New crackdowns on tax-exempt organizations at the state level may cause foundations to relocate to less restrictive states, according to Stephanie Silverman, outside counsel to the Alliance for Charitable Reform, writing in Philanthropy (www. philanthropyroundtable.org). The states most at risk for
such a backlash are Texas, Massachusetts, California, and New York. Most of the proposals to penalize nonprofits aren't , necessary, Silverman asserts, and a better approach would be to enforce existing laws. States that don't want to lose charitable support, she says, should beware hasty "reforms" that could drive donors away.