Rhode Island House Bill H6235

Rhode Island 2025 Regular Session

• Introduced: 4/11/25
• Refer: 4/11/25

Caption

Requires nonprofit, as a condition for requesting state funds from the general assembly, to submit & post on their website, a list of10 of their highest paid director, officer & employee salaries & any forms of compensation provided to those individuals.

Impact

The implementation of H6235 aims to increase transparency and accountability within nonprofit organizations that utilize state funds. By requiring nonprofits to disclose their highest salaries and other financial compensations, the bill intends to provide clearer insight into how state money is utilized and to ensure that taxpayer funds are managed responsibly. This level of transparency may also lead to greater public confidence in nonprofits and their funding practices.

Summary

House Bill H6235 mandates that any nonprofit organization seeking state funding from the Rhode Island General Assembly is required to submit and publicly post a detailed list of the ten highest paid directors, officers, and employees. This requirement includes not just salaries but also additional forms of compensation such as benefits, health insurance, and any other compensation provided to those individuals. Furthermore, non-profits must disclose other funding sources including fundraising activities, endowments, and trusts.

Contention

While the bill's proponents argue that it is a necessary step towards financial accountability, there may be concerns from some nonprofit organizations about the burden of compliance and the potential for sensitive salary information to be made public. Critics may argue that such measures could deter qualified individuals from working in the nonprofit sector or dissuade nonprofits from seeking state grants due to fear of negative public scrutiny regarding their compensation structures. Thus, while H6235 seeks to promote transparency, it may also face pushback from nonprofits wary of the implications of such disclosures.