Civic Organizations that Promote Diverse Participation in American Democracy

• In Event: Does Civil Society Replicate Political Inequality?

Abstract

Summary: This paper assesses the extent and efficacy of civic and political activities of small and midsize 501(c)(4) social welfare nonprofit organizations that seek to build leadership and create pathways for marginalized constituencies to engage in democratic processes. Such organizations typically have as members low-income constituencies of color that have experienced chronic disinvestment, economic inequality, and isolation.
Building on exploratory research in partnership with a national funder of 501(c)(4) organizations, we focus on factors that facilitate inter-and intra-organizational capacity to increase political engagement and influence policy change. We analyze a dataset of IRS Form 990 financial and organizational information for 500 organizations, supplemented with analyses of interviews of a sample of Executive Directors to ascertain the strategies they employ and the capacities they require to accomplish organizational goals. We also draw from key informant interviews with 501(c)(4) funders to examine the role of philanthropy in supporting these organizations as vehicles for catalyzing civic participation and policy change. With these mixed methods, the study assesses the outcomes generated by 501(c)(4)s, as well as the role of philanthropy in promoting diverse participation and influence in American democracy.
Background: Social welfare organizations (classified by the IRS as 501(c)(4) nonprofits) are permitted to engage in advocacy, lobbying, and electoral activities. Previous research indicates that the universe of social welfare organizations that actually engage in “advocacy” is fairly small, (approximately 2,000 of the 81,000 registered as social welfare organizations). The Supreme Court’s 2010 Citizens United v. Federal Elections Commission decision increased corporate and union spending during elections along with the role of outside nonprofit groups attempting to influence electoral outcomes using “dark money” strategies. However, evidence from case study research suggests that there is also an expanding ecosystem of 501(c)(4) and “hybrid” organizations (connected charities, social welfare organizations, and political action committees) that use grassroots organizing to accomplish electoral and social policy change goals within low income communities and communities of color. Understanding what types of organizations make up this subset of organizations and the extent to which they facilitate greater democratic engagement is central to this research. Nonprofit leaders and donors seek to understand better the challenges of establishing and sustaining a civic infrastructure that promotes and improves the participation of traditionally marginalized groups.

Literature: Nonprofit political and advocacy organizations operate within a complex environment of civil society groups vying to influence policy and electoral outcomes. Beyond case study research and anecdotal evidence, there is a dearth of empirical work that addresses the role and function of 501(c)(4) organizations in civil society. Scholarship on the mobilization of interest groups (for example, Walker, 1991; Berry 1999) and member-based organizations (Skocpol, 1999, 2003) exists, along with a growing literature on advocacy organizations (Andrews & Edwards 2004; Pekkanen, Smith, & Tsujinaka, 2014). However, little research examines how 501(c)(4) organizations operate within marginalized populations to influence civic and political outcomes that affect them, and there is limited understanding of the role played by philanthropy.

Research Questions and Analysis: This mixed-methods study investigates the implications of a growing number of small to mid-size 501(c)(4) organizations aimed at increasing democratic engagement in low income communities and communities of color. Specifically, we assess: 1) Do these 501(c)(4) organizations engage local residents in political and civic action (voting, petitioning, campaigning)? If so, to what extent? 2) Do they have a measurable influence on policy and political outcomes (campaign wins, reputation, influence)? and 3) What organizational capacities (resources, staffing, size of membership) are associated with political effectiveness of these 501(c)(4) organizations?
We compare organizations across geography, issue area, membership identity, and organizational type. Using financial and organizational data from IRS Forms 990, we employ quantitative and qualitative methods to fill out the dataset, including web research and outreach to organizations. We look at patterns of similarities and differences and test relationships between organizational structure and function and dimensions of political effectiveness. Semi-structured interviews with 25 CEOs and funders further inform how organizational structure and function impact political effectiveness and the role of different types of funding.

Authors

• Elizabeth T. Boris, Urban Institute

• Margaret A. Post, Clark University