Activities Related to State Ballot Initiatives
Both public charities and private foundations can play significant roles in state ballot initiatives. Although initiatives appear on a ballot and are voted on at an election, they are considered legislation by the IRS, and therefore subject to the tax law limits (for public charities) and prohibitions (for private foundations) on all legislative lobbying activities. Ballot measure activities do not fall within the prohibition on partisan candidate-related electoral activities.

However, in addition to complying with federal tax laws on lobbying, ballot measure campaigns and activities are subject to state and local regulation under generally applicable election and campaign finance disclosure laws. Before advocating for or against a ballot measure within their lobbying allowance, public charities should determine what reporting or registration their activities may trigger under state or local laws. Even though private foundations are more limited in their potential ballot measure activities, they may also be affected by these state or local disclosure rules.

NCG published two guides that detail federal and state regulations that affect private foundations and public charities engaged ballot initiative activities in California, but laws differ from state to state, so other resources should be consulted for activities outside of California.

"The Private Foundation's Guide to the California Ballot Initiative Process" by Rosemary Fei, Diane Fishburn, and Barbara Rhomberg, Northern California Grantmakers

"The Public Charity's Guide to the California Ballot Initiative Process" by Rosemary Fei, Diane Fishburn, and Barbara Rhomberg, Northern California Grantmakers

Other resources:
"Foundations and Ballot Measures: A Legal Guide" Alliance for Justice