Can Your Nonprofit Organization Lobby?

Lobbying

Most nonproftis can and should lobby!  By NOT lobbying, many 501 (c) (3) organizations are not fully exercising their rights under federal tax laws which allow for generous lobbying limits.  Lobbying is one subset of advocacy, and includes both direct and grassroots lobbying.  (Source:  Alliance for Justice).

Don't Get Left Out

The second reason your organization should lobby is that if you don't, someone else will. Every conceivable cause -- save the whales, preserve neighborhood schools, conquer leukemia, promote the arts, prohibit abortion, permit abortion, raise the speed limit, fight racial injustice -- has its advocates. Competition for a place in the legislative sun is ceaseless. Lobbying today is a must. Any organization that does not lobby, or an organization that does not lobby well, is almost certain to get left out.

What Do We Mean: Lobbying?

Before going further, it might help to explain exactly what we mean by the term "lobbying." We mean trying to persuade the members of a legislature -- whether city council, county commission, state legislature, or United States House of Representatives or Senate -- to enact legislation favorable to your cause or, on occasion, defeat or repeal legislation unfavorable to your cause. It's that simple. The legislation may set up a new program, change an existing one, guarantee certain rights, appropriate funds, etc.

Lobbying is Honorable

Regrettably, there are still some persons for whom the word "lobbying" carries an ugly connotation. To them it conjures up visions of shady deals, favors bought and sold, money passed under the table. Indeed, there was a period in our history when such a picture would have been all too accurate. Today, however, despite a few well-publicized exceptions, the great majority of legislators and lobbyists alike are honest, dedicated servants.

Another misconception is that you need to do something for your legislator if you hope to get him or her to do something for you; you've got to wine and dine them, make a big campaign contribution, and so forth. This is not true. Naturally any legislator tends to be more readily available to big contributors and to politically powerful friends. But it does not flow that these are the only people who count. Far from it.

YOU Count

You are a constituent! You and the rest of the people in your district who go to the polls are really the ones who carry the weight. Your legislator needs you every bit as much as you need him or her. You count and don't you forget it.

Still, there are two things you can give your legislator without spending more than the price of a postage stamp and without running afoul of the code of ethics. One is information. Your organization is the authority in its field. You can give your legislator information he or she doesn't possibly have the time to get any other way. Second is recognition. Whenever your legislator does something on your behalf, helps your organization, advances your cause, show him or her your appreciation - and let the world know it.

Tax-Exempt Groups CAN Lobby

There are those who feel it is somehow improper for nonprofit, tax-exempt organizations to lobby. It's all right for business, they reason, because corporations pay taxes, but it's questionable, if not downright wrong, for the tax-exempt sector. Again, there was a time in history when such an attitude might have been warranted.

The tax code says tax-exempt organizations are in danger of losing their tax-exempt status --and along with it the ability to assure supporters their contributions are tax deductible -- if they engage in "substantial" lobbying. Unfortunately, "substantial" has never been defined and as a result most tax-exempt organizations either soft-pedal lobbying or refrain from it altogether. All of that changed in 1976 when Congress removed all doubt as to the legality of lobbying by nonprofit tax-exempt organizations by writing into the income tax laws authorization for each such organization to elect to spend a certain percentage of its income on lobbying. Equally important, the Internal Revenue Service issued very liberal regulations related to the 1976 lobby law in August of 1990.

Taken from Lobby? You? Yes, Your Organization Can! It Should!, Independent Sector.