By Jill Bennett Iman, JVA Consulting

A question many nonprofits likely ask themselves at some point, and one we hear often at JVA, revolves around their legal ability to engage in advocacy efforts. With complicated and burdensome rules, many choose not to engage in advocacy for the fear that it may be construed as lobbying.

Briefly put, nonprofits are legally entitled to advocate as long as they do not participate in partisan politics. And going one step closer to a soapbox answer, it is actually critical that nonprofits advocate because politics and government policies directly and indirectly affect their work and the communities and constituents that they represent.

There are important distinctions between advocacy and lobbying worth noting. By definition, lobbying is any attempt to influence specific legislation, either through contact with policy makers designed to encourage their support or opposition of legislation or by directly advocating for the adoption or rejection of legislation. There are two types of lobbying: Direct and Grassroots (see table).

The general rule of the IRS code for 501(c)(3)s is that “no substantial part” of nonprofit activities can be directed toward influencing legislation. However, this is incredibly vague and is cumbersome to document because it is not restricted to paid staff (e.g., volunteers who work to pass a bill may be illegally lobbying). In 1976 (with final regulations released in 1990), it became possible for organizations to elect to be governed by sections 501(h) and 4911 of the Internal Revenue Code. In sum, these regulations permit organizations to spend a certain percentage of their exempt purpose expenditures (i.e., the budget) on direct lobbying activities

[1].

 

With all this said however, this blog is not intended to be an official guide for lobbying, but rather to identify activities that do not qualify as lobbying. To be clear, advocacy that falls short of lobbying is not restricted for nonprofits.

 

The truth is, as a nonprofit you are probably already advocating every day through your work. Below we outline some concrete activities that while advocacy, would not be considered lobbying:

 

  • Visiting and educating elected officials
  • Hosting nonpartisan events or site visits for policy makers
  • Making available the results of nonpartisan analysis or research
  • Discussing broad social issues without mentioning specific legislation

This is a quick and dirty overview of lobbying and we recommend an additional conversation with your attorney before beginning to engage in any activities that may be considered lobbying. But in the meantime, just remember that while all lobbying is a form of advocacy, not all forms of advocacy are considered lobbying!

 

Distinction between advocacy and lobbying

Advocating Lobbying
Direct Grassroots
Identifying, embracing and promoting a cause Communicating with legislators on specific legislation Urging the general public to contact their legislators regarding specific legislation (except in the case of ballot initiatives)
•       Nonpartisan analysis, research or study on a legislative issue

•       General communication

•       Actions that affect regulatory issues

•       Self-defense

 •       Influencing legislators to introduce legislation

•       Distributing materials to assist in the passage or defeat of a bill

•       Directly encouraging a member or the public to support or oppose legislation

 

[1] Speak for yourself: Nonprofit advocacy toolkit. The Colorado Nonprofit Association. http://www.coloradononprofits.org/wp-content/uploads/Colorado-Nonprofit-Association-lobbying-toolkit-v2.pdf.

JVA Managing Associate Jill Bennett Iman was a policy analyst and community engagement specialist for U.S. Senator Michael Bennett (no relation). At JVA she coordinates projects with diverse stakeholders, bringing multiple organizations, agencies and individuals to the table to discuss and analyze complicated social issues. Jill will be leading the Policy and Advocacy Primer training on May 6.