Bill Text: CA AB2322 | 2023-2024 | Regular Session | Amended
Bill Title: Grant programs: administration.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Engrossed) 2024-05-23 - In Senate. Read first time. To Com. on RLS. for assignment. [AB2322 Detail]
Download: California-2023-AB2322-Amended.html
|
Amended
IN
Assembly
May 20, 2024 |
CALIFORNIA LEGISLATURE—
2023–2024 REGULAR SESSION
Assembly Bill
No. 2322
| Introduced by Assembly Members Hart and Bennett |
February 12, 2024 |
An act to add Chapter 5.7 (commencing with Section 8415) to Division 1 of Title 2 of the Government Code, relating to state government.
LEGISLATIVE COUNSEL'S DIGEST
AB 2322, as amended, Hart.
Grant programs: administration.
Existing law establishes various grant programs. Existing law, the Grant Information Act of 2018, requires the California State Library to create an internet web portal to provide a centralized location for grant seekers to find state grant opportunities and requires the California State Library to report to the Legislature on the effectiveness of the portal, including, among other things, the utilization rate by state agencies.
This bill would impose minimum requirements for the administration of covered grants that meet maximum size and duration requirements and are available to nonprofit organizations, as defined. The bill would require administrators, as defined, to perform specified duties, including, among others, posting eligibility, application, and other information for covered grants on their internet website
and the above-described grant portal created by the California State Library. The bill would impose minimum requirements on the distribution of grant funds, and would impose limitations on specified reporting requirements for covered grant recipients. The bill would prohibit an administrator from requiring a grant recipient to carry insurance coverage limits in excess of the risk associated with the covered grant activity.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOBill Text
The people of the State of California do enact as follows:
SECTION 1.
Chapter 5.7 (commencing with Section 8415) is added to Division 1 of Title 2 of the Government Code, immediately following Chapter 5.6, to read:CHAPTER 5.7. Small Grant Programs
8415.
For purposes of this chapter, the following definitions apply:(a) “Administrator” means a state agency or third-party contractor administering a grant program using state funds.
(b) “Covered grant” means a grant made by a state agency or administrator that meets all of the following requirements:
(1) The grant amount is not greater than twenty thousand dollars ($20,000).
(2) The duration of the grant period is not greater than one year.
(3) Eligible recipients of the grant program include nonprofit
organizations.
(c) “Nonprofit organization” means an organization exempt from federal income taxation pursuant to Section 501(c)(3) of the Internal Revenue Code (26 U.S.C. Sec. 501(c)(3)).
(d) “Third-party contractor” means either a nonprofit or other organization that contracts with a state agency to administer a grant program funded by state funds or a grant recipient if the conditions of the grant require the grant recipient to redistribute a portion of those funds to nonprofit organizations.
8416.
Notwithstanding any other law, this chapter shall control the minimum terms of a covered grant.8417.
An administrator shall promote equity in and facilitate the effectiveness of distribution of grant funds for covered grants by doing(a) An administrator shall post the eligibility requirements and application information of a covered grant on their internet website and the internet website for the California Grants Portal created pursuant to Section 8333.1. The application information shall include a section covering frequently asked questions and shall provide a telephone number by
which applicants can contact the administrator for questions regarding the grant and application.
(b) An administrator shall provide eligible recipients with the ability to complete an application for a covered grant online.
(c)For grant programs totaling two hundred thousand dollars ($200,000) or more, an administrator shall conduct outreach to nonprofit organizations eligible for a covered grant at least 90 days before the application deadline, including outreach to rural, low-income, and disadvantaged communities.
8418.
(a) An administrator shall distribute at least 50 percent of a grant award and may distribute up to 100 percent of a grant award upon execution of a covered grant.(b) An administrator shall not require any of the following:
(1) A recipient of a covered grant to provide receipts for any expense other than nonpayroll expenses paid to a single vendor for 50 percent or more of the grant award.
(2) In any report required by the administrator from the recipient nonprofit related to progress or completion of the award, the total word count of narrative
sections to be more than 600 words.
(3) A grant recipient to carry insurance coverage limits that exceed the risk associated with the covered grant activity.
