Florida Senate Bill 700 (“SB 700”), codified at Fla. Stat. §§ 496.401–.431 and effective July 1, 2025, institutes a number of changes affecting charitable organizations. SB 700 prohibits charitable organizations from soliciting or accepting funds from individuals or entities associated with a “foreign source of concern”. To augment this prohibition, Florida has established an Honest Services Registry, a new state registry that lists certain not-for-profits that certify that they do not solicit or accept prohibited contributions. This bill impacts all charitable organizations, not-for-profit organizations, 501(c)(3) public charities, private foundations, 501(c)(4) social welfare groups, professional fundraisers, and consultants. These changes require compliance and transparency for charitable organizations soliciting or accepting funds in Florida. Organizations should review their current practices and ensure they meet the new requirements to avoid penalties and maintain their ability to solicit charitable donations within the state.
A. Fundraising Prohibitions.
SB700 bans donations originating from, and introduces penalties for soliciting or accepting contributions from a “foreign source of concern,” which could affect the fundraising activities of not-for-profit corporations. A “foreign source of concern” includes the following designated countries: China, Russia, Iran, North Korea, Cuba, Venezuela (specifically, the Venezuelan regime of Nicolás Maduro), and Syria (a “Foreign Source of Concern”).
A Foreign Source of Concern includes the following:
• The government, any official political party, or party member of any listed country.
• Any entity organized under, or doing business in, a listed country, as well as the entity’s subsidiaries, agents, or affiliates.
• Individuals domiciled in a listed country who are neither a U.S. citizen nor a permanent resident.
• An individual or entity “controlled” by one of the above parties that holds at least a 25% ownership interest or voting control.
• Any representative or intermediary acting on behalf of an aforementioned source.
B. Registration Changes.
Not-for-profit corporations must file an initial registration statement, and an annual renewal statement, with the Florida Department of Agriculture and Consumer Services (“FDACS”). This registration requirement now includes the submission of an attestation of compliance. Charities that are registered to solicit contributions or have funds solicited on their behalf in Florida must file an attestation of compliance, regardless of their state of formation. This requirement extends to any entity soliciting on behalf of the organization. The attestation of compliance is a sworn statement signed by an officer of the organization, confirming that the organization does not solicit or accept contributions from any Foreign Source of Concern, and that the organization’s messages is not influenced by such sources. The FDACS will prescribe an attestation form for charitable organizations to use. This attestation becomes part of the organization’s public registration file.
Additionally, SB 700 directs the FDACS to create the Honest Services Registry to provide Florida residents with additional information to make an informed choice regarding which charitable organizations to support. To be included on this registry, a charitable organization cannot solicit or accept contributions, funding, support or services from a Foreign Source of Concern. Participation in the registry is optional, but signals compliance with state standards. Not-for-profit organizations must apply through the FDACS to be included on this Registry.
C. Compliance Recommendations
1. Donor Certification: Charitable organizations should update their contribution and conflict-of-interest forms to add a clear donor question or certification, asking donors to confirm and certify that they or their organization are not a Foreign Source of Concern. These donor certifications should be embedded within grant agreements, on online forms and pledge cards, and any other place where donations may be solicited or received.
2. Conflict of Interest Policies: The Board of Directors, or other authorized committee, of charitable organizations must adopt a (revised) conflict-of-interest policy, addressing compliance by submitting their organization’s certification to the FDACS alongside its annual registration statement. Charitable organizations should revise their conflict-of-interest policy to mirror the language of SB 700 regarding soliciting and accepting donations from any Foreign Source of Concern.
3. Registration Requirements: The attestation of compliance and Honest Services Registry have not yet been published on FDACS’s website. Not-for-profits and fundraisers should continue to monitor the Department’s website, https://www.fdacs.gov/, for updates as more guidance becomes available. The Board of Directors, or other governing body, of charitable organizations operating in Florida or organizations operating outside of Florida and soliciting donations from Florida residents should begin an internal discussion regarding the organization’s election to participate in the Honest Services Registry or not.
4. Internal Training: Staff and volunteers should be trained on screening questions and should be updated on the provisions and penalties associated with SB 700. Ensure that staff and volunteers are familiar with the new rules enacted under SB 700 and any new procedures put into place by the charitable organization regarding donor screening and certification.
5. Records: Charitable organizations should review current donor data, to identify donors who may be a Foreign Source of Concern. Additionally, organizations should keep new donor certifications as a part of the organization’s records.
6. Third Party Organizers and Fundraisers: Charitable organizations should ensure that any third party organizers or fundraisers the organizations works with or contracts with are also in compliance with SB 700. This compliance should be documented and retained as a part of the organization’s records.
D. Penalties for Noncompliance
Not-for-profit organizations that fail to comply with SB 700, or submit a false attestation of compliance, will be prohibited from fundraising for five years following an initial violation, and if another violation occurs, the organization may be permanently banned from fundraising in Florida. Individuals serving as board members, executive leadership team members, or registering agents of a charitable organization at the time of a false attestation are prohibited from serving in any capacity with a charitable organization for five years following the violation.
There is a safe harbor for inadvertent, first-time violations. The safe harbor is not available for willful conduct, and is only available if the donor has falsely asserted that they were not a Foreign Source of Concern. An organization may escape penalties if, within 30 days of learning of the violation, the organization:
1. Provides the FDACS with the donor’s false certification that no foreign ties exists;
2. Fully refunds the contribution; and
3. Files a corrective action plan with the FDACS to prevent such violations from occurring again.
Criminal penalties may apply for willful and knowing violations of the law in addition to civil and administrative penalties, and the registration of a charitable organization or sponsor may be denied or revoked for submitting a false attestation.
