Vermont 2025-2026 Regular Session

Vermont House Bill H0233 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	BILL AS INTRODUCED H.233
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5	5	VT LEG #379274 v.1
6	6	H.233 1
7	7	Introduced by Representatives Nugent of South Burlington, Brown of 2
8	8	Richmond, Carris-Duncan of Whitingham, Cina of Burlington, 3
9	9	Cole of Hartford, Hooper of Burlington, Krasnow of South 4
10	10	Burlington, Lalley of Shelburne, Logan of Burlington, McGill 5
11	11	of Bridport, Minier of South Burlington, Mrowicki of Putney, 6
12	12	Olson of Starksboro, Pouech of Hinesburg, Priestley of 7
13	13	Bradford, Rachelson of Burlington, Torre of Moretown, and 8
14	14	Waszazak of Barre City 9
15	15	Referred to Committee on 10
16	16	Date: 11
17	17	Subject: Executive; grants; funding; prompt execution and payment 12
18	18	Statement of purpose of bill as introduced: This bill proposes to require the 13
19	19	Secretary of Administration to update Administrative Bulletin 5 to include a 14
20	20	process for nonprofits to use an indirect rate higher than the de minimis rate 15
21	21	and to require a State agency issuing a grant to promptly execute the grant and 16
22	22	to promptly pay expenses on the grant submitted by an organization. 17
23	23	An act relating to requirements for State-funded grants 18 BILL AS INTRODUCED H.233
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27	27	VT LEG #379274 v.1
28	28	It is hereby enacted by the General Assembly of the State of Vermont: 1
29	29	Sec. 1. GRANT APPLICATIONS AND AGREEMENT S; INDIRECT 2
30	30	RATES FOR NONPROFITS; BULLETIN 5 3
31	31	On or before July 1, 2025, the Secretary of Administration shall include in 4
32	32	Administrative Bulletin 5, Policy for Grant Issuance and Monitoring, a 5
33	33	uniform formula and approval process for use in all State-funded grants for 6
34	34	nonprofit corporations to use an indirect rate higher than the standard de 7
35	35	minimis rate, pursuant to 2 C.F.R. § 200.332(b)(4). 8
36	36	Sec. 2. PROMPT EXECUTION OF GRANT AGREEMENTS AND 9
37	37	PROMPT PAYMENT OF GRANT FUNDS ; REPORTING; 10
38	38	BULLETIN UPDATE 11
39	39	(a) Execution of grant agreements. 12
40	40	(1) A State agency shall execute a State-funded grant agreement with an 13
41	41	organization not later than 30 days after: 14
42	42	(A) funds are appropriated in the budget to the agency for the 15
43	43	purposes of a grant agreement between the agency and organization; or 16
44	44	(B) notice, either written or verbal, of an award of a State-funded 17
45	45	grant is provided by the granting agency to the organization. 18
46	46	(2) If a granting agency is unable to execute a State-funded grant 19
47	47	agreement pursuant to the terms set forth in subdivision (1) of this subsection, 20 BILL AS INTRODUCED H.233
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51	51	VT LEG #379274 v.1
52	52	the granting agency shall submit in writing an explanation to the Agency of 1
53	53	Administration as to why it was unable to meet its obligation. 2
54	54	(b) Prompt payment. 3
55	55	(1) For all executed State-funded grant agreements, the granting agency 4
56	56	shall pay the grantee within 30 days after receipt of a valid written request for 5
57	57	payment from the grantee. A written request for payment from the grantee is 6
58	58	valid if it meets the requirements in the executed grant agreement between the 7
59	59	granting agency and grantee. 8
60	60	(2) If a granting agency is unable to promptly pay the grantee of a State-9
61	61	funded grant agreement pursuant to the terms set forth in subdivision (1) of this 10
62	62	subsection, the granting agency shall submit in writing an explanation to the 11
63	63	Agency of Administration as to why it was unable to meet its obligation. 12
64	64	(c) Reporting. The Agency of Administration shall: 13
65	65	(1) create an online form on its website where grantees awarded State-14
66	66	funded grants are able to provide notice that a granting agency did not timely: 15
67	67	(A) execute a State-funded grant agreement pursuant to subdivision 16
68	68	(a)(1) of this section; or 17
69	69	(B) pay the grantee upon receiving a valid written request for 18
70	70	payment pursuant to subdivision (b)(1) of this section; and 19 BILL AS INTRODUCED H.233
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75	75	(2) create a publicly accessible database on its website that displays all 1
76	76	nonconfidential information submitted by grantees pursuant to subdivision (1) 2
77	77	of this subsection. 3
78	78	(d) Update bulletin. On or before July 1, 2025, the Secretary of 4
79	79	Administration shall update Administrative Bulletin 5, Policy for Grant 5
80	80	Issuance and Monitoring, with the language provided in this section. 6
81	81	Sec. 3. WORKING GROUP ON STATE GRANT PROCESSES 7
82	82	(a) Creation. There is created the Working Group on State Grant Processes 8
83	83	for the purpose of assessing the State’s current grant awarding procedures. 9
84	84	(b) Membership. The Working Group shall be composed of the following 10
85	85	members: 11
86	86	(1) the Secretary of Administration or designee; 12
87	87	(2) one representative of Common Good Vermont, selected by the 13
88	88	Director of Common Good Vermont; 14
89	89	(3) two representatives, each of different nonprofit organizations, 15
90	90	selected by the Director of Common Good Vermont, who have received a 16
91	91	State-funded grant within 12 months of July 1, 2025; 17
92	92	(4) one member of the Vermont House of Representatives, appointed by 18
93	93	the Speaker of the House; 19
94	94	(5) one member of the Vermont Senate, appointed by the Senate 20
95	95	Committee on Committees; and 21 BILL AS INTRODUCED H.233
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100	100	(6) one representative of the Department of Finance and Management, 1
101	101	appointed by the Governor. 2
102	102	(c) Meetings. 3
103	103	(1) The Secretary of Administration or designee shall call the first 4
104	104	meeting of the Working Group to occur on or before September 1, 2025. 5
105	105	(2) The Working Group shall select a chair from among its members at 6
106	106	the first meeting. 7
107	107	(3) A majority of the membership shall constitute a quorum. 8
108	108	(4) The Working Group shall meet not fewer than eight times. 9
109	109	(5) The Chair may establish subcommittees to perform the work set 10
110	110	forth in this section. 11
111	111	(d) Powers and duties. The Working Group shall: 12
112	112	(1) assess the State’s current grant and contracting funding levels and 13
113	113	determine whether the State should review cost of living or other inflationary 14
114	114	adjustments on a regular basis; 15
115	115	(2) assess, due to delayed reimbursement from granting agencies, how 16
116	116	the need to obtain bridge loans and lines of credit have impacted nonprofits 17
117	117	and their ability to provide services to the State; 18
118	118	(3) assess the grant and contracting processes of the Agency of Human 19
119	119	Services to identify best practices and areas needing improvement; 20 BILL AS INTRODUCED H.233
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124	124	(4) determine how to increase the number of State-funded grants that do 1
125	125	not require reimbursement; 2
126	126	(5) recommend solutions to improve reimbursement practices and 3
127	127	processes of State-funded grants; 4
128	128	(6) identify system improvements that would simplify the State-funded 5
129	129	grant application and reporting processes; 6
130	130	(7) examine ways to ensure consistency between State and federal 7
131	131	indirect rates, including: 8
132	132	(A) reviewing the process for nonprofit organizations to qualify for 9
133	133	an indirect rate above the standard rate; and 10
134	134	(B) honoring federal indirect rates; 11
135	135	(8) analyze the impact of State-funded grants being executed more than 12
136	136	30 days after a notice of award is issued; 13
137	137	(9) analyze the impact of agencies not paying grantees within 30 days 14
138	138	after receiving a written request for payment on a grant; and 15
139	139	(10) consider related issues that arise during the course of the Working 16
140	140	Group’s duties as set forth in this section. 17
141	141	(e) Assistance. The Working Group shall have the administrative and 18
142	142	technical assistance of the Joint Fiscal Office and the administrative, legal, and 19
143	143	technical assistance of the Agency of Administration. 20 BILL AS INTRODUCED H.233
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148	148	(f) Reporting. The Working Group shall submit a written report to the 1
149	149	House Committee on Government Operations and Military Affairs and the 2
150	150	Senate Committee on Government Operations with its recommendations based 3
151	151	on the analysis conducted pursuant to this section on or before September 1, 4
152	152	2026. 5
153	153	(g) Compensation and reimbursement. 6
154	154	(1) For attendance at meetings during adjournment of the General 7
155	155	Assembly, a legislative member of the Working Group serving in the 8
156	156	member’s capacity as a legislator shall be entitled to per diem compensation 9
157	157	and reimbursement of expenses pursuant to 2 V.S.A. § 23 for not more than 10
158	158	eight meetings. 11
159	159	(2) Other members of the Working Group shall be entitled to per diem 12
160	160	compensation and reimbursement of expenses as permitted under 32 V.S.A. 13
161	161	§ 1010 for not more than eight meetings. 14
162	162	(3) Payments to members of the Working Group authorized under this 15
163	163	subsection shall be made from monies appropriated to the General Assembly. 16
164	164	(h) Expiration. The Working Group shall cease to exist on December 31, 17
165	165	2026. 18
166	166	Sec. 4. EFFECTIVE DATE 19
167	167	This act shall take effect on July 1, 2025. 20