foundation continues in its charitable activities in an extremely well-run manner that is reflected in the Foundation’s bottom line.

You can find more information about the NRA Foundation at: The NRA Foundation Mission at Work | NRA Foundation