I-194 and Nonprofits: How The Montana Plan would impact nonprofit political activities

This year, Montana voters are weighing in on an initiative to limit corporate spending in elections. This initiative is I-194, or “The Montana Plan”. I-194 would amend Montana law to redefine the powers and privileges of “artificial persons,” specifically, to deny them the ability to engage in certain “political spending.”

Nonprofits—including 501c3 organizations—are included in that definition. 501c3 organizations, as we know, are already barred from contributing to political parties, candidates, or candidates’ campaigns. However, I-194’s definition of political spending includes ballot initiatives and local mill levies.

MNA neither endorses nor opposes this initiative. For more information on our policy agenda, please visit our policy page. You can also read our 2026 Nonprofit Voter Guide here.

Because this initiative would have profound impacts on nonprofit work, MNA commissioned an independent legal analysis of the initiative and its implications for Montana nonprofits. You can read the report below.

Pages 1-6 provide a summary of the initiative.

Pages 6-10 provide a summary of the potential impacts on nonprofits.

Pages 11-12 share an overview of potential compliance obligations for nonprofits should this initiative pass.

If I-194 passes, MNA will provide further compliance guidance for nonprofits. We recommend sharing this memo with your organization and board leadership if you believe it may impact the work of your nonprofit.