HB392 • 2025

AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO NONPROFIT ORGANIZATIONS AND THE PROHIBITION OF PARTISAN POLITICAL ACTIVITIES.

Taxes

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor: Ross Levin
Last action: 2026-05-14
Official status: Out of Committee 5/14/26
Effective date: Not listed

Plain English Breakdown

The official status indicates the bill passed both chambers and reached final enrollment, though no effective date is provided in the source text.

Delaware Nonprofit Nonpartisanship Protection Act

This bill creates state rules that stop tax-exempt nonprofit groups operating in Delaware from supporting or fighting against political candidates.

What This Bill Does

Creates a new law called the Delaware Nonprofit Nonpartisanship Protection Act.
Stops nonprofits with federal Section 501(c)(3) status operating in Delaware from endorsing, opposing, or giving money to any candidate for office at the federal, state, or local level.
Bans using charitable funds, grants, donations, staff time, facilities, or communications to help or hurt political campaigns.
Allows officials to take away eligibility for state grants or contracts for up to 5 years if a group breaks these rules.
Requires the Department of Justice and Secretary of State to oversee compliance and investigate violations.
Requires the Auditor of Accounts to review nonprofit grant recipients to ensure they follow nonpartisanship rules.

Who It Names or Affects

Nonprofit organizations in Delaware with Section 501(c)(3) tax-exempt status
The Delaware Department of Justice
The Delaware Secretary of State
The Auditor of Accounts

Terms To Know

Section 501(c)(3): A federal rule that gives tax-exempt status to charitable groups but stops them from doing partisan politics.
Johnson Amendment: The part of the U.S. tax code that bans 501(c)(3) nonprofits from supporting or opposing political candidates.
Partisan political activities: Actions like endorsing a candidate, running ads for them, giving money to their campaign, or using organizational resources to support or oppose any candidate.

Limits and Unknowns

The bill does not state an effective date.
Civil penalties are determined by the Department of Justice and specific amounts are not listed in this text.
Mandatory corrective action includes financial restitution, but exact calculation methods are not detailed.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

HA 1

1 • Ross Levin

PWB 5/12/26

Plain English: This amendment updates the rules for nonprofit organizations in Delaware by setting specific penalties for breaking political activity laws, clarifying which officials must investigate violations, and defining these breaks as unlawful practices.

Nonprofit groups that break the rules will not be allowed to get state grants or contracts for five years.
Organizations found guilty of misuse must pay back any funds they used incorrectly to where those funds came from.
The Auditor of Accounts and the Secretary of State are now required to check on nonprofits, investigate problems, and send cases to the Department of Justice if rules were broken.
Breaking these laws is officially treated as an unlawful practice under specific sections of Delaware law.

The amendment text does not explain what penalties existed before this change was made.
It does not define exactly how often the 'periodic reviews' by officials must happen.

Bill History

2026-05-14 Delaware General Assembly
Reported Out of Committee (Economic Development/Banking/Insurance & Commerce) in House with 1 Favorable, 7 On Its Merits
2026-05-12 Delaware General Assembly
Amendment HA 1 to HB 392 - Introduced and Placed With Bill
2026-04-30 Delaware General Assembly
Introduced and Assigned to Economic Development/Banking/Insurance & Commerce Committee in House

Official Summary Text

AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO NONPROFIT ORGANIZATIONS AND THE PROHIBITION OF PARTISAN POLITICAL ACTIVITIES.
The Delaware Nonprofit Nonpartisanship Protection Act is designed to uphold and safeguard the long-standing principle of nonpartisanship for tax-exempt nonprofit organizations operating within the State. The bill reinforces the protections established by the Johnson Amendment, which prohibits 501(c)(3) nonprofits from engaging in partisan political activities, including endorsing or opposing candidates for public office.

Current Bill Text

Read the full stored bill text

Legislation Document

SPONSOR:

Rep. Ross Levin & Sen. Cruce

Reps. Gorman, Morrison; Sens. Hoffner, Huxtable

HOUSE OF REPRESENTATIVES

153rd GENERAL ASSEMBLY

HOUSE BILL NO. 392

AN ACT TO AMEND TITLE 6 OF THE DELAWARE CODE RELATING TO NONPROFIT ORGANIZATIONS AND THE PROHIBITION OF PARTISAN POLITICAL ACTIVITIES.

WHEREAS, nonprofit organizations play a vital role in strengthening Delaware’s communities by providing essential services, advocating for public interests, and fostering civic engagement; and

WHEREAS, the Johnson Amendment, codified in Section 501(c)(3) of the Internal Revenue Code, has ensured that charitable organizations, religious institutions, and foundations remain nonpartisan and free from political influence in exchange for tax-exempt status; and

WHEREAS, preserving the nonpartisan nature of nonprofit organizations is critical to maintaining public trust, ensuring that charitable resources are not diverted for political purposes, and preventing undue influence from partisan interests; and

WHEREAS, the federal government has considered proposals to weaken or repeal the Johnson Amendment, potentially allowing tax-exempt nonprofits to engage in partisan political activities, which could undermine their integrity and mission.

NOW, THEREFORE:

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:

Section 1. Amend Title 6 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline as follows:

Chapter 50F. Delaware Nonprofit Nonpartisanship Protection Act

§ 5001F

. Short title.

This chapter is known as and may be cited as the “Delaware Nonprofit Nonpartisanship Protection Act.”

§ 5002F.

Nonprofit nonpartisanship requirement.

(a) A nonprofit organization that receives tax-exempt status under Section 501(c)(3) of the Internal Revenue Code and operates within the State may not do any of the following:

(1) Endorse, oppose, or contribute to any political candidate, party, or campaign for elected office at the federal, state, or local level.

(2) Use charitable funds, grants, or donations for a partisan political purpose, including campaign advertisements, lobbying for or against candidates, or direct contributions to political committees.

(3) Permit organizational resources, including staff time, facilities, or communications, to be used in support of or opposition to any candidate for public office.

(b) Any nonprofit organization found in violation of this section is subject to all of the following:

(1) Revocation of eligibility for state grants or contracts for a period of up to 5 years.

(2) A civil penalty as determined by the Department of Justice.

(3) Mandatory corrective action, including financial restitution of misused funds.

§ 5003F. Enforcement and oversight.

(a) The Department of Justice, in coordination with the Secretary of State, must oversee compliance with this chapter and investigate alleged violations.

(b) The Auditor of Accounts must conduct periodic reviews of nonprofit grant recipients to ensure compliance with nonpartisanship requirements.

Section 2.

If any provision of this Act or its application is held invalid, such invalidity shall not affect other provisions or applications of this Act that can be given effect without the invalid provision or application.

SYNOPSIS

The Delaware Nonprofit Nonpartisanship Protection Act is designed to uphold and safeguard the long-standing principle of nonpartisanship for tax-exempt nonprofit organizations operating within the State. The bill reinforces the protections established by the Johnson Amendment, which prohibits 501(c)(3) nonprofits from engaging in partisan political activities, including endorsing or opposing candidates for public office.