SpaceXAI's Top Lawyer Funds Nonprofit Paying Government Salaries

A new investigation reveals a mysterious nonprofit, the America by Design Foundation, is funding the salaries of government employees working within the National Design Studio (NDS), an agency housed in the Executive Office of the President. This foundation is reportedly run by James Burnham, who serves as the General Counsel for Elon Musk's artificial intelligence space company, SpaceXAI. The findings prompt serious questions about transparency, potential conflicts of interest, and the blurring lines between federal government operations and private tech industry influence.

The National Design Studio, led by Airbnb co-founder and US Chief Design Officer Joe Gebbia, was established in August 2025 to overhaul government websites and services. It is seen as a successor to the controversial Department of Government Efficiency (DOGE), another Musk-backed initiative known for its opaque staffing and operational methods. Like DOGE, the NDS's staffing arrangements are raising eyebrows among ethics watchdogs.

WIRED’s investigation uncovered that at least two NDS members, Amittai Groot and John Cafazza, are officially employed by the America by Design Foundation and detailed to the Office of Personnel Management (OPM). Burnham, a former DOGE member, is listed as the foundation's managing director. The nonprofit was established just days after the NDS, and its address in government procurement records links directly to Burnham's residence.

The NDS appears to leverage the Intergovernment Personnel Act (IPA), a provision allowing skilled individuals from non-profits or universities to work in government temporarily. However, experts like Don Moynihan, a University of Michigan public policy professor, and Erie Meyer, a former chief technologist for the Consumer Financial Protection Bureau, argue that the NDS's use of IPAs may be sidestepping federal hiring protocols.

The arrangements for Groot and Cafazza highlight these concerns. Groot began his government detail less than a month after joining the America by Design Foundation, seemingly violating a rule requiring 90 days of prior employment with the home organization. While OPM partially reimburses Groot's salary, the foundation covers the substantial remainder, plus all benefits. For Cafazza, the foundation reportedly covers his entire employment cost, an arrangement Meyer describes as "very, very weird."

The direct link between the foundation and SpaceXAI's top lawyer is particularly problematic. SpaceXAI, Musk's company, is a significant federal contractor, having secured billions in government contracts, and is actively involved in integrating its Grok AI systems with federal ones. The undisclosed funding of the America by Design Foundation, coupled with Burnham's role and SpaceXAI's extensive government interests, creates a perception of undue influence. Burnham also heads Vallecito Capital, a fund supporting litigation against companies with progressive policies.

Groot has been credited with work on America.gov, an AI-powered platform recently launched by NDS to centralize government services like tax filing and passport renewal. This comes after NDS-designed websites were previously found to have installed commercial tracking software, violating the 1974 Privacy Act — code that was subsequently removed following media scrutiny.

Further documents show the foundation applied for an H-1B visa for a "member of technical staff," with Burnham again listed as managing director. The visa's timeline (April 2026-April 2029) spans the remainder of the second Trump administration. This echoes past concerns surrounding DOGE and NDS, which have reportedly included foreign nationals in their operations, such as Turkish national Baris Akis and Canadian national Yat Choi, raising additional questions about who is truly shaping US government services.

Neither the White House nor the Office of Personnel Management responded to WIRED’s requests for comment regarding the relationships between the foundation, OPM, and NDS, leaving critical questions about accountability and ethics unanswered. Moynihan emphasized, "We should know who is paying the salaries of government employees."

FAQ

Q: What is the America by Design Foundation and who runs it?

A: The America by Design Foundation is a recently formed nonprofit that is reportedly paying the salaries of some government workers detailed to the National Design Studio. It is run by James Burnham, the current General Counsel of SpaceXAI, Elon Musk's artificial intelligence space company.

Q: Why are these arrangements raising concerns?

A: The arrangements raise concerns about transparency, potential conflicts of interest, and whether federal hiring regulations are being circumvented. SpaceXAI has significant federal contracts and regulatory business, leading to questions about the influence of private tech interests on government operations, especially given the undisclosed funding of the foundation.

Q: How do these practices relate to past government initiatives?

A: The National Design Studio is considered a successor to the Department of Government Efficiency (DOGE), another Elon Musk-backed initiative that faced criticism for its opaque staffing and operations. Both NDS and DOGE have used methods, like the Intergovernment Personnel Act, which critics say allow them to bypass standard federal hiring processes and transparency requirements.