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Committee hears bill to increase funding and change reporting for associate development organizations
Summary
Senate Bill 5677 would raise per‑ADO funding caps, expand rural allocations and streamline some reporting for large counties; state and local ADO leaders urged support, saying state investment leverages significant local matches and supports rural projects.
Senate Bill 5677, concerning associate development organizations (ADOs), received a public hearing Feb. 13 before the Senate Business, Financial Services and Trade Committee. The bill’s sponsor, Senator June Cortez, described ADOs as the state’s local economic‑development partners and urged the committee to support increased assistance targeted to both rural and urban counties.
Committee staff summarized the bill’s provisions. Under current statute, ADO awards are tied to per‑capita and county allocations that vary between urban and rural counties. Staff said SB 5677 narrows eligible contract purposes to ‘‘direct assistance’’ such as business planning and changes the award schedule: for urban counties the per‑county allocation cap would be raised (staff briefed the committee that the previous $300,000 cap for urban ADOs would be…
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