Two (I hope) clarifying comments:
1. The tax-exempt-qualifying part of Stanford's mission is not confined to providing education to individual needy students; the requirements are defined more broadly (and apparently includes the intercollegiate part of DAPER!). As the IRS explains:
The exempt purposes set forth in section 501©(3) are charitable, religious, educational, scientific, literary, testing for public safety, fostering national or international amateur sports competition, and preventing cruelty to children or animals. The term charitable is used in its generally accepted legal sense and includes relief of the poor, the distressed, or the underprivileged; advancement of religion; advancement of education or science; erecting or maintaining public buildings, monuments, or works; lessening the burdens of government; lessening neighborhood tensions; eliminating prejudice and discrimination; defending human and civil rights secured by law; and combating community deterioration and juvenile delinquency.
https://www.irs.gov/charities-non-profit...tion-501c3
2. 2006alum may have been referring to the tax deduction for contributions to Stanford as a federal subsidy, rather than to direct federal grants to Stanford.
1. The tax-exempt-qualifying part of Stanford's mission is not confined to providing education to individual needy students; the requirements are defined more broadly (and apparently includes the intercollegiate part of DAPER!). As the IRS explains:
The exempt purposes set forth in section 501©(3) are charitable, religious, educational, scientific, literary, testing for public safety, fostering national or international amateur sports competition, and preventing cruelty to children or animals. The term charitable is used in its generally accepted legal sense and includes relief of the poor, the distressed, or the underprivileged; advancement of religion; advancement of education or science; erecting or maintaining public buildings, monuments, or works; lessening the burdens of government; lessening neighborhood tensions; eliminating prejudice and discrimination; defending human and civil rights secured by law; and combating community deterioration and juvenile delinquency.
https://www.irs.gov/charities-non-profit...tion-501c3
2. 2006alum may have been referring to the tax deduction for contributions to Stanford as a federal subsidy, rather than to direct federal grants to Stanford.