Assigned to MAPS & APPROP FOR COMMITTEE ARIZONA STATE SENATE Fifty-Sixth Legislature, First Regular Session FACT SHEET FOR S.B. 1713 nonprofit security grant program fund Purpose Appropriates $5,000,000 from the state General Fund (state GF) to the Arizona State Nonprofit Security Grant Program Fund (Fund) to fund the Arizona State Nonprofit Security Grant Program. Establishes the Arizona State Nonprofit Security Grant Program (Program) to provide funding for safety and security projects to nonprofit organizations that are at high risk of a terrorist attack or hate crimes due to the nonprofit organization's ideology, beliefs or mission. Background The Arizona Department of Homeland Security (AZDHS) must: 1) formulate policies, plans and programs to enhance the ability of Arizona to prevent and respond to acts of terrorism, cybersecurity threats and other critical hazards; 2) adhere to all federal grant terms and conditions; 3) request appropriations or grants of monies for homeland security purposes; 4) receive all awards granted to Arizona by the federal government for homeland security purposes; and 5) distribute monies to local jurisdictions and other organizations eligible under federal regulations based on criteria in the federal grant guidelines (A.R.S. ยง 41-4254). The Federal Nonprofit Security Grant Program provides funding support for target hardening and other physical security enhancements and activities to nonprofit organizations that are at high risk of terrorist attack. The intent is to integrate nonprofit preparedness activities with broader state and local preparedness efforts. It is also designed to promote coordination and collaboration in emergency preparedness activities among public and private community representatives, as well as state and local government agencies (FEMA). S.B.1713 appropriates $5,000,000 from the state GF to the Fund. Provisions 1. Establishes the Program to provide funding for safety and security projects to nonprofit organizations that are at a high-risk of a terrorist attack or hate crimes due to the nonprofit organization's ideology, beliefs or mission for the purposes of target hardening and other security enhancements and activities. 2. Requires activities for target hardening and other safety and security projects to include: a) planning; b) equipment; c) training; and d) security personnel. FACT SHEET S.B. 1713 Page 2 3. Permits activities for target hardening and other safety and security projects to include: a) internal and external facility hardening structures; and b) devices or equipment that mitigates vulnerabilities identified in a vulnerability assessment completed by the nonprofit organization as a self-assessment, or by a vendor with whom the nonprofit organization has contracted. 4. Allows AZDHS to prescribe requirements for a vulnerability assessment and to allow other activities for target hardening and safety and security projects in addition to activities as prescribed. 5. Appropriates $5,000,000 from the state GF in FY 2024 to the Fund, consisting of grants, gifts, donations and legislative appropriations. 6. Requires AZDHS to administer the Program. 7. Requires the Director of AZDHS (Director) to administer the Fund. 8. Requires AZDHS to begin issuing grants from the Fund on January 1, 2024. 9. Caps, at $1,000,000, the amount of monies AZDHS may award from the Fund in any grant year. 10. Caps, at $100,000, the amount of money a nonprofit organization may receive in any grant year. 11. Prohibits AZDHS from using more than five percent of the appropriated monies for administering the fund. 12. Requires AZDHS to give priority to nonprofit organizations that are: a) unable to apply for federal funding due to their size or inability to wait for reimbursement for projects; and b) unable to secure a contractor to conduct a vulnerability assessment. 13. Prohibits grant monies from being used to supplant a nonprofit organization's current expenses for target hardening, safety or security projects. 14. Prohibits a nonprofit organization from using grant monies to purchase equipment for security personnel. 15. Allows grant monies to be used for additional needs beyond the nonprofit organization's current expenses. 16. Requires an applicant for a grant to either: a) have applied for the Federal Nonprofit Security Grant and not received funding for the same year that the applicant is applying for the state grant; or b) have been unable to apply for the Federal Nonprofit Security Grant due to an inability to fund the request up front and wait for reimbursement. 17. Requires an applicant to submit an application on a form prescribed by AZDHS. FACT SHEET S.B. 1713 Page 3 18. Allows AZDHS to accept an application submitted to the federal government for the Federal Nonprofit Security Grant instead of the state application prescribed by the department if the applicant applied for a Federal Nonprofit Security Grant and did not receive funding for the same year the applicant applied for the Arizona grant 19. Requires monies in the Fund to only be spent on grants to applicants who qualify for the Program. 20. Requires the State Treasurer, on notice from the Director, to invest and divest monies in the Fund pursuant to the state management of public monies and requires monies earned from investment to be credited to the Fund. 21. Specifies that interest or other income derived from the Fund may only be used for purposes as prescribed and prohibits income derived from the Fund from being used to supplant other appropriations. 22. Defines equipment as all technology, building, improvements and systems as prescribed. 23. Defines planning as: a) activities that are related to protecting a facility, the people within the facility and those with access to the facility and providing for their functional needs; and b) includes developing and enhancing a nonprofit organization's security plans and protocols, emergency contingency plans, evacuation or shelter-in-place plans and the materials required to conduct planning activities. 24. Defines security personnel as personnel who are contracted with and employed by the nonprofit organization. 25. Defines training as: a) training that addresses a specific threat or vulnerability; and b) includes attendance and travel fees for training the nonprofit organization's staff, members and visitors and training related expenses such as supplies, materials and equipment. 26. Exempts the appropriation of $5,000,000 from lapsing. 27. Specifies that monies in the Fund are continuously appropriated. 28. Becomes effective on the general effective date. Prepared by Senate Research February 13, 2023 ZD/KS/sr