CalNonprofits convention photo
CalNonprofits is...
...a statewide alliance of over 10,000 organizations that brings nonprofits together to advocate for the communities we serve.
 
Photo at annual convention 2015
Be a member...
…to increase our collective voice in Sacramento and benefit from exclusive and discounted goods and services, including insurance just for nonprofits.
 

Latest News for Nonprofits

Legislative updateAs close watchers know, AB 1712 – the Donor-Advised Funds Transparency bill – was passed out of committee by the Assembly Judiciary Committee last week and sent to the Appropriations Committee for further consideration. This positive development occurred in large part because legislators saw the support from nonprofits in their districts: more than 100 nonprofits signed the support letter for AB 1712, including the United Ways of California, the Women's Foundation of California, and dozens of community-based nonprofits.

What is very clear: state leaders recognize that policies governing donor-advised funds (DAFs) must change. There are too many, much-needed resources at stake for nonprofits and for society as a whole:

  • More than 10% of individual giving goes to DAFs each year
  • California-based DAF sponsors hold more than $18 billion in donor-advised funds
  • While the donor receives an immediate tax deduction for establishing a DAF, there are currently no time constraints on when funds need to be disbursed to an active nonprofit
  • Donations to DAFs account for an estimated annual loss of $300 million in state taxes to California

AB 1712 partners – author Assemblymember Buffy Wicks, CalNonprofits, NextGen California, and Kat Taylor – have discussed some new approaches to addressing these policy concerns in recent meetings with other legislators and stakeholders. As a result, Assemblymember Wicks will be introducing a new bill in February that will replace AB 1712. The contents of that new bill are still being developed. We will update you again as soon as the new legislative approach is solidified.

Part of our job at CalNonprofits is to speak up for nonprofits in arenas where it would be hard for them to speak up individually. We so appreciate the tremendously positive feedback we've gotten from nonprofits about this bill.

Subscribe to our email list to get future updates about this bill and other policy and nonprofit insider information.

If you have questions, please contact Christina Dragonetti, Outreach and Communications Director.

How important is government funding to nonprofits?

We learned from the recently released Causes Count: the Economic Power of California’s Nonprofit Sector – New Findings that government funding represents 30% of nonprofit revenue in California, more than foundation funding and individual giving combined! We also learned that nonprofits struggle to find and secure government grants – particularly their first one.

In total, government provides more than ten times the funding to nonprofits as foundations, especially in human services, health and education, but also in the arts, environment, animal welfare, consumer protection, and elsewhere. But there are lots of workshops and resources on getting foundation grants compared to very few on getting government grants. We hope our new A Nonprofit’s Guide to Getting Your First Government Grant helps community nonprofits access government funding.

The spending bill passed and signed on December 20, 2019 included some great news for nonprofits: the tax on nonprofit employee transportation benefits, written into federal law in 2017, was repealed. This is a major victory for the nonprofit sector and a testament to what we can accomplish when the nonprofit community works together and reaches out to allies.

This illogical and harmful tax forced nonprofits to pay a 21% tax on employee benefits: yes, a tax on expenses. If a nonprofit paid for transit passes or employee parking – even on property they owned – they had to pay 21% of that amount in taxes. CalNonprofits members told us that some were forced to discontinue transportation benefits, and others paid tens of thousands of dollars in unnecessary taxes, and in additional accounting and audit costs.

Causes Count - New Findings is now available! Learn about the economic impact of California nonprofits, disparities within our sector, and our deep interdependency with government.
 
Cover image of Causes Count 2019
 

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our upcoming events
 
Causes Count: the Economic Impact of California's Nonprofits - New Findings (Redwood City)
CEO Jan Masaoka will discuss the new research on government funding, highlights of changes since the first-ever report in 2014, and the economic power of the nonprofit sector at the Thrive Leadership Circle Luncheon.
January 29, at 11:30
Register here
How to Start a California Nonprofit (Webinar)
Are you thinking about starting a nonprofit organization? Learn the basic steps, compliance requirements, and how it works in the real world from CEO Jan Masaoka.
January 30, at 11am
Register here.
Causes Count: the Economic Impact of California's Nonprofits - New Findings (Sacramento)
Outreach and Communications Director Christina Dragonetti will discuss the new research on government funding, highlights of changes since the first-ever report in 2014, and the economic power of the nonprofit sector at the WhatIF Conference produced by the Impact Foundry.
February 4, 2020
Register here.
Causes Count: the Economic Impact of California's Nonprofits - New Findings (San Rafael)
In partnership with the Center for Volunteer and Nonprofit Leadership, CEO Jan Masaoka will discuss the new research on government funding, highlights of changes since the first-ever report in 2014, and the economic power of the nonprofit sector.
February 5, 11am-12:30pm
Register here.
Causes Count: the Economic Impact of California's Nonprofits - New Findings (Santa Rosa)
In partnership with the Center for Volunteer and Nonprofit Leadership, Outreach and Communications Director Christina Dragonetti will discuss the new research on government funding, highlights of changes since the first-ever report in 2014, and the economic power of the nonprofit sector.
February 11, 1pm-2:30pm
Register here.
Donor-Advised Funds: Treasure or Threat? (San Francisco)
In this Development Executives Roundtable Luncheon, CEO Jan Masaoka will discuss donor-advised fund growth and impact on the nonprofit sector.
February 14, at 12pm
Register here
Causes Count: the Economic Impact of California's Nonprofits - New Findings (Van Nuys)
In partnership with California Lutheran University, CEO Jan Masaoka will discuss the new research on government funding, highlights of changes since the first-ever report in 2014, and the economic power of the nonprofit sector.
April 2nd, at 11:30am
Registration coming soon!