Nonprofit Transparency Under Scrutiny: What a $6M Maryland Contract Controversy Teaches About Financial Accountability

A recent controversy involving a Maryland nonprofit highlights a growing concern in the nonprofit sector: financial transparency and compliance.

The organization We Our Us has come under scrutiny after receiving a $6 million state contract despite reportedly failing to provide timely financial disclosures and required tax filings. The contract was awarded by the administration of Wes Moore, Governor of Maryland, raising questions among nonprofit accounting experts about governance, oversight, and compliance.

For nonprofits and organizations receiving public or grant funding, this case underscores a critical reality: strong financial management and transparent reporting are essential for maintaining public trust and securing funding.


Missing Filings Raise Concerns Among Accounting Experts

According to reports from Spotlight on Maryland, We Our Us has struggled to produce required tax filings while preparing to manage millions in taxpayer funding.

Experts in nonprofit accounting—including professors such as Linda Parsons of the University of Alabama and Brian Mittendorf of Ohio State University—have raised concerns about the situation.

Key issues cited include:

  • Delayed filing of required nonprofit tax returns
  • Missing financial information from prior fiscal years
  • Failure to list board members in tax filings
  • Lack of whistleblower policies
  • Absence of conflict-of-interest policies

Experts note that nonprofits are required to file annual tax forms regardless of whether they undergo an audit.

“If you’re getting taxpayer dollars, you need to have the capacity to report how those dollars are spent,” Parsons said.

These issues are particularly concerning because the organization reportedly relied on taxpayer funds for roughly 95% of its revenue.


Why Financial Reporting Matters for Nonprofits

Nonprofits that receive government funding, grants, or public donations must maintain strong financial transparency and compliance.

This includes:

  • Filing IRS Form 990 annually
  • Maintaining accurate financial statements
  • Implementing governance policies
  • Providing public access to financial documents when requested

Failure to comply can lead to:

  • Loss of funding opportunities
  • Legal penalties
  • Damage to organizational credibility
  • Increased scrutiny from regulators and donors

In this case, critics argue that stronger financial oversight may have identified potential concerns before the contract was awarded.


Governance and Financial Oversight Are Critical

In addition to delayed tax filings, the nonprofit’s leadership has also faced scrutiny. Reports indicate that the organization’s president, Antoine Burton, allegedly had more than $200,000 in personal tax liens.

Experts say governance structures and due diligence are critical when organizations are entrusted with public funds.

Strong nonprofit governance should include:

  • Independent board oversight
  • Financial transparency and reporting controls
  • Conflict-of-interest policies
  • Whistleblower protections
  • Professional financial management

Without these safeguards, nonprofits risk operational instability and loss of public trust.


The Growing Importance of Professional Nonprofit Accounting

As nonprofits handle larger grants and government contracts, the need for professional accounting and financial leadership has never been greater.

Organizations must ensure they have systems in place to:

  • Track restricted and grant funds properly
  • Maintain audit-ready financial records
  • Prepare compliant tax filings
  • Demonstrate financial accountability to funders

At MMR CPA, we work with nonprofits to strengthen their financial infrastructure and compliance through:

  • Nonprofit bookkeeping and accounting
  • CFO advisory services
  • Financial reporting and budgeting
  • Audit preparation and compliance support
  • Governance and financial controls

Our goal is to help organizations build credibility with donors, grantmakers, and government agencies while focusing on their mission.


Protect Your Nonprofit with Strong Financial Leadership

Transparency and financial accountability are no longer optional for nonprofits—they are essential for long-term sustainability and funding success.

Whether your organization is preparing for grant funding, managing government contracts, or strengthening financial oversight, having the right financial systems and leadership in place can make all the difference.

Schedule a consultation with MMR CPA to ensure your nonprofit’s financial operations are compliant, transparent, and ready for growth.

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