House Members to Offer Bill to Expand Lobbying Disclosure

In the wake of allegations of violations of House rules, particularly about lobbyists paying for congressional travel by Majority Leader Tom DeLay (R-TX), two Democrats plan to introduce a bill to increase disclosure of federal lobbying and tighten other rules affecting the influence of lobbyists. At the same time, Republicans announced their own plans aimed at tightening and enforcing House ethics rules. However, the Democrats' bill appears to have picked up steam when House Administration Committee Chairman Robert Ney (R-OH) expressed interest in crafting a bipartisan approach to reform.

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House Ways and Means Committee Holds Hearing on the Tax-Exempt Sector

More law school seminar than hearing, on April 20, the House Ways and Means Committee examined the "legal history of the tax-exempt sector; its size, scope and impact on the economy; the need for congressional oversight; Internal Revenue Service (IRS) oversight of the sector; and what the IRS is doing to improve compliance with the law." According to Chairman Bill Thomas (R-CA), the hearing, was not meant to parallel a recent hearing by the Senate Finance Committee reviewing specific reforms.

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GAO Finds Bush's Social Security Campaign Not Illegal Lobbying

On April 27, the Government Accountability Office (GAO) sent a letter to eight Democratic senators finding that the Bush administration's program to promote its Social Security plan to the public does not constitute illegal use of government funds for grassroots lobbying. The senators had asked for an assessment of whether the overall context and message of the administration's Social Security campaign amounted to a clear appeal to the public to contact members of Congress. The GAO disagreed, saying that no violation occurs unless there is an express request to the public to contact Congress.

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IRS Describes Increased Enforcement of Nonprofit Sector

Mark Everson, commissioner of the Internal Revenue Service (IRS), told attorneys at the Georgetown Law Center's Tax-Exempt Seminar that the sector must act to head off a "gathering storm" resulting from use of the sector as a vehicle for tax avoidance. Other IRS officials at the April 28 training described new and increased enforcement activities.

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Senate Committee Passes Amended 527 Bill

An attempt by Sens. John McCain (R-AZ) and Russell Feingold (D-WI) to extend federal campaign finance regulation to independent political groups has backfired in the Senate Rules Committee, which amended the 527 Reform Act of 2005 (S. 271), to repeal portions of the Bipartisan Campaign Reform Act of 2002 (BCRA). The vastly altered version of S. 271 passed by the committee on April 27 is a crazy quilt of amendments that restricts independent groups while lifting limits on business groups and PACs run by members of Congress.

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527 Reform Bill Sponsors Circulate Amended Version

A draft substitute amendment to S. 271, the 527 Reform Act of 2005, is being circulated by sponsors Sens. John McCain (R-AZ) and Russell Feingold (D-WI). It removes some problems with the original bill, but still would subject independent political organizations to the same regulations as parties and federal candidates.

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Administration Stifles Dialog on Social Security

The Bush administration has denied use of public facilities to a group critical of its version of Social Security reform, while using federal resources to pay for propaganda and promotion of its agenda. It refused to allow a women's group to hold a conference on Social Security at the National Archives because they did not have a speaker supporting private accounts. The same week three people were ejected from a federal government supported town hall meeting on Social Security in Colorado because their car had an anti-war bumper sticker.

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Free E-Filing for IRS Form 990 Available

The National Center for Charitable Statistics (NCCS) is offering free electronic filing for nonprofits that file the annual Form 990 to the Internal Revenue Service (IRS) online. The process offers features that make filling out the form easier and helps make it more accurate.

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Senate Finance Committee Discusses Nonprofit Accountability

On April 5, the Senate Finance Committee continued its examination of accountability, governance and oversight of the nonprofit sector in a hearing titled "Charities and Charitable Giving: Proposals for Reform." The hearing focused mostly on the valuation of non-cash contributions, excessive compensation, transparency and the sharing of information.

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OMB Watch Letter to the Senate Opposing Santorum Amendment

Read the text of OMB Watch's open letter to the Senate urging the opposition of Sen. Rick Santorum's amendment to the Social Services Block Grant to include charitable choice provisions.

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