Does Section 504 Apply to Nonprofits?

Section 504 is a federal law that can require your nonprofit to make its website accessible. It applies based on your funding, not your nonprofit status. If your organization receives certain kinds of federal money, Section 504 likely applies to you, regardless of your size or mission.

This article explains how to tell whether Section 504 applies to your nonprofit, how it differs from the ADA and Section 508, and what to do if it does.

Section 504 in 30 seconds

Answer these two questions to get a rough sense of where you stand:

• Does your nonprofit receive a grant, cooperative agreement, or similar funding directly from a federal agency, or passed through your state or local government? If yes, Section 504 likely applies.
• Is your only connection to federal money being paid at market rate under an ordinary contract, or simply holding tax-exempt status? If so, Section 504 probably does not apply on that basis alone.

The sections below cover this in more detail, including edge cases.

What counts as federal financial assistance?

This question determines whether Section 504 applies to you. Here's what usually counts, and what usually doesn't.

Usually counts as federal financial assistance:

• A direct grant from a federal agency.
• A cooperative agreement, which works like a grant but where the federal agency stays actively involved in running the program.
• A subgrant, meaning federal money passed to you through your state or local government.
• Ongoing federal program payments, such as Medicare or Medicaid payments to many health and human services nonprofits.

Usually doesn't count on its own:

• Paying federal taxes.
• Holding 501(c)(3) tax-exempt status.
• Being paid at market rate under an ordinary contract, where the government is simply buying goods or services from you rather than subsidizing your program.

Some funding arrangements are harder to classify than others. If you're not sure whether a specific funding source counts, ask your funding agency or a lawyer rather than guess.

What is Section 504?

Section 504 is part of the Rehabilitation Act. In simple terms, organizations that receive federal financial assistance cannot exclude or discriminate against people with disabilities in the programs and services that funding supports.

For nonprofits, the important question is therefore not your tax status or organization size. It's whether you receive the type of federal funding covered by Section 504.

If your nonprofit is funded by HHS

If HHS funds your nonprofit, whether through a grant, Medicare or Medicaid payments, or another HHS program, its 2024 rule names WCAG 2.1 Level AA as the technical standard for your website, mobile apps, and kiosks.

• 15 or more employees: WCAG 2.1 Level AA by May 11, 2027.
• Fewer than 15 employees: WCAG 2.1 Level AA by May 10, 2028.

These deadlines apply to the technical accessibility requirements. Section 504's broader nondiscrimination requirements already apply.

For the fuller picture, including third-party tools, kiosks, and vendor contracts, see our dedicated article on HHS's Section 504 rule for federally funded healthcare organizations.

What if a different federal agency funds you?

Section 504 isn't an HHS-only law. Every federal agency that provides funding has its own Section 504 regulations, and the basic nondiscrimination rule applies no matter which agency is funding you. What differs is whether that agency has also named a specific technical standard for digital content, the way HHS has.

If another federal agency funds your nonprofit, check that agency's Section 504 rules and your grant terms directly. Don't assume the HHS rule, or its deadlines, applies to you.

What nonprofits can do now?

1. List every federal funding source your nonprofit has, whether direct or passed through a state or local agency, and note which federal department is behind each one.
2. Check whether that agency has named a specific technical standard, the way HHS has. If your grant terms don't make it clear, ask your program officer.
3. If your funding requirements don't name a specific technical standard, WCAG 2.2 Level AA can provide a practical current benchmark for your accessibility work.
4. Start with the pages people actually use to access your funded programs, such as application and registration forms, and program information. Then look at other high-traffic areas, like donation forms, as part of your broader accessibility work.
5. Test using a mix of automated and manual accessibility testing, document what you find, and retest after changes.

How is Section 504 different from the ADA and Section 508?

These three laws often get mentioned together, and a nonprofit can be covered by more than one at once. But each is triggered differently and has its own technical expectations.

Already worked through whether the ADA applies to your nonprofit? It's worth checking Section 504 separately. A single federal grant can bring Section 504 into play even for a nonprofit that falls outside the ADA's Title III coverage, and the reverse is also possible.

Are there exceptions?

Yes. HHS's rule includes exceptions for certain content, such as qualifying archived material, some older documents, certain third-party content, and some individualized password-protected records.

The exceptions have specific conditions, and you may still need to provide an accessible version in some situations. If one of these applies to your nonprofit, see our detailed HHS Section 504 guide rather than assuming the content is automatically exempt.

Conclusion

Section 504 depends on your funding, not your nonprofit status.

If your nonprofit receives federal financial assistance, identify which agency provides it and check whether that agency names a specific accessibility standard. From there, prioritize the website pages, forms, and documents people use to access the funded program.

For a broader starting point, use our nonprofit website accessibility checklist.