Connecticut Senate Bill SB00735

Connecticut 2023 Regular Session

• Introduced: 1/18/23
• Refer: 1/18/23

Caption

An Act Concerning Audit Report Submissions By Certain Charitable Organizations.

Impact

If enacted, SB00735 will significantly reduce the regulatory obligations for many charitable volunteer public safety organizations that operate within the specified revenue range. This is intended to allow these organizations to allocate more resources towards their primary missions rather than on compliance with audit requirements. The bill highlights a growing trend in legislative measures to streamline processes for nonprofit organizations, potentially leading to increased contributions to community services as organizations can divert funds from compliance costs to direct public safety initiatives.

Summary

SB00735, also known as 'An Act Concerning Audit Report Submissions By Certain Charitable Organizations', seeks to amend Chapter 419d of the general statutes to exempt charitable volunteer public safety organizations with annual gross revenue between five hundred thousand and one million dollars from the requirement to submit an audit report to the Department of Consumer Protection. This proposed change recognizes the operational realities of smaller volunteer organizations and aims to alleviate their compliance burdens related to financial reporting.

Contention

While the bill aims to ease the financial reporting burden on smaller charitable organizations, it may raise concerns regarding transparency and accountability. Critics might argue that by exempting these organizations from audit requirements, there is a risk of reduced oversight, which could lead to potential financial mismanagement or fraud within organizations that might otherwise be scrutinized. This contention stems from balancing the need for operational efficiency for nonprofit organizations against the necessity of maintaining public trust through accountability measures.