With school back in session and fall in the air, it’s the perfect time to get back to basics on the Rules of the Game podcast. On today’s episode, we’ll review how the advocacy rules differ across the various types of tax-exempt organizations, including 501(c)(3)s, 501(c)(4)s, and PACs. Whether you’re a seasoned advocate or just starting out, understanding these fundamentals is crucial for crafting bold advocacy plans that maximize your capacity and comply with the appropriate rules. Join us for a quick refresher!

 

Attorneys for this Episode

Melissa Marichal Zayas

Natalie Ossenfort

Susan Finkle Sourlis

 

Comparison of tax-exempt organizations

There are many different types of tax-exempt organizations – our federal tax code offers 29 different types of tax exemptions to choose from!

501(c)(3)s

501(c)(3) organizations are tax-exempt, and donations to 501(c)(3)s are tax deductible. With this favorable treatment come some restrictions related to lobbying and election season advocacy.

·      Public Charities (including Community / Public Foundations)

o   Prohibited from supporting or opposing candidates for public office

o   Allowed to lobby so long as they stay within certain lobbying limits and use unrestricted dollars to pay for lobbying activities

o   May also conduct nonpartisan election-related activities including voter outreach, voter education, voter registration, etc.

·      Private Foundations

o   Prohibited from supporting or opposing candidates for public office

o   Effectively barred from lobbying due to a steep excise tax that applies to private foundation lobbying expenditures

o   Should also be aware of specific rules related to voter registration activities

 

501(c)(4) social welfare organizations, 501(c)(5) unions, and 501(c)(6) trade associations

These organizations enjoy tax exempt status, but donations to them are not tax-deductible for the donor. However, they can engage in a wider array of advocacy activities than 501(c)(3)s.

·      They are allowed to lobby without tax code lobbying limits.

·      They can engage in some partisan political activity as a secondary purpose (for example, express advocacy).

·      When engaging in partisan activities, they need to be aware of campaign finance regulations and reporting thresholds.

·      At the federal level (and in most states), corporations – including tax-exempt organizations – are prohibited from making monetary or in-kind contributions to candidates or political parties.

 

527 – political organizations

527 political organizations include political parties; campaign committees for candidates running for federal, state, or local office; and federal or state political action committees (“PACs”).

·      The primary purpose of a 527 must be to engage in activities that influence the selection, nomination, election or appointment of an individual to a public office or an office in a political organization.

·      They do not generally engage in lobbying. Their lobbying expenditures may be subject to tax if the lobbying does not further political purposes.

·      There are many types of PACs, including traditional PACs and Super PACs.

 

How can these organizations work together? 

Despite the different restrictions on lobbying and political activity, there are several ways to safely collaborate with organizations that have a different type of tax exemption.

 

501(c)(3) private foundations & 501(c)(3) public charities

·      Private foundations and public charities can engage in joint nonpartisan, non-lobbying activities, like public education campaigns.

·      Private foundations can also fund public charities, but they must ensure that they don’t earmark any funds for lobbying.

 

501(c)(3) private foundations & 501(c)(4)s/501(c)(5)s/501(c)(6)s

·      Private foundations can also fund 501(c)(4)s, (c)(5)s, and (c)(6)s, but they must follow what are called the expenditure responsibility rules when granting to any non-(c)(3) organization.

 

501(c)(3) public charities & 501(c)(4)s/501(c)(5)s/501(c)(6)s

·      Public charities, including public and community foundations, can also collaborate with and fund (c)(4)s, (c)(5)s, and (c)(6)s.

·      Remember, your tax-exempt status follows your organization into any coalition work, so (c)(3)s must track any lobbying they engage in on behalf of or in support of the coalition and continue to stay within their lobbying limits.

·      All joint activities and campaigns must be nonpartisan, and any grants from a c3 to a c4 must prohibit the use of funds for partisan political activity.

·      The IRS will count the full grant from a c3 public charity to a c4 as a (c)(3) grassroots lobbying expenditure, unless the grant agreement explicitly prohibits the use of funds for lobbying or states what portions may be used for direct and for grassroots lobbying.

 

501(c)(4)s/501(c)(5)s/501(c)(6)s & 527 political organizations

·      501(c)(4)s, and all other corporations, should avoid making monetary or in-kind contributions to a political organization or candidate. These types of contributions are prohibited in federal elections, as well as in most state and local elections.

·      However, 501(c)(4) corporations may establish a traditional federal PAC via a Separate Segregated Fund.

o   501(c)(4) corporations may not contribute to this federal PAC or any other political organization, but they can pay for a connected SSF’s administrative costs.

o   There are other special limitations for this type of PAC, including that it can only raise funds from the connected organization’s bona fide members and its executive and administrative personnel and their families.

 

Resources

·      Alliance for Justice, The Connection: Strategies for Creating and Operating 501(c)(3)s, 501(c)(4)s, and Political Organizations (See p. 11 for chart comparing tax-exempt organizations)

·      Alliance for Justice, Focus on Foundations

·      Alliance for Justice, An Introduction to PACs

·      Alliance for Justice, How to Fund a 501(c)(4)

Ballot measures give voters a chance to participate in direct democracy while providing nonprofit organizations with a powerful platform to educate the public about issues they champion. In this episode, we discuss California’s pending redistricting ballot measure and other developments in direct democracy with returning guest Emma Olson Sharkey.

Attorneys for this Episode

• Tim Mooney

• Susan Finkel Sourlis

• Emma Olson Sharkey, Elias Law Group

The Importance of Ballot Measures

·       Ballot measures give voters direct power to shape laws and policies, bypassing legislatures.

·       For nonprofits, they’re a powerful platform to educate the public and advance mission-driven issues.

·       Emma Olson Sharkey—partner at Elias Law Group and one of the nation’s leading ballot measure experts—returns to share insights (last heard in ROTG 96).

California’s Prop 50: Mid-Cycle Redistricting

·       Background: California has an independent redistricting commission that drew maps in 2021 for the 2022 elections.

·       New twist: In response to Texas’ recent partisan maps, Governor Newsom and allies pushed for mid-decade redistricting.

·       The ballot measure: Prop 50, passed by the legislature and signed by the Governor, will go to voters in a special election on November 4, 2025.

Redistricting Through Ballot Measures

·       Ballot measures have long been used to reform redistricting across the U.S.

·       Examples:   – Successful: Colorado (2018), Michigan (2018), Missouri (2020), Ohio (2018).   – Unsuccessful: Ohio’s most recent attempt.

·       Mid-cycle redistricting isn’t new: Texas pioneered it in 2003 under Tom DeLay, and the playbook has returned in 2025.

What Nonprofits Need to Know

·       501(c)(3) Public Charities: May engage in ballot measure advocacy—it counts as lobbying. Key distinction: ‘Vote yes/no on Prop X’ = permissible lobbying; ‘Vote for Candidate Y’ = prohibited partisan activity.

·       Because Prop 50 is rooted in partisan battles, public charities must tread carefully and seek legal advice before weighing in.

·       Generally safe activity: nonpartisan voter engagement (e.g., get-out-the-vote drives, voter registration), but seek counsel especially around Prop 50.

·       501(c)(4)s and Labor Organizations: Have far greater leeway—no cap on lobbying. But California’s strict regulatory environment requires attention to registration and reporting obligations.

Restricting Access to Ballot Initiatives

·       Since 2016, conservative legislatures have increasingly tried to restrict citizen-led ballot measures.

·       States in the spotlight: North Dakota, South Dakota, Wyoming, Missouri, Florida, Oklahoma, Arkansas.

·       Many proposals fail, but recent years have seen more succeed, especially in Florida and Arkansas.

·       Missouri is considering both mid-cycle redistricting and ballot measure restrictions in the same session.

A Bit of Good News

·       South Dakota victory: A federal court struck down H.B. 1184’s nine-month filing deadline for ballot measures as unconstitutional, reaffirming citizens’ First Amendment rights.

·       Practical impact: Keeps the window open for grassroots groups to gather signatures and qualify measures.

Resources

Seize the Initiative: A Legal Guide on Ballot Measures for Nonprofits and Foundations — https://afj.org/wp-content/uploads/2020/04/Seize-the-Initiative-2020-2.pdf

Being a Player: A Guide to the IRS Lobbying Regulations for Advocacy Charities — https://afj.org/resource/being-a-player-a-guide-to-the-irs-lobbying-regulations-for-advocacy-charities/

The Rules of the Game: A Guide to Election-Related Activities for Nonprofit Organizations — https://afj.org/resource/the-rules-of-the-game-a-guide-to-election-related-activities-for-nonprofit-organizations/

In today’s episode, we’re focusing on the topic of state advocacy, specifically exploring the vital role that nonprofits play in shaping policy and driving change at the state level, and how that role is increasingly coming under attack. We will discuss some of the landscape nonprofits are currently facing at the state level and provide actionable tips for organizations looking to amplify their impact. And we’ll be sharing information about exciting new state resources that are in progress at Bolder Advocacy!

Attorneys for this Episode

Brittany Hacker

Maggie Ellinger-Locke

Sarah Efthymiou

 

The Importance of State-Level Advocacy: 

·      State policies have as much, if not more, impact on local communities, than federal policies

·      State-level advocacy can lead to significant changes in policies around funding, regulations, and services

·      What are some benefits of state-level advocacy by and for nonprofits?

o   Can help strengthen community ties and build relationships with policymakers

o   Can enhance the visibility and credibility of the organization

o   Can help mobilize supporters and volunteers around key issues

o   These policy advocacy opportunities really allow nonprofit organizations to engage in some of the nuts and bolts of movement building.

 

Protecting Against State Legislative Attacks on Nonprofits:

·      “Laboratories of democracy,” a1932 opinion by Justice Louis Brandeis.

·      That vision still holds, states can test bold reforms especially when federal progress stalls.

·      But some state legislatures are taking aim at civil society.

·      Today we’re spotlighting four troubling trends: donor disclosure laws, “baby FARA” bills, charitable fundraising restrictions, and anti-DEI legislation.

o   Donor disclosure laws are framed as transparency measures—and in some contexts, transparency matters. We support campaign finance disclosure, where voters have a right to know who’s funding elections. But these bills chill speech and participation. Donor privacy protects safety, not secrecy.

o   Baby FARA bills have been introduced in 19 states and enacted in a few. These laws cast suspicion on global philanthropy and research partnerships, even when no government is involved. And it’s worth noting that the original FARA was passed in the 1930s to curb Nazi propaganda. Today, its logic is being flipped and weaponized against anti-fascists and transnational justice efforts.

o   Charitable fundraising restrictions limit who nonprofits can fundraise from. These are written so broadly they sweep in international aid, scientific collaboration, and humanitarian partnerships. These restrictions are framed as national security—but they risk cutting off essential support for nonprofits doing global work.

o   Anti-DEI laws have been introduced or passed in more than 30 states, targeting diversity, equity, and inclusion efforts, especially in public universities and government agencies. These billsreflects a broader effort to delegitimize inclusive values and restrict the space for nonprofits to advance justice.

·      Federal politics dominate the headlines. But the real action is in the states. These policies shape what’s possible for your work every day.

 

Offensive State Advocacy

·      Funding at the State and Local level: Advocate for nonprofit funding from state and local budgets. Fund nonprofits and research that may have been cut at the federal level

o      Advocating for this funding in budgets will count as lobbying

·      Lobby for protections greater than the federal level: lobby for legislation to protect interests that the federal government has attempted to limit through executive order or supreme court cases

o      Trans health care access for youth—SCOTUS allowed Tennessee to ban trans youth health care, but the Court did not ban trans youth healthcare nationally—states with progressive legislatures can enact protections for trans healthcare and can make themselves shield states to ensure that their providers are protected and can widely provide care.

§  We have seen similar action happen succssfully with regard to abortion and same sex marriage

o      Environmental protections—CA has requirements that exceed those that the federal government previously had

o      Consider ballot measures! State by state measures have been effective in the abortion context and bring the decision directly to voters.

 

Advocacy Rules for 501(c)(3) Organizations:

Under the federal IRS tax rules, 501(c)(3) public charities can engage in policy level at the state level, including lobbying. However, it is important to be aware potential limitations.

·       501(c)(3)s cannot engage in partisan political activities.

·       Public charities can lobby but are subject to limitations.

 

Unlike the federal system, state lobbying laws vary widely. Knowing where and when you need to register and report is essential to doing this work effectively, and legally.

 

There are three core questions to ask:

1.     Do I need to register?

2.     When is registration required?

3.     What does registration and reporting actually involve?

 

·      State lobbying definitions vary widely. Some states are strict—you might need to register just for liking a policymaker’s tweet. Others are more flexible and only require registration after you cross a threshold, like a certain number of contacts or hours worked.

·      If registration is required, what does that process look like? Some states charge a fee, others require ethics training, and most require paperwork. A few even ask for a headshot.

·      Some states require monthly or quarterly reports. Others, like Illinois, require reports every two weeks. Failing to file on time can lead to late fees, public scrutiny, or even criminal penalties in cases of willful noncompliance.

·      State rules differ dramatically, and you need to know the rules where you work. Luckily, Bolder Advocacy has your back. Our 50-state guide series—including DC and Puerto Rico—breaks it all down so you don’t have to guess.

·      At Bolder Advocacy, we’re here to help you lean into your power while staying in compliance. But too often, we see groups pull back out of fear—not because the law actually prevents them from acting, but because they worry about what might happen.

 

Conclusion

 

In all of this, we should remember that nonprofits are deeply rooted in community. We understand the issues. We see the harm. That gives us the insight and credibility to push for lasting change especially at our state and local levels

 

When you organize a lobby day and bring constituents face to face with lawmakers, or when you send an email urging your network to act on a bill, you’re shaping policy. You’re lifting voices. You’re fueling movements. And even if a bill doesn’t pass this year, your advocacy still matters. You’re building relationships, expanding your network, and making your cause more visible. Because while protests and litigation have their place, it’s this steady, strategic policy work that builds lasting power. Even in times when federal progress is limited. And that’s what advocacy is all about!

 

Resources

Being a Player: A Guide to the IRS Lobbying Regulations for Advocacy Charities

Practical Guidance Series: Lobbying 

Practical Guidance Series: Nonprofit Voter Assistance

On this episode, we’re diving into a topic that’s especially important in today’s high-stakes advocacy environment — threats to your tax-exempt status. Yes, we’re talking about that precious 501(c)(3) status, the one that lets your organization do good in the world without paying taxes, and with the constant challenge of figuring out how to advocate, influence policy, and make change without accidentally stepping into ‘oops, we might lose our status’ territory.

Attorneys for this Episode

Monika Graham

Victor Rivera

Special guests, interns Ariana and Cecilia

Shownotes

• Lobbying 101 for 501(c)(3) Public Charities
• Direct vs. grassroots lobbying
• The 501(h) election and why it matters
• Tracking expenditures and staying under federal limits
• Election Season Advocacy Without the Partisanship Pitfalls
• What nonpartisan really means (and the surprisingly small actions that can cross the line)
• Safe activities: voter education, GOTV efforts, and issue-focused advocacy
• Timing, audience, content, and motive — the four factors the IRS cares about
• Common Allegations and How to Defend Against Them
• Exceeding lobbying limits
• Misuse of restricted or federal funds
• Partisanship accusations in disguise
• Best Practices to Protect Your Organization
• Documentation systems that actually work (and don’t make your staff revolt)
• Internal policies and staff training that stick
• Tools and software for tracking lobbying (and why cross-departmental collaboration matters)
• Real-World Case Examples
• Increased government scrutiny and oversight
• How nonprofits are adapting their compliance tracking in 2025

Resources

• Being a Player
• Rules of the Game
• Influencing Policy in the Digital Age
• Preparing for Politically Motivated Attacks

This is a special rebroadcast of an episode from earlier this year on a self assessment tool that our nonprofit listeners should know about because of the continued and on-going threats of politically motivated investigations and attacks on the sector.

We’ll be back in two weeks with a brand new episode.

 * * * 

For those who caught our most recent podcast on Nonprofit New Year’s Resolutions – Resolution #2 was to conduct an Advocacy Check Up. In this episode, we’re deeper into how to do that. We released new Nonprofit Self-Assessment tool, designed to help nonprofit organizations assess your overall compliance with federal and state advocacy-related tracking and reporting requirements, and to identify opportunities to build your organization’s advocacy capacity.

Attorneys for this Episode

Quyen Tu Sarah Efthymiou Susan Finkle Sourlis

 

ü   Governance & Administration: Strengthen your nonprofit’s compliance and operational efficiency

·      Having legal and accounting support from professionals with knowledge of nonprofits can help safeguard against unnecessary risk and prevent costly errors

·      The IRS recommends, and some states require, that certain organizational policies are maintained, such as document retention & destruction and conflict of interest policies.

·      Most states have registration and reporting requirements when nonprofits solicit funds from their state’s residents. Nonprofits should regularly review their fundraising activities (including online) to determine whether they need to register.

 

ü  Funding Sources: Once your legal house is in order, we suggest that you look at your funding sources.

·      The type of funder will help determine what type of funds you are dealing with, e.g., general support vs. project specific grants, single-year vs multi-year grants.

·      Determining the funding source will help you understand how you can spend the funds, whether there are limitations, and how you pay for the day-to-day operational costs for your nonprofit.

 

ü  Advocacy Activities, including lobbying

·      Important to understand if an activity or communication is lobbying or nonlobbying advocacy.

·      Whether your nonprofit has taken the 501(h) election will help you know your lobbying limits as a 501(c)(3), as well as how to define lobbying.

·      Don’t forget that many activities may look like lobbying but fall under an IRS exception. The checklist has you covered there, too.

·      State and federal lobbying disclosure rules may apply to your work, too.

 

ü  Coalition and Affiliate Work

·      The checklist also raises questions to consider when establishing and setting up a coalition and affiliate relationships. For example, Do you have a cost sharing agreement? Do you share staff, how do you keep track of the programs that are distinct to each organization? Are staff aware of the difference between the two orgs? These questions are important to the foundational principles of how c3s and c4s can work together – or in broader coalitions.

·      The basic principle is in regards to the flow of money and assets, we refer this as riding a bike up the hill – money or shared assets (like sharing staff) from the c3 to a c4 is slow deliberate process and you need to have the systems in place to ensure that the c3 is not supplementing or supporting the allowable c4 political activity.

·      Having the appropriate documentation and keeping track are also important principles to follow.

ü  Nonpartisan Election Activities

·      Although one election cycle just ended, another one is underway – there will be many local and state elections in the odd year. Thinking about and preparing for election-season activities should be part of every nonprofit’s check-up.

·      Do staff or volunteers understand the rules around nonpartisan activity? Do staff or volunteers know what hats they are wearing – what can they do in their official organizational capacity or as an individual on their own personal time?

·      In this section, think about your activities your nonprofit might participate in, e.g., will you conduct town halls, candidate questionaries, or voter education?

Resources: The primary resource that we highlighted today is our new Advocacy Check-Up: Nonprofit Self-Assessment. Within the checklist, you’ll find links to Bolder Advocacy and other helpful resources that will help you complete your assessment and be in the best position to advocate for your organization, your mission, and your communities.

 

ROTG137 Politically Motivated Attacks Revisited

 

Nonprofit advocates face a complex environment in 2025 where political disagreements routinely escalate into targeted attacks—ranging from carefully crafted misinformation to more extreme tactics like organizational funding cuts, subpoenas, and personal targeting. This episode explores the emerging challenges advocates encounter, offering insights into recognizing, preparing for, and navigating these increasingly sophisticated forms of political pushback.

 

Attorneys for this Episode

Brittany Hacker

Tim Mooney

Quyen Tu

 

 

Evolution of Political Attacks

This isn’t the first time we’ve covered this topic—we discussed it back in earlier episodes when attacks primarily came from private organizations and non-governmental entities like Project Veritas. What’s changed is the increasing use of official government investigative authority against tax-exempt organizations, including:

 

Current Landscape: Government Investigations & Bad Faith Actors

• Executive Orders from the Trump administration
• Universities under attack and scrutiny
• Government agencies: Department of Government Efficiency (DOGE)
• State Attorneys General investigations (particularly from those seeking higher office)
• New techniques utilizing official power with minimal basis for investigation

The key challenge: These officials have great investigative power and can exercise it with the slimmest basis, using bad faith political attacks against organizations doing good community work they simply disagree with.

 

Examples of Great Advocacy in Response

Despite these attacks, many nonprofits have stepped up their advocacy:

 

Challenging the administration in court

• Almost every executive order has faced legal challenges
• Many nonprofits have teamed up for court cases
• Some challenges have been successful, others ongoing

 

Calling out attacks for what they are

• Naming attacks as politically motivated and in bad faith
• Pointing out reliance on dubious information
• This approach has met with significant success

 

Solidarity in numbers

• Some law firms and universities initially settled with the administration
• Others joined together and refused to settle or capitulate
• Finding strength in solidarity and continuing their missions

 

Funder support stepped up

• Funders creating new short-term grants
• Establishing legal defense funds
• Providing pro bono services for nonprofits
• Some funders publicly increased funding; others acted quietly but effectively

 

Being Prepared: Your Best Defense

 

Legal and Administrative Compliance

The best defense is ensuring full compliance with all applicable laws so you can advocate with confidence.

 

Advocacy Check-Up Tool: Our nonprofit self-assessment (13-page document available free on our website)

• Identifies opportunities to enhance compliance with tax, lobbying, election, and other laws
• Provides starting place to assess existing systems
• Helps prepare for attorney meetings with specific checklist items

 

Key compliance areas to review:

• How your 501(c)(3) remains nonpartisan
• Staying within lobbying limits for C3 public charities
• Ensuring all reporting is current (IRS, FEC, local ethics commissions)
• Checking insurance coverage (directors & officers, liability)
• Board setup and bylaw compliance
• Document management: Store foundational documents electronically in the cloud

 

Maintain excellent records: Clear, accurate documentation to easily prove legal compliance when needed

 

Organizational Readiness and Communications Planning

Beyond legal compliance, you need comprehensive preparation:

• Identify vulnerabilities: What might attackers say about your work?
• Communications strategy: Have a plan for public response
• Election season policy: Clear guidelines for staff activities
• Document retention policy: Know what to keep and for how long
• Staff training: Especially public-facing staff and volunteers
• Train them to recognize unusual questions outside normal scope
• Establish “odd question point person” to defer to
• Response protocols: Know what to do if attacked
• Legal counsel: Have a lawyer you can call or know who to contact

 

Most Important: Don’t Self-Censor

Remember these are bad faith attacks. You aren’t doing anything wrong. They’re trying to:

• Separate you from your funders
• Separate you from your supporters
• Make you stop your advocacy work
• Avoid engaging on the substance of your work

 

Don’t fall for the trap of stopping your advocacy just because they claim you’re doing something wrong. If your compliance is solid and you have a communications plan, you’ve likely done nothing wrong—keep doing your important work.

 

 

If You Are Attacked: Response Strategy

 

Initial Response: Don’t Overreact

• Reassure everyone: Staff, board, key supporters that you have a plan and are executing it
• Share with allies: Touch base with coalitions and peer organizations
• Attacks often target multiple similar organizations
• Share what you’re experiencing and your response plans
• Ask for help: Learn from others who’ve been through this; consult funders and foundations

 

Fact-Finding and Gap Analysis

• Get clear on accusations: What specifically are they claiming?
• Assess the facts: What do you know vs. don’t know?
• Close any gaps: You don’t have to be perfect
• Retrain staff if needed
• Amend reports if necessary
• Address any legitimate compliance issues

 

Response Protocol for Official Investigations

 

When facing government actors:

• Request identification and documentation: Ensure it’s a legitimate governmental agency with authority (warrant/subpoena)
• Preserve all evidence: Don’t destroy documents, emails, or other records
• Don’t obstruct government action but monitor their work (like supervising a contractor in your house)
• Protect privileged information: Seek legal advice on confidential/privileged materials
• Designate spokesperson: One staff member communicates with government actors and public to avoid conflicting messages

 

Legal Support and Defense

• Seek counsel for preparation: Some aspects you can handle alone, others need legal guidance
• Retain counsel for formal responses: Essential for official investigations
• Investigate legal defense funds: If budget is tight, these are increasingly available

 

Staying on Offense: Reframe the Narrative

With a good plan in place, you can be on offense instead of defense:

• Call political attacks what they are
• Feel confident in your legal compliance
• Ensure staff feel safe and confident by sharing/reviewing your plan
• Continue your great advocacy work because you’re in compliance with laws

 

Special Thanks to Funders

Shout out to funders who have stepped up during these attacks:

• Some have been very public about increasing funding
• Many have acted quietly without spotlight
• Both approaches are important and appreciated
• Creating new funding mechanisms and legal defense funds

 

Resources

Advocacy Check-Up: Nonprofit Self-Assessment

Essential Strategies for Navigating Government Inquiries (Perkins Coie)

Search Warrants: Dos and Don’ts (Perkins Coie)

Sample 501(c)(3) Policy for Election Season 

Election Activities of Individuals Associated with 501(c)(3)s 

Practical Guidance Series: Lobbying 

Practical Guidance Series: Nonprofit Voter Assistance

On-Demand Training: Preparing for Politically Motivated Attacks

Today we’re wrapping up our eight-part series by exploring how labor and economic justice nonprofits can advance their missions through advocacy. We’ll cover recent developments and examine both lobbying and non-lobbying strategies that advocates are using to improve economic justice for all.

 

Attorneys for this episode  

Tim Mooney

Susan Finkle Sourlis

Sarah Efthymiou

 

Shownotes

Current Events / Executive Orders

·      Trump Administration Directives Impacting Workers

o   In March, President Trump issued an executive order exempting national security agencies from the Civil Service Reform Act of 1978. The EO revokes collective bargaining rights for over a million federal workers, hindering their ability to organize and improve working conditions.

o   In January 2025, an executive order paused the planned increase of the minimum wage for federal contract workers to $17/hour, reversing wage gains for thousands of low-wage employees.

o   In March 2025, another executive order directed the Department of Labor to halt enforcement of protections against misclassification for independent contractors, adopting a worker-unfriendly test that limits employee eligibility for wage and hour protections.

·      Illegal ICE & DHS workplace raids: ICE, racing to fulfill the Trump Administration’s goal to increase deportations, is increasingly targeting work sites for immigration sweeps in LA and other major cities. In addition to loss of essential income for workers who are afraid to show up for work, this escalation is a chilling effect on businesses and local communities.

Non-lobbying Advocacy

Advocacy can take many forms, and lobbying is just one form. Your organization can engage in non-lobbying activities like: Organizing, educating the public, conducting research, executive branch and regulatory activities, training and litigation are just a few examples.

 

·      Educating the Public

o   Nonprofits that support immigrant workers, such as The Coalition for Humane Immigrant Rights (CHIRLA), are sharing “know your rights” info, so workers are better prepared if stopped by immigration officials. Other groups provide information for employers, such as the National Employment Law Project’s What to do if Immigration Comes to Your Workplace.

·      Identify & advocate to supportive government officials:

o   Find your allies in government and encourage them to continue to defend their communities. Many nonprofits have lauded Los Angeles Mayor Karen Bass’ and California Governor Gavin Newsom’s public criticism of the federal government’s actions in LA, describing the deployment of military forces to the city as an overreach and a violation of state sovereignty.

·      Holding a Rally

o   In February, federal workers organized coordinated “Save Our Services Day of Action” events in multiple cities to build a broader network of support and to put pressure on the administration and Congress to block the illegal firing of fed workers

·      Litigation as Advocacy

o   A multi-state coalition of nonprofits, unions, and local governments sued the Trump Administration over mass layoffs of federal workers without approval of Congress.

Lobbying

·      Pro-Worker Legislation

o   Nevada’s state legislature is currently considering expanding their existing Paid Family & Medical Leave program beyond state employees

·      Ballot Initiatives Coming on the heels of several key wins in 2024 (Alaska, Missouri, and AZ), already seeing upcoming ballot measures

o   A potential Ohio Nov 2025 ballot initiative to increase minimum wage to $15/hour; and Oklahoma qualified June 2026 ballot measure to increase the state’s minimum wage to $15/hour

Resources

·      Power & Equity: The Advocacy Playbook for Labor and Economic Justice

·      Practical Guidance: What your nonprofit needs to know about lobbying in your state

·      Investing in Change: A Funder’s Guide to Supporting Advocacy

·      What is Advocacy? 2.0

·      Seize the Initiative

Today we’re diving into the seventh installment of our eight-part, issue-based podcast series, and we will explore how nonprofits that operate in the health and disability rights space can boldly advance their missions through advocacy. Not only will we touch on recent developments in the news, but we’ll also discuss various lobbying and non-lobbying strategies currently being used by nonprofit advocates working to improve healthcare access and disability rights.

 

Attorneys for this episode  

Natalie Ossenfort

Monika Graham

Victor Rivera

 

Shownotes

Current Events / Executive Orders

·      Trump Administration Directives on Health & Disability Rights

o   The One Big Beautiful Bill introduces new eligibility requirements that will exclude an estimated 5.2 million adults from receiving Medicaid benefits. In total, over 8.6 million adults could lose healthcare coverage as a result of this bill.

o   Health and Human Services Secretary Robert F. Kennedy Jr. recently dismissed the 17-member Advisory Committee on Immunization Practices.

o   Reports estimate that the Department of Health and Human Services has cut over 10,000 employees.

o   The Trump administration has also taken recent actions that limit healthcare coverage for gender-affirming care in its crusade against gender ideology.

·      Supreme Court victory for disability rights

o   The US Supreme Court unanimously held that children with disabilities should have an easier path to sue or seek recourse against schools for failing to provide ADA-compliant accommodations. This lower barrier of entry to bring legal claims represents a significant victory for disability rights groups.

 

Non-lobbying Advocacy

Advocacy can take many forms, and lobbying is just one form. Your organization can engage in non-lobbying activities like: Organizing, educating the public, conducting research, executive branch and regulatory activities, working with your local state board of elections, training and litigation are just a few examples.

 

·      Educating the Public

o   The Arc’s North Carolina chapter, an AFJ member organization, continues to shed light on how recent actions by the Trump administration may have a lasting impact on the rights of students with disabilities.

·      Holding a Rally

o   This February[GU1] [VR2] [VR3] [GU4] , several health and disability rights groups held a Disability Advocacy Day at the Missouri Capitol. During the event, attendees urged the state to withdraw from a lawsuit brought on by 17 attorneys generals, including the Missouri AG. The groups want to keep federal protections for people with disabilities under Section 504 of the Rehabilitation Act. Section 504 provides funds for special accommodations for students and protects qualified individuals with disabilities.

·      Litigation as Advocacy

o   Planned Parenthood of Montana is celebrating a recent legal victory in the abortion space. by The Montana Supreme Court blocked several anti-abortion laws from taking effect in Montana that would institute a 20-week abortion ban and place significant restrictions on abortion-inducing medications.

o   A federal district judge granted a preliminary injunction temporarily blocking a Trump executive order that prohibits prison officials from providing gender-affirming hormone therapy and other accommodations to transgender people. The lawsuit was filed by the ACLU, the ACLU of DC, and the Transgender Law Center.

Lobbying

·      Advocacy Days

o   The Arc Minnesota recently organized a rally day at the Minnesota Capitol to protect disability funding.

·      Legislative Wins

o   California: A coalition of nonprofit organizations successfully pushed SB634, the Unhoused Service Providers Protection Act, off the Senate floor. This bill is designed to increase protections for people and organizations that provide support to the unhoused.

o   New York: The New York State Senate approved a bill that allows people facing terminal illnesses to end their lives on their own terms, which the bill’s proponents say will ensure a measure of autonomy to New Yorkers in their final days. The bill has the support of several health and disability rights groups like Compassion and Choices.

 

Resources

·      Health and Equity: The Advocacy Playbook for Health and Disability Rights

·      Public Charities Can Lobby Factsheet

·      Practical Guidance: What your nonprofit needs to know about lobbying in your state

·      Investing in Change: A Funder’s Guide to Supporting Advocacy

·      What is Advocacy? 2.0

·      Seize the Initiative

 

Today we’re diving into the sixth of our eight-part series, exploring how nonprofits champion democracy and protect voting rights. We’ll unpack the strategies these organizations use to advocate for democratic participation while operating within the law. This conversation feels especially urgent as we see acceleration to challenges to voting rights and democratic institutions in 2025.

 

Attorneys for this episode  

Tim Mooney 

Natalie Ossenfort

Susan Finkle Sourlis 

 

Shownotes

Current Events / Executive Orders

·      Trump Administration Directives on Voting & Civil Rights

o   Disbanded the DOJ Voting Rights Section’s Election Monitoring Program.

o   Rescinded Biden executive order promoting federal agency voter registration partnerships

o   Halted implementation of interagency plans for voter access through social service agencies, and redirecting the Election Assistance Commission to implement draconian requirements outside the scope of its mission his authority over it.

·      Impact on Vulnerable Communities

o   Revoked supporting access to the ballot for voters with disabilities and non-English speakers.

o   Pressured USPS to deprioritize ballot delivery during election periods and issued an EO that attempts to reject mail in ballots postmarked on Election Day but received afterward.

 

Nonlobbying Advocacy

Although you may consider this an off year for federal elections (but many local and state elections are happening this year)  – now is the time to work to ensure the protection of voting rights for the future.

Advocacy can take many forms, lobbying is just one form. There are many ways organizations can advocate for change to ensure democracy and voting rights are secure. Organizing, educating the public, conducting research, executive branch and regulatory activities, working with your local state board of elections, trainings and litigation just to name a few way.

 

Here are some ways organizations have undertake

·      Educate the Public

o   Democracy North Carolina launched a digital explainer on redistricting and gerrymandering for community audiences, and engaged in election protection work. This included monitoring polling stations for long lines, problems with voting, voting misinformation.

·      Hold a Rally or Event

o   Detroit Action organized “Halloween Early Vote,” a trunk or treat in a historically underrepresented part of Detroit, promoting civic pride, early voting… and candy.

·      Litigation as Advocacy

o   Campaign Legal Center and Southern Poverty Law Center sued Louisiana for new proof of citizenship documentation as a violation of federal law.

o   League of United Latin American Citizens, the League of Women Voters Education Fund, the Democratic National Committee and others sued to overturn Trump’s federal elections executive order, successfully enjoining some of the more egregious parts of it.

Foundation-Funded Advocacy

·      Public and private foundations can fund 501(c)(3) nonpartisan voter engagement activities that do not support or oppose candidates for public office.

·      Special rules for private foundations re: voter registration drives (grants must be for nonpartisan VR drives conducted in 5 or more states over multiple election cycles), but community foundations can fund VR even for small, local, grassroots organizations.

·      Ford Foundation and Carnegie Corporation of New York have supported nonpartisan voter education and rights litigation to strengthen democracy and public trust in government.

 

Lobbying

·      Legislative Wins

o   New York: Enacted the John R. Lewis Voting Rights Act, pushed through with support from a coalition including Legal Defense Fund and Citizen Action of NY

o   New Mexico: Passed legislation mandating automatic and same-day voter registration following lobbying by ProgressNow NM and allies.

·      Ballot Measures Protecting Voting Rights

o   Michigan Proposal 2 (2022): Guaranteed early voting and drop boxes; supported by Voters Not Politicians and League of Women Voters of Michigan.

o   Arizona: Local advocates, including Living United for Change in Arizona (LUCHA), defeated multiple voter suppression ballot initiatives.

o   Nevada: Voters passed automatic voter registration (2018) and expanded it further in 2022 with strong nonprofit support.

Resources

·      Democracy & Equity: The Advocacy Playbook for Democracy and Voting Rights

·      Public Charities Can Lobby (Factsheet)

·      Practical Guidance: what your nonprofit needs to know about lobbying in your state

·      Investing in Change: A Funder’s Guide to Supporting Advocacy

·      What is Advocacy? 2.0

·      Seize the initiative

 

On this episode, the fifth installment of our eight-part, issue-specific series, we’ll explore how nonprofits can boldly and safely advocate for gender and reproductive justice. We’ll review recent policy developments and discuss how nonprofits can respond through legislative, executive, and judicial branch advocacy. Join us as we break down the rules and share recent examples of how nonprofits are advancing gender and reproductive justice.  

 

Attorneys for this episode   

Quyen Tu 

Brittany Hacker 

Melissa Marichal Zayas 

 

Shownotes 

• Gender and Reproductive Justice Headlines 

• Executive Branch Actions 

• Since taking office, President Trump has signed several sweeping executive orders that undermine the rights of transgender people and women and reduce access to reproductive health care.  

• These include, for example, orders that terminate federal diversity, equity, and inclusion programs; rescind executive orders that expanded access to reproductive health care; ban transgender people from serving in the military; limit coverage for gender-affirming care; and require federal agencies to recognize only two, “not changeable” sexes. 

• The DOJ has announced that, outside of extraordinary circumstances, it will stop enforcing the Freedom of Access to Clinic Entrances Act, a law that protects reproductive clinic staff from violence and harassment.  

• HHS Secretary Robert F. Kennedy Jr. has directed the FDA to review its approval of the medication abortion pill Mifepristone.  

• We’ve also seen major funding cuts across several agencies. HHS, for example, has terminated NIH grants focused on LGBTQ+ health issues and frozen millions of dollars of Title X funds, which help provide reproductive health services in low-income communities. 

 

• Litigation 

• Many nonprofits, as well as state attorneys general, have filed lawsuits challenging the executive orders that seek to curtail LGBTQ+ rights and DEI initiatives.  

• In February, for example, a group of several civil rights nonprofits, along with Crowell & Moring LLP, filed a lawsuit on behalf of Chicago Women in Trades to challenge the Trump administration’s anti-DEI executive orders. As a result, a federal court has temporarily blocked the Labor Department from requiring Chicago Women in Trades and other federal contracts or grant recipients to certify that they don’t operate any programs that violate Federal anti-discrimination laws, which one of these EOs would require.  

• Many other provisions of these EOs, however, remain in effect as the cases make their way through the courts.  

• The National Council of Nonprofits has a continuously updated chart tracking executive orders that impact nonprofits and their current legal status. Just Security has an even broader resource that is tracking all legal challenges to Trump administration actions. 

 

• Legislation 

• Congress is currently considering deep cuts to Medicaid. These proposed cuts would lead to an estimated 8 million Americans becoming uninsured, and would eliminate all federal funding to Planned Parenthood, including funding for preventative health screenings and testing. Proposed budget cuts would also further restrict transgender peoples’ access to gender-affirming care.  

• In Missouri, the state legislature recently approved a new ballot referendum that, if passed, would repeal last year’s voter-approved constitutional amendment guaranteeing a right to abortion. This ballet referendum will appear on the ballot in November of 2026 or earlier if Missouri’s governor calls a special election.  

 

• What can 501(c)(3)s do to respond?  

• As a reminder, 501(c)(3)s cannot support or oppose candidates for elective public office. This means they can’t engage in activity that helps or hurts the chances of a candidate winning an election. 

• But here’s what they can do: They can engage in an unlimited amount of non-lobbying advocacy, and they can engage in a limited amount of lobbying. 

 

• Non-Lobbying Advocacy  

• Educate the public about issues of importance to your organization 

• The Center for Reproductive Rights’ tool, Repro Red Flags: Agency Watch, which tracks key Trump administration appointments and actions related to reproductive health.  

• PFLAG is tracking and reporting on federal and state legislation and litigation impacting the LGBTQ+ community through its weekly Policy Matters Newsletter and Executive Orders Explainers and Resources web page. 

• The National Women’s Law Center has released a report highlighting how the cuts would impact women and LGBTQ+ individuals. 

• Engage in administrative advocacy 

• A March letter sent by Equal Rights Advocates and several other civil rights organizations to Acting EEOC Chair Andrea Lucas urges her to immediately withdraw a series of letters and guidance documents pressuring employers to abandon DEI programs.  

• Hold a rally 

• In April, the Coalition for Inclusive Schools & Communities, Live in Your Truth, and the Montgomery County Pride Family held a  rally in support of inclusive education outside the U.S. Supreme Court during oral arguments in Mahmoud v. Taylor. 

• Initiate or participate in litigation 

• In May, a Michigan state court permanently struck down three of Michigan’s abortion restrictions, agreeing with Northland Family Planning Centers and Medical Students for Choice—two nonprofits plaintiffs represented by the Center for Reproductive Rights—that the restrictions violate the state’s constitutional amendment. 

• Fund advocacy 

• Public and private foundations can fund advocacy through general operating grants or specific project grants. 

 

• Lobbying 

• 501(c)(3) public charities can engage in lobbying, but they are limited in how much lobbying they may engage in. 

• Under the federal tax rules, most public charities can choose between two tests to determine how much lobbying they can engage in: the insubstantial part test or the 501(h) expenditure test. 

• Under either test, lobbying includes attempts to influence legislation at any level of government. The exact activities that will count as lobbying will depend on which test the organization uses.  

• When engaging in lobbying, remember to track and report your lobbying on your annual Form 990, stay within your lobbying limits, and use unrestricted funds.  

• In addition to the tax rules, federal, state, or local level lobbyist registration and reporting requirements may apply when engaging in legislative and executive branch advocacy. These requirements vary by state and city, so make sure to confirm the types of activities and thresholds that trigger reporting in the jurisdictions where you are lobbying.  

• The IRS considers ballot measure advocacy a form of direct lobbying because the voters act as legislators when they vote to approve or reject a ballot measure, but keep in mind that your organization may also be required to register and report on ballot measure activity under state or local campaign finance laws. 

• Since 2022, 501(c)(3) public charities have helped to pass ballot measures that establish a right to abortion in eleven states.   

Resources 

• The Advocacy Playbook for Gender and Reproductive Justice 

• Public Charities Can Lobby (Factsheet) 

• What is Advocacy? 2.0 (Factsheet) 

• Administrative Advocacy: Influencing Rules, Regulations, and Executive Orders (Factsheet) 

• What Nonprofits Needs to Know About Lobbying in Your State   

• Understanding the Federal Lobbying Disclosure Act (Factsheet) 

• Investing in Change: A Funder’s Guide to Supporting Advocacy