Based on the Center’s recommendations, the House included a provision in its regulatory reform bill (H.B. 760) to establish a new Government-Nonprofit Contracting Task Force. The 13-member task force would be comprised of state legislators, key executive branch officials, and nonprofit representatives. It would investigate several major problems that nonprofits have experienced with their state grants and contracts, including:
- Late contracts and late payments that make it harder for nonprofits to effectively provide services;
- Redundant and unnecessary reporting requirements; and
- Underpayment of indirect costs to nonprofits.
By January 2017, the task force would make recommendations for immediate, near-term, and long-term changes to laws, regulations, and policies that would cut red tape for nonprofits and enable nonprofits to more efficiently and effectively deliver public services. One of the bill sponsors said in a committee meeting on Monday that this proposal is intended to help North Carolina’s “valuable nonprofits” be stronger co-partners with the state in delivering essential services.