Did you know that in The Bronx alone, there are over 6,000 registered 501(c)(3)’s, otherwise known as “Non-Profit Organizations”? According to taxexemptworld.com, there are 6,355, to be exact. From religious institutions to charities, social services, and arts organizations, any and every type of non-profit you can think of, you will find “Uptown”. But what exactly is a “non-profit organization” or NPO for short?
“NPOs” are defined as entities that exist to further a social cause and serve a public benefit. The examples listed on the IRS’ website are:
- Charitable and Religious organizations-Organizations organized and operated exclusively for religious, charitable, scientific, testing for public safety, literary, educational, or other specified purposes and that meet certain other requirements are tax exempt under Internal Revenue Code Section 501(c)(3). Churches and religious organizations, like many other charitable organizations, may qualify for exemption from federal income tax under Section 501(c)(3).
- Private foundations-Every organization that qualifies for tax-exempt status under Section 501(c)(3) is classified as a private foundation unless it meets one of the exceptions listed in Section 509(a). Private foundations typically have a single major source of funding (usually gifts from one family or corporation rather than funding from many sources) and most have as their primary activity the making of grants to other charitable organizations and to individuals, rather than the direct operation of charitable programs.
- Political organizations-A political organization subject to Section 527 is a party, committee, association, fund or other organization (whether or not incorporated) organized and operated primarily for the purpose of directly or indirectly accepting contributions or making expenditures, or both, for an exempt function.
- Other nonprofits-Organizations that meet specified requirements may qualify for exemption under subsections other than 501(c)(3). These include social welfare organizations, civic leagues, social clubs, labor organizations, and business leagues.
As of 2020, the population in The Bronx sits just below 1.5 million. So that means for every 250 people living in the borough, there is at least one type of NPO to serve those people’s needs. So why in 2025 are we seeing a new NPOS being formed in The Bronx? How does pouring taxpayer resources into new organizations help the already over-saturated and underserved population? How do these tax-exempt entities really affect the local population, and how can we, as the public, primary funders, and stakeholders, hold these organizations accountable?
Let’s face it, The Bronx has an NPO problem, and it’s only getting worse. To fully understand the scope of the situation today, we should take a trip down memory lane and look back at some of the notoriously notable organizations that have claimed to serve the borough. For example, some of you may recall former NY State Senate Majority Leader Pedro Espada Jr., who was an accused corrupt politician and was later found guilty of having used a taxpayer-funded NPO health-care network to financially benefit him and his family.
Espada, a once-powerful figure in Albany politics, a close ally of Ruben Diaz Sr., and the head of Comprehensive Community Development Corp., was accused of transforming the umbrella organization that oversaw the Soundview HealthCare Network into a personal and political piggy bank. The following is an excerpt from the court filings presented by then Attorney General, Andrew M. Cuomo:
Comprehensive Community Development Corporation (“Soundview”), a not-for-profit health care organization in the Bronx, was founded by Pedro Espada, Jr. in 1978. Mr. Espada is presently Soundview’s President and Chief Executive Officer (“CEO”). Mr. Espada has frequently extolled the good works of Soundview and has taken credit for his stewardship of the organization. However, when Soundview’s financial operation is examined and when the compensation of its top executives is reviewed, it is evident that Mr. Espada has manipulated the “not-for-profit” and perverted its legal purpose for his own personal and political benefit. Through excessive compensation packages, abuse of corporate credit cards, self-dealing and other abuses, Mr. Espada has grossly profited himself, his family and his loyal supporters and advanced his own political ambitions at the cost of millions of dollars to the patients of Soundview and the taxpayers of New York State. In essence, Mr. Espada has used Soundview as a personal piggybank.
According to records and accounts, Espada placed multiple family members in lucrative positions at Soundview, which received approximately $15 million annually and served more than 40,000 patients in The Bronx.
While Espada reportedly claimed no salary in 2007, IRS documents were later amended to reveal he paid himself more than $450,000 a year, exceeding industry standards by $80,000 for a nonprofit of Soundview’s size.
Meanwhile, the organization owed over $347,000 in unpaid federal and state payroll taxes, including withheld income and unemployment taxes. These unpaid obligations show a troubling pattern of financial neglect, even as family members drew huge salaries.
Espada has long faced legal fights over his management of the nonprofit. Though he was acquitted of charges that he misused $200,000 in Medicaid funds for political campaigns, four senior Soundview employees were convicted in 2001 for diverting funds meant for women, children, and people living with HIV to support Espada’s failed bid for Bronx Borough President.
In addition, Espada attempted to secure a $120,000 state job for his son, a move blocked by authorities and the potential investigation from then-Attorney General Andrew Cuomo. Under New York state law, elected officials are barred from influencing hiring decisions involving relatives.
“For Pedro Espada, politics is a route to wealth and power,” said one Bronx political insider. “And Soundview was his personal bank.”
Let’s fast forward back to today, where we have entered an era of local nonprofits looking to make a buck by aligning themselves with for-profits and PACS. For example, Tomas Ramos, owner of Nourish and CEO of both Wall Street-backed organizations Oyate Group and the Super PAC “Ending Homelessness & Building a Better NYC”. Ramos, who lost his initial election race to Ritchie Torres back in 2015, has managed to align himself with Trump allies such as Michael Andrew Jenkins as well as controversial community displacer and cop caller, Michael Brady. Then, we have the Northwest Bronx Community and Clergy Coalition, led by Sandra “6-figure” Lobo, making waves in the North Bronx with her proposal of building condos next to the Kingsbridge Armory. Even though these two nonprofits are in different locations, they have very similar agendas. They both claim to want to help the community, and they both aligned themselves with developers and gentrifiers, from Vanessa Gibson and Rob Walsh to big-name corporations like Maddd Equities.
Or how about the untraceable non-profit “Change The Narrative” supposedly owned and run by its so-called CEO, Amaurys Grullon, aka the Bronx Native. Change the Narrative was introduced back in 2019; however, in 2025, we have yet to locate any federal filings or EIN numbers associated with the brand, but they continue to gain government support, particularly from the Borough President and Mayor’s offices. Last but not least, one of the newest problematic nonprofits on the block, Bronx Independent Cinema Center, which is run by its CEO, Greg Hernandez. Founded in 2022, the young non-profit aims to amplify underrepresented voices through screenings, mentorship, etc. However, as of 2025, there have been an alarming number of reports regarding sexually inappropriate conduct from Greg towards fellow staff members and community mentees.
With the COPA, or the “Community to Purchase Act,” currently being introduced by the NYC Council, we thought it was imperative to inform the public about the types of NPOS that may benefit from this bill getting passed. Over the next few months, we will be exploring the NPOs of The Bronx. From highlighting company finances to community complaints/testimonials, our mission is to expose one of the largest problems plaguing our borough, parasitic NPOS draining communities of resources and their leaders, who are reaping the financial gain while our neighborhoods continue to be starved of their rightfully deserved taxpayer dollars.
Sources:
Not-for-Profit vs. Nonprofit: What’s the Difference? – Forbes Advisor
Exempt organization types | Internal Revenue Service
NYC_Nonprofit_Organizations.pdf
Economic Impact of Nonprofits | National Council of Nonprofits