PUBLIC POLICY

Nonprofit policy updates from across the nation

From the National Council of Nonprofit Associations

Federal nonprofit policy updates

President Bush signs Student Financial Aid bill – President Bush signed into law on Thursday, September 27, 2007 a federal student aid program which some have labeled the most significant higher education initiative since the G.I. Bill.  The College Cost Reduction Act of 2007 (H.R. 2669), which won overwhelming majorities in the House and via conference report to the Senate, provides for three major actions: increasing the maximum Pell grant award; capping the loan repayment terms at 15% of discretionary income; and creating a debt-forgiveness program for public-sector employees, including those working for nonprofit organizations.  For more information, visit the House Committee on Education and Labor.

Federal Election Committee releases new rulemaking proposals – Following the decision on FEC vs. Wisconsin Right To Life (WRTL II), FEC has released two rulemaking proposals in an effort to achieve consistency with that ruling and sought comments through October 1. The proposed rules will determine which ads would be restricted by the Bipartisan Campaign Reform Act of 2002 (BCRA) and which would be permissible for release based on their issue-driven nature.  Both proposals offer exemptions and, insofar as nonprofits are concerned, a series of safe harbors which would protect the right of nonprofit groups to communicate and advertise on their issue. Go to the FEC's website for the latest information.

President Bush signs Lobby-Ethics bill – On Friday, September 14, 2007, President Bush signed the Honest Leadership and Open Government Act of 2007 (S1) requiring members of Congress to abide by new rules. Rules apply to such activities as restricting travel on private aircraft and prohibiting immediate lobbying work following congressional service. According to the legislation, lawmakers must disclose earmarks and provide 48 hours advanced notice of such provisions via the internet. More information on these reforms may be found at the Senate and House websites.

State nonprofit policy updates

In September, state legislators introduced dozens of bills that impact all nonprofits in their respective states. Below is a partial list of these bills, listed alphabetically by state. Unless otherwise noted, the bills below have not become law.

Michigan: Nonprofit Corporation Act Amendment – HB 5257 amends the state’s Nonprofit Corporation Act by increasing from $10.00 to $20.00 the various administration fees for examining, filing, and copying documents associated with nonprofit corporations from for business conducted between October 1, 2003 and September 30, 2012. Fees associated with examining, filing, and copying documents prior to October 1, 2003 and after the September 30, 2012 remain unchanged at a rate of $10.00. For information on this and other bills in the state, see the Michigan Nonprofit Association’s news page.

New Hampshire: Health Insurance Purchasing Alliances – HB 461 establishes a law governing purchasing alliances which may be formed for the purposes of purchasing health insurance. The bill, which represents increased access to healthcare for individuals who elect to participate in their respective unified employee network, outlines oversight and licensure requirements and prohibits certain practices.

New Hampshire: Administration of Skills Training by Unemployed Volunteers – HB 690 allows persons collecting unemployment benefits to gain job training through performing volunteer work at specific nonprofit organizations identified by the department of employment security. The department will assess which nonprofit organizations are qualified to accept these volunteers based on state-identified areas of skill shortage.

New York: Real Property Tax Exemption – A 01573 amends real property tax law and grants nonprofit organizations real property tax exemption, at local option, for those promptly applying that purchase after municipality's taxable status date.

Pennsylvania: Filmmaker Tax Credit Law – HB 1433 states that a taxpayer filming within the state may claim a tax credit against the qualified tax liability if the taxpayer contributes at least 10% of the credit claimed to a charity, civic group, or volunteer fire department. For information on this and other bills in the state, see the Pennsylvania Association of Nonprofit Organizations’ policy page.

Wisconsin: Biennial State Budget Reporting Guidelines – HB 514 outlines information required for inclusion in biennial state budget reports, including projected tax and fee increases, resulting revenues, assessments conducted, and tax/fee collection methodologies. The bill also calls for disclosure of provisions which may increase local property tax rates and intended expenditure of related revenue.

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