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As many of you are aware, H.R. 9495—also known as the "nonprofit killer"—passed in the U.S. House of Representatives last Thursday, November 21. OTW Legal has received a number of comments from understandably concerned users, and we'd like to take this opportunity to provide more information about this bill as it makes its way to the U.S. Senate.
Section 4 of H.R. 9495 would give the U.S. Secretary of the Treasury unilateral power to revoke the 501(c)3 status of any nonprofit, with minimal due process, simply by claiming it is affiliated with terrorism. The bill allows the Secretary to limit the disclosure of evidence against an accused nonprofit and places the burden of proving its innocence on that nonprofit—meaning a nonprofit could be forced to defend itself without being told why it has been accused in the first place.
You can read the text of the bill here.
While this bill is unlikely to pass in the current U.S. Senate, many organizations anticipate its return under the incoming presidential administration and U.S. Congress. If H.R. 9495 is ultimately passed into law, there is a danger that it could be enforced biasedly or used to further political agendas.
This bill poses a direct threat to the nonprofit sector as a whole, including many fannish nonprofits. Concerned U.S.-based fans can and should contact their senators and urge them to vote no on H.R. 9495. If you live outside the U.S., you can help spread the word by sharing this, our posts on social media, or resources from other organizations fighting for internet freedom, such as the Electronic Frontier Foundation's Action Center.
Our Legal committee is keeping a close eye on this bill. Based on where it stands right now, we don't see an immediate risk to the OTW or AO3 but we will inform you if this changes.
Is there a new law that might affect fans or fannish activities in your country? Send us a message about legislation you think we should know about. (Submitting a concern doesn’t guarantee that it will be included in a future Spotlight on Legal Issues post.)
The Organization for Transformative Works is the non-profit parent organization of multiple projects including Archive of Our Own, Fanlore, Open Doors, Transformative Works and Cultures, and OTW Legal Advocacy. We are a fan-run, entirely donor-supported organization staffed by volunteers. Find out more about us on our website.