Animal Welfare Professionals

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  • 1.  California's Law to Impact Nonprofits Nationwide

    Posted 06-15-2024 10:57 AM

    How are folks handling the implementation of California's final regulations to implement Assembly Bill 488 (AB 488)? 

    "The Act now regulates any entity that uses the internet to provide a website, service, or other platform to persons in California and performs, permits, or otherwise enables acts of solicitation to occur online." With limited exceptions, the Act now regulates virtually all online fundraising efforts that solicit contributions from people in California-whether that giving is connected to social media efforts, shopping and e-commerce transactions, online gaming, prize promotions, or otherwise." (source).


    Is anyone using proprietary software to take donations directly rather than using a third-party vendor (like Blackbaud, GiveLively, etc)? Are you registered in California and/or do you plan to register now that this requirement is in place? Or, have you put geo-location parameters or other disclaimers so that you don't inadvertantly solicit to CA online?

    Last but not least, if anyone works with an accountant or filing service with nonprofit expertise in California who helps you with this registration, I'd love to get your recommendation!


    #FundraisingandDevelopment

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    Heather Miller
    Development & Communications Director
    Cat Adoption Team (CAT)
    Sherwood OR
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  • 2.  RE: California's Law to Impact Nonprofits Nationwide

    Posted 06-16-2024 08:25 AM

     I had not heard of AB 488 and as part of a small non-profit in Californias naturally wanted to know more.  Found that the  "Change" website gives a more complete description than "Venable" site including the exceptions.   Specifically "It's worth noting that certain entities are excluded from the definition of charitable fundraising platforms. This includes a charitable organization's own platform that solely solicits donations for itself, vendors that provide technical or supportive services to these platforms, sponsoring organizations of donor-advised funds, and certain trustee or charitable corporations facilitating acts of solicitation."  The examples given of charitable giving platforms were FoFundMe, Classy, Donor Choose, and Kickstarter.



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    Candace Huskey
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  • 3.  RE: California's Law to Impact Nonprofits Nationwide

    Posted 06-16-2024 08:54 AM

    I know from receiving communication from both Blackbaud and GiveLively platforms that they will no longer service an organization that is not in "good standing" with the state of California. My reading of it, as well as an attorney on our board, is that if an organization has a proprietary (i.e. their own) platform that would be exempt. But most nonprofits I know use a third-party vendor software to take online donations. 

    I do believe that organizations with a budget of less than $50,000 are not required to register, but that would be worth double checking on the CA DOJ site. 

    Here is another primer about the changes from GiveLively: https://www.givelively.org/resources/learn-how-nonprofit-delinquency-laws-affect-give-lively-members



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    Heather Miller
    Development & Communications Director
    Cat Adoption Team (CAT)
    Sherwood OR
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  • 4.  RE: California's Law to Impact Nonprofits Nationwide

    Posted 06-16-2024 06:12 PM

    Wow. This is a little terrifying. When California does something like this, other states eventually follow.

    Are there other resources you can point us to that will clarify how non-CA based charities are affected? 

    Thanks for sharing.



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    Rene Agredano
    Tripawds
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  • 5.  RE: California's Law to Impact Nonprofits Nationwide

    Posted 06-16-2024 10:22 PM

    Catnip Casa Cat Refuge is a small, all-volunteer organization with only foster homes. We can't afford nationwide registration, but often, the most cost-effective way is to go through a service that handles it for you because requirements can change every year.  It is terribly time-consuming to do it in-house unless you have paid staff with experience. We get donations from out of state, and we have remote volunteers that are out of state. However, I'm very careful not to solicit in a newsletter since I often have no information on where donors are located if they only leave an email. I limit my paid advertising on social media to our state because we are allowed to solicit here. I also understand that Google Grants ads can be limited geographically. We are small enough to fall under $50K, but I'm careful. The solicitation fines can be pricey. There are a few free webinars the registration companies offer that are very good. I take at least one each year to keep up to date. I've been dreading what restrictions may come for nonprofits using internet advertising or even just for having a website.



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    Penny Leisch
    President
    Catnip Casa Cat Refuge
    TX
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  • 6.  RE: California's Law to Impact Nonprofits Nationwide

    Posted 06-17-2024 09:37 AM

    Really appreciate this heads up. Consulting with a lawyer and our accounting team. If they give any more clarity happy to share. Otherwise it seems like best practice is to register.  



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    Jennifer Evans
    CARE
    Baltimore MD
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