State Nonprofit Reporting Requirements: Is Florida Next? | SBDC UNF

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State Nonprofit Reporting Requirements: Is Florida Next?

Does anyone have more on this? According to Cy Ryan, wrting for the Las Vegas Sun, Nevada is considering a bill to require nonprofits to register with the state and produce partial IRS documemtation to ensure their funds are being spent appropriately.
Two questions came to me as I read this article:

1. Doesn’t the IRS 990 already provide accessable information on the spending of nonprofits and a great deal of other poignant information? Why the need to duplicate and not even do it as well?
2. If the legislation would not be applicable to political or religious groups or list donors by name, then what is the point?
While GuideStar, Better Business Bureau charity ratings, and other donor reporting entities are not perfect, they are accessable and at least from the tone of this article, every bit as accessable and useful as what is being proposed.
All of this looks like another unnessary nonprofit administrative cost for the sake of compliance. A burden nonprofits don’t need right now. Lets hope this is not an emerging trend. I’d hate to see this kind of bill get traction in Florida.

CARSON CITY – A bill has been introduced in the Senate to require nonprofit organizations to register with the state to see if the money they collect is actually providing any services.The bill, says sponsor Sen. David Parks, D-Las Vegas, is aimed at revealing who the “good and non-good” charitable groups are and to see if all the money is going for salaries and administration or if the majority of funds is filtering down to the intended people.
Parks had no idea how many nonprofits this would affect but there are a “horrendous number.” And it would not include political or religious groups. Of the nonprofits he serves on, 80 to 90 percent of the funds raised make it down to the people to be served, he said.

Senate Bill 153, referred to the Judiciary Committee for study, would require the nonprofits to file with the Secretary of State’s Office. Included would be two pages from their Internal Revenue Service documents that show where the money is going. The bill would not require the names of the donors.
Parks said the bill is designed make sure nonprofits are operating “on the up and up.” He had a similar bill in 2005 but it died in the Legislature.
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