Blurb about why Forefront rocks, caption for photo

Forefront plays a very hands-on role with policy and advocacy at the state level, employing registered lobbyist(s), aiming to pass proactive legislation and defend the sector when needed. On specific policy proposals, Forefront may serve as a champion, supporter, or convener. For more information, contact [email protected].

Jump to: Policy Priorities • Watchlist • State Lobbying Rules • Related Resources

Policy Priorities

Community Partner Fair Contracting Act – HB 5064 / SB 3457

GATA Cleanup – HB5889 / SB3983

PURPOSE: Two bills that make improvements to how the State conducts business with nonprofit community partners who are managing State grants/contracts
SUPPORTED BY: Forefront, Illinois Health and Human Services Coalition
IMPACT: HB5064/SB3457 codifies timeframes ensure state contractors receive grant agreements, contracts, payments, and communications in a timely manner to ensure the continuity of service delivery; Aims to improve workforce stability by ensuring grants/contracts don’t arbitrarily allocate costs; Streamlines Court of Claims process for all parties (complete list of bill provisions). HB5889/SB3983 cleans up GATA for first time since its creation in practical ways.
EQUITY NOTE: Organizations with the smallest budgets and serving Communities of Color are the most likely to face challenges with the State’s contracting and payment systems per 2023 survey
FACT SHEETS:
- SB3457 / HB5064 – Original omnibus bill
- HB 5889 / SB3983 – GATA Cleanup agreement with GOMB

Nonprofit Lobbying Fee Waiver – SB 1349 / HB 4266

PURPOSE: Allow the Secretary of State to grant a waiver to the lobbyist registration fee for any qualifying nonprofit, including a fee waiver for any lobbyist registered to lobby under that entity
SUPPORTED BY: For a full list of supporters, see Fact Sheet
IMPACT: Illinois has the highest lobbying fees in the country. This is particularly hard on nonprofits, who often rely on grants, contracts, and charitable donations that cannot be used for lobby fees.
EQUITY NOTE: The bill provides this waiver for nonprofits with revenues under $5,000,000, focusing the impact on small organizations that struggle more to fundraise for lobbying fees. Small nonprofits are more likely to be led by, and serve, people of color. It also aligns the state with the City of Chicago, which already provides a nonprofit fee waiver for lobbyist registration fees.
Fact Sheet
Joint Letter to Legislators
Read more about lobbying rules in IL

Watch List

Nonprofit Investment Pool – HB 4908 / SB 3157

PURPOSE: Allow nonprofit organizations to invest money through the Illinois Funds program, gaining access to higher interest rate investment opportunities, while keeping money safe and liquid.
SUPPORTED BY: Illinois Treasurer Michael Frerichs, Forefront
IMPACT: Potential benefits would be aimed primarily at small-to-medium sized NPOs (i.e., $1-10M) and may include increased liquidity and lower fees than a private bank. In exchange, nonprofits may achieve slightly lower returns than they might in an investment fund managed by a private bank (but higher returns than a normal checking account).
EQUITY NOTE: The investment opportunity allows smaller and medium size nonprofits to access better investment opportunities than they would be able to access on their own. Smaller nonprofits are more likely to be led by people of color.

Business Diversity Task Force – HB 4566

Accomplishments

103rd General Assembly

Illinois Gives Act – HB 1241 / SB 172 – Enacted (P.A. 103-0592 – effective 1/1/25)

PURPOSE: Incentivize local charitable giving and permanent community endowments
SUPPORTED BY: Forefront, Alliance of Illinois Community Foundations
IMPACT: Would authorize a state income tax credit equal to 25% of contributions made to a permanent endowment at a qualified community foundation. Would bolster resources available to nonprofits in Illinois statewide in perpetuity. See a similar program in Iowa (Endow Iowa).
EQUITY NOTE: The bill stipulates that taxpayers at all income levels are eligible. At least 25% of the total tax credits available in one tax year would be reserved for small individual gifts (up to $25,000 each) and no single taxpayer could receive more than $100,000 in tax credits. Further, no more than 15% of the credit may go to any one community foundation, making it more accessible statewide in rural and urban communities.
Download a Fact Sheet
Download an infographic explaining the program
Read our FAQs and Press Release
Learn more on our page about this bill

Workforce Development Through Charitable Loan Repayment – HB 4736 / SB 3273 – Enacted (P.A. 103-0592 – effective 1/1/26)

PURPOSE: Private sector solution for workforce needs + student debt; Address workforce gaps in target areas by matching charitable loan repayment with locally needed workers; Implements the partnership that was described and called for in HR26 (2021). No GRF impact.
SUPPORTED BY: Forefront, Alliance of Illinois Community Foundations, Illinois Economic Development Association, Illinois Chamber of Commerce, Chicagoland Chamber of Commerce, Illinois Hispanic Chamber of Commerce
IMPACT: Would subtract charitable loan repayment from state income tax for eligible workers. In Illinois: 13.2% of the population has federal student loans; student loans are 8.5% of personal income; the average borrower has $38,473 in debt; 18% of borrowers are enrolled in income-driven repayment plans (Pew). Would benefit Illinois economy in that when loans are forgiven, the workers’ income that would otherwise be spent on debt service begins circulating in the local economy instead
EQUITY NOTE: Eligibility geographies are an Enterprise Zone, Opportunity Zone, Underserved Area, Distressed Area OR “any area that has a bachelor’s degree attainment rate for the population that is below the state or national average. Eligible jobs are at a Qualified new business venture, Targeted Growth Industry, a Business Enterprise for Minorities, Women, and Persons with Disabilities, OR Not-for-profit corporation as defined by 805 ILCS 105/101.75(m). Black students are more likely to borrow to pay for college (90%) compared to White students (68%); more than a decade after graduation, 66% percent of Black borrowers hold more student loan debt than the amount they originally borrowed; 50%+ Black households holding student loan debt have a zero or negative net worth, compared to 32% of non-Black households (Brookings).
Download a Fact Sheet
See related Executive Order 2019-03
Read Forefront’s Testimony
See Pew Research

Audit Threshold – HB 1197 / SB 72 – Enacted (P.A. 103-0121 – effective 1/1/24)

PURPOSE: Reduced financial and administrative burden for the smallest nonprofits in Illinois
SUPPORTED BY: Forefront, Arts Alliance Illinois, Illinois Collaboration on Youth, Illinois Partners for Human Service, Illinois CPA Society
IMPACT: Illinois had the most burdensome nonprofit audit threshold in the US, requiring a full audit once a nonprofit receives solicited contributions in excess of $300,000. This law will set the threshold for a full audit at $500,000 in annual contributions. The law includes a sunset date of January 1, 2029, at which time the audit threshold may be revised again to reflect cost of living changes or revert to the current level. Forefront is working with accounting experts and the Attorney General’s office to develop guidance for impacted nonprofit businesses (i.e., only those that collect charitable contributions between $300,000 – $500,000).
EQUITY NOTE: Full audits are costly and this is an undue burden on the smallest nonprofit businesses in Illinois. Many small nonprofits are led by Black, Indigenous, Latinx/o/a, and Persons of Color (BIPOC), serve persons of color, and/or conduct advocacy on behalf of BILPOC groups.
Fact Sheet
Forefront Testimony
Implementation Guide

102nd General Assembly

Charitable Trust Fund – HB4544 – Enacted (P.A. 102-699, effective 4/19/22)

PURPOSE: Makes improvements to grant program for small nonprofits in Illinois
SUPPORTED BY: Forefront, Illinois Municipal League, Illinois State Treasurer
IMPACT: Ensures more grant funds are distributed to the smallest nonprofits in Illinois by raising the required allocation for grants from 50% to 80% of the fund balance. Read more and apply here.
EQUITY NOTE: Gives special attention to applications from areas in which there is pervasive poverty, unemployment, and economic distress.
Download a Fact Sheet

Post-Graduation Scholarship Programs – HR26 – Adopted (4/23/21)

PURPOSE: Affirms support by the State for post-graduation scholarship programs hosted by Illinois community foundations. A post-graduation scholarship is a type of charitable grant that foundations may make to attract individuals with career skills needed in a particular region by paying off a portion of the individual’s student loans.
SUPPORTED BY: Forefront, Association of Illinois Community Foundations

Illinois Nonprofit Security Grant Program – HB4438 / SB3740 – Included in FY 23 Budget

PURPOSE: Appropriates $8 million in FY23 for grants and administration of this program for 501c3 nonprofit organizations at risk for hate crimes, which funds security projects such as training, equipment, cybersecurity and related staff.
SUPPORTED BY: Safeguard Illinois Communities Coalition (see fact sheet; includes Forefront)
IMPACT: This program was enacted in 2017 but has never been funded. Doing so will save lives in the face of rising hate-crime incidents. Nonprofits statewide have trouble getting funding to cover security costs, with existing federal programs oversubscribed and unable to meet demand. Provisions of this bill, including a $20 million appropriation, were included in the enacted FY 23 budget. IEMA is currently developing rules and a NOFO for the program, which Forefront will be monitoring in support of the coalition.
EQUITY NOTE: Hate crimes targeting Latinx, Black, LGBTQ, Asian, and Jewish residents of Illinois have increased in recent years.
Download a Fact Sheet

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