ALAWON v4n98 (November 16, 1995)
URL = http://hegel.lib.ncsu.edu/stacks/serials/alawon/alawon-v4n98

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                                                   ISSN 1069-7799
                             ALAWON
                 ALA Washington Office Newsline
               An electronic publication of the
         American Library Association Washington Office

                      Volume 4, Number 98
                       November 16, 1995

In this issue: (170 lines)
     STOP THE ISTOOK-MCINTOSH AMENDMENTS LIMITING
          NONPROFIT ADVOCACY
     URGENT ACTION NEEDED: CONTACT REPRESENTATIVES AND ASK
          FOR A VOTE AGAINST ANY ISTOOK OR MCINTOSH AMENDMENTS
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STOP THE ISTOOK-MCINTOSH AMENDMENTS LIMITING NONPROFIT ADVOCACY

Representatives Ernest Istook (R-OK) and David McIntosh (R-IN)
plan to offer amendments today, November 16, to H.R. 2564, the
lobby reform bill, that would greatly restrict the advocacy voice
of nonprofit organizations and charities.  These amendments would
create a complex web of new requirements and poorly defined
provisions that not-for-profit organizations would be forced to
meet--burdensome and unnecessary red tape.  IMMEDIATE ACTION is
needed to on these proposals.

McIntosh's amendments may, among other things, affect affiliated
organizations like state chapters of the American Library
Association.  ALA opposes the Istook amendment in all its various
mutations because it would restrict the advocacy voice of
nonprofit organizations and impede the free flow of information
to Congress and other law and policy makers.

The following analysis describing the McIntosh plans to amend
H.R. 2564, was prepared by OMB Watch. It should be read in
conjunction with ALAWON Vol.4, No. 96, November 15, which
provided information about the legislative language Istook
intends to add to the bill.  Istook is likely to offer his
amendment first, followed by the three McIntosh amendments
described below by OMB Watch:

"Combined, these amendments far exceed the scope of any previous
Istook/McIntosh/Erhlich amendment -- and the combined impact
would be devastating for charities throughout the country.

The McIntosh amendments add enormous red tape at a time when the
public is calling for less bureaucracy.  They are targeted only
to nonprofit organizations, despite the fact that nonprofit
entities only account for 6% of all federal grant recipients.
The other 94% include state and local governments, taxable
organizations, and individuals.

Amendment #1:  "Disclosure of Receipt of Federal Funds"

1.  This only applies to nonprofit recipients of federal funds --
grants, loans, cooperative agreements, and other forms of federal
assistance (probably inclusive of contracts) -- not to for-profit
entities.  Nonprofit recipients of federal funds must disclose on
all communications intended to promote public support or
opposition to "any policy of a Federal, State, or local
government" the following statement: "This was prepared and paid
for by an organization that accepts taxpayer dollars."

In addition, the nonprofit recipient must submit a new annual
report disclosing to the government information about: a) federal
funds; b) expenditures dealing with  political advocacy, attempts
to influence legislation or administrative actions or decisions,
payments to lobbyists, endorsements or coalitions that have
lobbying as a purpose; c) campaign contributions, including
in-kind contributions, through the entity or any affiliate, which
also include efforts to support or oppose referenda, nominations,
or reapportionment; d) the name and address of all registered
lobbyists; and e) the most recent financial statement.  This
information will be publicly available.

2.  Failure to comply will result in a civil penalty of $10,000
for first time offenders.  Further failures will result in
prohibition of federal funds for two years.

3.  The definition of political advocacy is very, very broad. It
covers such things as: executive and legislative branch
communications at the local, state, and federal level;
participating in, raising funds for, or providing monetary or
in-kind contributions for any litigation except
when the entity has standing to sue or intervene; contributions,
dues, or "any other thing of value" to an entity that spends 5%
or more of its money on advocacy; training or encouragement of
advocacy; and joining, organizing, or assisting any entity (e.g.,
coalitions, organizations, cooperatives) which has "as one of its
purposes" to engage in advocacy.  This includes any action
taken by any affiliate.

Amendment #2: "Anti-Money Laundering Provision"

This provision amends the original Sen. Alan Simpson (R-WY)
amendment to the lobby reform bill that prohibits all 501(c)(4)
social welfare organizations that lobby from receiving federal
funds.  The McIntosh amendment would extend the prohibition to
all "affiliated organizations."

The definition of affiliate is the same wording as the Istook
amendment that the Senate opposed.  An affiliated organization is
one where any one of the following condition are met: a) the
governing instrument of one entity controls another; b) there are
overlapping boards and these  individuals have enough votes to
cause or prevent action on advocacy by each organization; or c)
the entities use the same name or trademark (or represent
themselves as being affiliated), and they coordinate advocacy or
lobbying activities.

Amendment #3: "Private Citizen Enforcement Provision"

Creates a provision to allow bounty hunters to enforce any
provision in the lobby reform law which addresses the receipt of
federal grants.  This is the same provision that was in the
original Istook amendment, but now would apply more broadly to
the other two McIntosh amendments and the proposed Istook
amendment.  Under the False Claims Act, any individual can sue a
recipient of federal grants for up to ten years to allege
non-compliance with the provisions in  the lobby reform bill that
deal with federal grants.  Combined with the planned Istook
amendment and the other two McIntosh amendments, this provision
would have an enormously chilling impact on charities across the
country."

Analysis prepared by Gary D. Bass, OMB Watch, 1742 Connecticut
Ave., N.W.,Washington, D.C.  20009-1171
(E-mail:bassg@rtknet.org or Voice: (202) 234-8494 or FAX: (202)
234-8584)

ACTION NEEDED: Immediately call, fax or e-mail your
Representative to ask her or him to vote against the Istook and
McIntosh amendments, or any similar language, offered to H.R.
2564, the lobby disclosure reform bill.  Debate on this bill
proceeds at this writing so immediate response is necessary.
Contact Anne A. Heanue at the ALA Washington Office for
additional information. (E-mail aah@alawash.org or voice
202-628-8410 or fax: 202-628-8419)

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ALAWON (ISSN 1069-7799) is an irregular publication of the
American Library Association Washington Office, 1301 Pennsylvania
Ave., N.W., Washington, D.C. 20004.  Internet:
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Contributing to this issue: Anne A. Heanue and Claudette W.
Tennant; Editor: Lynne E. Bradley (leb@alawash.org).

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