Two comprehensive grants reform bills in New Jersey seek to build on nonprofit successes across the country over the past decade. The first measure (A. 4692 – https://www.njleg.state.nj.us/bill-search/2024/A4692) would require state and local governments to follow the federal OMB Uniform Guidance on indirect cost rates, allow grants to be adjusted for inflation, permit three month extensions when grants documents are processed slowly, reduce redundant reporting requirements, and mandate interest penalties for late payments. The second bill (A. 4695 – https://www.njleg.state.nj.us/bill-search/2024/A4692) would establish a nonprofit ombudsperson, appointed by the Governor in the Department of the Treasury, to advocate on behalf of the sector, communicate and consult with nonprofits, and provide technical assistance. The ombudsperson would have the power to investigate complaints from nonprofits regarding state agencies, assist in resolution of complaints, report concerns and recommendations to the heads of agencies, and develop and share innovative procurement and contracting practices to increase opportunities for nonprofits.
Thanks to The National Council of Nonprofits for keeping us informed about these important efforts.