CalNonprofits Articles

CalNonprofits has good news to report on two bills we helped navigate through the California legislature this year. Both have been signed by the Governor and now become law. [Note that these are only a few of many bills we've worked on; for more please see our Legislation Tracker.]

AB 1712, the "Unclaimed Property for Nonprofits" bill, was introduced by Assembly Member Jimmy Gomez (D-Los Angeles)
. It will allow parent nonprofit organizations to claim unclaimed property of dissolved affiliate organizations. It will allow for parent nonprofit organizations to claim funds that may have been left with the State Controller’s office from an old sister organization from the same nonprofit.  This bill will allow organizations such as the Girl Scouts to claim leftover funds from groups that they chartered or approved that no longer exist.

AB 2077, the "Charitable organizations enforcement" bill was introduced by Assembly Member Travis Allen (R-Huntington Beach). Senator Allen originally intended to cap how much nonprofits can spend on overhead.  CalNonprofits convinced him to abandon this idea, and instead turn the bill into a mechanism to help the Attorney General use existing funds more flexibly in order to enforce already existing laws to prevent “charity scams.”

Unfortunately, one bill we supported did not make it through the legislature. SB 1207, the "California Voluntary Contribution Program", was introduced by Senator Lois Wolk (D-Fairfield). It would have replaced the current voluntary tax contribution program by which taxpayers can make charitable contributions on their tax return from a "check-box" system to a "write-in" system to be administered by the California Office of Volunteers, allowing more nonprofits to access contributions from the state tax return. But the bill died in the Appropriations committee, because the Franchise Tax Board’s analysis is that it would be too expensive to legislate and administer.

Stay tuned for next year’s legislation. We'll continue to work hard to protect and advance the interests of California nonprofits and advocate for YOU in Sacramento!

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