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New York’s mayoral nonprofit office reduced contract backlogs and increased advance payments, speaker says
Summary
A Nonprofit New York representative told California lawmakers the city's mayoral Office of Nonprofit Services cut contract backlogs dramatically, doubled advanced payment standards and instituted chief nonprofit officers — measures offered as models for state reform.
A witness from Nonprofit New York described municipal reforms leaders said reduced contract backlogs and improved nonprofit cash flow and oversight — steps California lawmakers said they might consider at the state level.
Matt Gonzales, vice president of policy and advocacy for Nonprofit New York, said the mayoral office used a centralized contract registration system ('Passport'), chief nonprofit officers in agencies, monthly interagency tracking and multiyear awards to improve timeliness. "This reduced that backlog from 11,000,000,000 to under 3,000,000,000," Gonzalez said when describing the backlog-clearing work in New York City. He also said the city increased advance payment standards from 25% to 50% and cleared billions in delayed payments.
Committee members asked whether speeding procurement and expanding multiyear awards could create opportunities for corruption. Gonzales replied that front-end checks and existing procurement safeguards, plus new transparency measures, are aimed at preserving oversight while reducing delays.
The committee did not vote on legislation modeled on New York's approach in this hearing; Gonzales said he would submit a follow-up memo.
