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Little Hoover Commission adopts report urging faster, fairer payments to nonprofits
Summary
The Little Hoover Commission unanimously moved to adopt a draft report finding state grant payment practices burden nonprofits; staff recommended 25% advance payments and improved indirect-cost reimbursement and emergency amendment processes, and the commission approved the report by roll call.
The Little Hoover Commission voted to adopt a draft report on state contracting with nonprofits after staff presented findings that current payment and administrative systems frequently burden smaller nonprofit partners.
Crystal Beckham, a project manager on the commission staff, summarized the draft findings: state grants commonly use reimbursement payment methods that force nonprofits to front operational costs; only about one-third…
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