“political activity and lobbying for charitable organizations what works? what is legal?”

“POLIT

ICAL ACTIV

ITY AND

LOBBYI

NG FOR CHARITA

BLE

ORGANIZATIONS

WHAT WORKS? W

HAT IS LE

GAL?”

J OE G

E I GE R , E X E C U

T I V E DI R E C T O

R

P A NO

QUIZ1.Is Pennsylvania a state or

a commonwealth?

2. Largest County?

3. Number of bills proposed?

4.Number of bills signed?

GENERAL THOUGHTS• There is no such thing as perfect public

policy - Feudal times…• This is not rocket science - relationships• If you are not at the table, who is?• Sticking your head in the sand does not

mean you won’t get hurt - opinion on NPO• All social legislation ever passed has been

the result of community benefit lobbying• Grassroots lobbying is crucial

WE ARE CREATING MORE COMPETITION FOR THE SAME DOLLAR

We are fighting among the nonprofit community to see whose issue is the most important issue

THREE COMMON BARRIERS TO INVOLVEMENT IN PUBLIC POLICY

• Legality – Is it legal for 501(c )(3) organizations to advocate and lobby?

• Legitimacy – Is it legitimate and appropriate for nonprofits to advocate and lobby?

• Effectiveness – How can nonprofits advocate effectively?

LEGALITY OF CHARITY LOBBYING OVERVIEW

Origins of Federal RestrictionsTradeoff for tax-deductible contributionsSources of Federal Restrictions IRS – restricts all 501 (c)(3) nonprofitsOMB A-122 Circular – Prohibits use of federal funds for lobbying and political activity - 1984

Grant contract – Contractual restrictions are another possible restraint on the use of particular funds for lobbying

LETTER FROM IRS

• Center for Lobbying in the Public Interest answers nine key questions regarding the legality of nonprofit lobbying

• A common misunderstanding among charities is that the clear prohibition on using federal funds to lobby prevents them from using other funds for lobbying

LEGITIMACY OF NONPROFIT ADVOCACYWhy advocate for change in public policy?Serves your mission and clientsServes policymakers by providing information and solutions

Contributes to better public policy outcomesPromotes civic participation and democratic values

It feels good

LOBBYING!

• It’s the right thing to do! • Basic to our democratic way of life• It is perfectly legal• If you don’t lobby, you may miss an

opportunity to help those you serve• If you are not at the table, who will

be? • Provide a voice for many who do not

have access• (Three Execs in the countryside)

IRS DEFINITION OF LOBBYING

• Contacting or urging the public to contact legislators for the purpose of proposing, supporting or opposing legislation

• The organization advocates the adoption or rejection of specific legislation

ELECTIONEERING• Charities are prohibited by law

from engaging in electioneering• Neither party has a monopoly on

brains or ethics

PENALTIES

10% excise tax organizations

IndividualsLoss of tax exemption

QUASI-ALLOWABLE ACTIVITIES

• Voting Records• Questionnaires• Public Forums• Awards• Voter Registration • Transportation to electionsCannot target a particular demographic to the exclusion of

another.

INDIVIDUAL PERSONAL ACTIVITIES

• Contributions• Volunteering• Letters of

Support

DEVELOPING AN EFFECTIVE ADVOCACY PROGRAM

The Three-legged StoolGrassrootsMediaLegislative

GRASSROOTS LOBBYING• “All politics is Local” – Tip O'Neill –

What does this mean?• The power of grassroots emanates

from the fact that politicians should be responsive to their constituents

• In fact, most politicians do believe they should be responsive, and are looking for input from constituents

MEDIA LEG OF YOUR ADVOCACY PLAN – START WITH GOALS

• Discuss why the media is necessary for an advocacy plan

• Learn what is newsworthy- Who’s perspective?

• Understand the components of crafting a message for the media

• Become familiar with media tools and rules

• Gain experience crafting the message

LEGISLATIVE LEG OF YOUR ADVOCACY PLAN

• Identify how government impacts your mission:• Laws, regulations, funding• Local, state, federal government• Target specific public policy changes • Just a few strong issues• Understand the legislative process• Stay informed on legislative action• Activate your organization to impact legislative

process

MEETING WITH YOUR LEGISLATOR• Nervous? You know more about

the subject• Advance appointment important• A small delegation is OK – and

may be better• Discuss issue from your

legislator’s perspective

MEETING WITH YOUR LEGISLATOR• Can’t answer a question?

Don’t bluff, but offer to get answer

• Leave fact sheet• Write - say thanks -- remind

legislator of agreements reached

OTHER COMMUNICATION STRATEGIES

• Mail• E-mail• Telephone• Letter writing

OTHER WAYS TO COMMUNICATE

Invite legislator to:Visit your facilitySpeak at a meeting sponsored by your group

Meet with your boardAttend breakfast meeting at state capitol

LOBBY REGISTRATION & PENALTIES• Individuals who fail to register, fail to report

spending, or file false or incomplete statement could face a $50 penalty for every day failure to properly register, a fine of up to $2,000 and could be banned from lobbying for up to five years

• Organizations that intentionally fail to report spending could face up to $25,000 in fines and possible criminal prosecution by the State Attorney General

THANK YOU!

Joe Geiger, Executive DirectorPennsylvania Association of Nonprofit Organizations

Joe@pano.org717-236-8584