Nilsson founded the Tenderloin Action Group in San Francisco. He works with "drifters and dreamers who shared the same conundrums of heart and head that confront us all." The organization has a grass-roots theatre group and are putting together a film, "Chalk," a pool-hall drama, about and starring homeless actors. Nilsson began the project as a way to alleviate his own feelings concerning his younger brother, who lived on the street.