The Senate Finance Committee is looking at nearly a dozen private museums opened by individual collectors, including downtown L.A.’s Broad Museum, the New York Times reports. Senators are examining whether the entities are actually performing work that merits a tax-exempt status.

According to the Times, Republican committee staff members said the inquiry is part of a broader effort by Sen. Orrin G. Hatch of Utah to re-examine institutions, including museums and private universities, that have enjoyed preferential tax treatment.

“Tax-exempt museums should focus on providing a public good and not the art of skirting around the tax code,” said Senator Hatch, in a statement that was also emailed to the Los Angeles Business Journal. “While more information is needed to ensure compliance with the tax code, one thing is clear: under the law, these organizations have a duty to promote the public interest, not those of well-off benefactors, plain and simple.”

The committee sent letters to 11 art museums across the country, requesting more information about visiting hours, donations, valuations, grants and art loans. Besides the Broad, ESMoA in El Segundo also received a letter.

A copy of the letter, which was sent to the Business Journal, says that charitable organizations have an important role in promoting good in society.

“To assist and encourage these organizations, Congress created 501 of the Internal Revenue Code,” the letter reads. “The Internal Revenue Service, with Congress’s oversight, is charged with ensuring that organizations that have been granted 501(c)(3) status are, in fact, performing work that benefits the public.”

“However, recent reports have raised the possibility that some private foundations are operating museums that offer minimal benefit to the public while enabling donors to reap substantial tax advantages,” the letter also says.

One apparent concern is that wealthy people may have avoided big tax bills by giving their art, which may have appreciated greatly in value, to foundations, which they control.

The Broad is backed by billionaire philanthropist Eli Broad and his wife, Edythe. The museum did not respond to requests for comments.

Andrea Schnoor, a spokeswoman for ESMoA, said that since the museum charges no admission and has no cash register on site, it only makes revenue from donations.

“We provide post cards, posters, and art materials free of charge to visitors. However, since we have no revenue we have no taxable income,” Schnoor said in an email, although she did not directly address the museum’s tax exempt status.

ESMoA is described as an “art laboratory” run by Brian and Eva Sweeney’s non-profit foundation.