Lobbying, Advocacy and the Law for Nonprofits under section 501(c)(3) Charity Lobbying in the Public Interest (CLPI)

Lobbying can be an effective means through which a nonprofit can achieve its mission.

There are several common myths about the laws on lobbying by charitable nonprofits… n Lobbying is not legal n Even if lobbying is legal it will make an organization subject to audit by the IRS n There are no clear definitions of what is lobbying, and what is not lobbying

Is lobbying legal? n YES! Lobbying by charitable nonprofits -- tax-exempt under section 501(c )(3) of the Internal Revenue Code -- is absolutely legal.

What do I need to know to follow the IRS rules for lobbying by 501(c)(3)s? n Go to the Charity Lobbying in the Public Interest or the Alliance for Justice at www. afj.org website for greater detail www. afj.org www. afj.org

What are nonprofit lobbying No No’s n Nonprofit organizations can not write a check to a candidate for political office n Nonprofit organizations can not endorse a candidate for political office n Executive staff, board members, volunteers any individualwithin these organizations can write a personal check or personally endorse.

What is Direct Lobbying? Direct Lobbying is when an organization attempts to influence specific legislation by stating its position or urges a legislator to support, oppose or otherwise take action on a bill or proposed legislation.

What is Grassroots Lobbying? n When an organization urges the public to take action on specific legislation n Key elements of grassroots lobbying are: u Refer to specific legislation; u Reflect a point of view on its merits; u Encourage the general public to contact legislators; and u Supply the public with legislative contact information.

Ballot Initiatives and Referenda n When a nonprofit urges the public to vote for or against a ballot initiative or referendum. n Lobbying communications for or against ballot initiatives may be conducted through the media or other means. n Lobbying for or against ballot initiatives and referenda is considered direct lobbying, not grassroots, because the public becomes the legislature.

Not Lobbying n Response to written requests from a legislative body for technical advice on pending legislation, even if the organization takes a position on the legislation. u E.g., a request to provide testimony at a hearing. u Cannot be a request from an individual legislator.

Not Lobbying n Discussion of broad social, economic and similar policy issues whose resolution would require legislation. u Even if specific legislation on the matter is pending. u So long as the discussion does not address the merits of specific legislation.

Ballot Measures can be supported by Nonprofits-May 19th Proposition 1A: State Finance Sales Tax, VLF & Other Tax Proposition 1D: Budget Act of 2008 Ca. Children and Families Act: Use of Funds: Services for Children Proposition 1E: The Mental Health Services Act: Prop. 63 Amendments