So far, there are eight new bills springing from the collaborative effort of CalNonprofits and the California Nonprofit Contracting Coalition. Taken together, these efforts seek to increase fairness and equity in state contracting as called for in the joint letter that 500+ nonprofit and community leaders sent the Governor and legislative leaders last October. 

 

Democratic and Republican lawmakers in both houses have stepped forward to champion various pieces of the contracting package. Our sincere thanks to Senators Monique Limón and Thomas Umberg, and to Assemblymembers Vince Fong, Gregg Hart, Josh Lowenthal, Luz Rivas, Corey Jackson and Avelino Valencia. 

 

The package of bills addresses a number of issues, each of which is critical to strengthening nonprofits’ ability to assist the state in working to improve the lives of vulnerable members of our communities. Each supports equity in contracting access, sustainability, and takes on racial, economic, and geographic disparities. The ambitious legislative package:

 

• Ensures that contracts compensate nonprofits for the full costs of delivering services, including administrative expenses, fair wages, and other costs

 

• Encourages multi-year contracts and expedited renewals for nonprofits that are meeting performance objectives • Requires the state to pay nonprofits in a timely manner

 

• Provides for up-front payments on contracts to extend access to smaller nonprofits and so others won’t have to tap into reserves or pay interest on loans in order to partner with the state

 

• Allows nonprofits to make adjustments needed to continue performing their contracted duties during emergencies

 

• Modernizes processes by allowing digital signatures, online invoicing and electronic payments • Streamlines the administration of very small grants and contracts for the benefit of both the state and nonprofits

 

• Prioritizes access to contracts and timely funding for nonprofits serving disadvantaged, low-income and under-resourced communities, and/or nonprofits with modest reserves

 

Our colleagues with the California Contracting Coalition are devoting many hours to helping draft bill language, meeting with our legislative authors, and researching details. But moving these bills forward will require a sector-wide effort, and we’ll need each and every one of you to join this important campaign! 

 

We are currently planning for a big public launch of this campaign in mid-March. Please keep watch for coming calls to action.

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