  We employ x-ray spectroscopy to characterize the distribution and magnetism
of particular alloy constituents in (Ga,Fe)N films grown by metal organic vapor
phase epitaxy. Furthermore, photoelectron microscopy gives direct evidence for
the aggregation of Fe ions, leading to the formation of Fe-rich nanoregions
adjacent to the samples surface. A sizable x-ray magnetic circular dichroism
(XMCD) signal at the Fe L-edges in remanence and at moderate magnetic fields at
300 K links the high temperature ferromagnetism with the Fe(3d) states. The
XMCD response at the N K-edge highlights that the N(2p) states carry
considerable spin polarization. We conclude that FeN{\delta} nanocrystals, with
\delta > 0.25, stabilize the ferromagnetic response of the films.
