SACRAMENTO, CA – Today, Assemblymember Gregg Hart (D-Santa Barbara) announced that Assembly Bill 1039 has advanced through the Assembly and moved on to the Senate. The bill addresses a critical equity and access issue by providing nonprofits with the needed start-up funds for essential community services.
"AB 1039 ensures that every nonprofit, no matter its size or resources, has a fair shot at partnering with the State to serve our communities. By guaranteeing advance payments and increasing transparency, we’re removing unnecessary financial barriers and reinforcing our commitment to equity, access, and community impact," states Assemblymember Hart.
As Chair of the Assembly Select Committee on the Nonprofit Sector, Assemblymember Hart has heard firsthand the challenges that smaller, under-resourced nonprofits face in accessing state funding. In 2023, he partnered with the California Association of Nonprofits to author AB 590, which laid the groundwork for allowing advance payments to support these vital organizations. Building on that progress, they are once again working together to pass AB 1039, which will require all new State grants and contracts to offer up to 25% of the funds in advance starting January 1, 2026.
“CalNonprofits is proud to sponsor AB 1039, a crucial next step in making advance pay the standard in California," said Geoff Green, CEO of CalNonprofits. “We’re grateful to Assemblymember Hart for his ongoing leadership in improving state contracting practices and for recognizing the key role nonprofits play as partners to state government. AB 1039 will ensure that nonprofits can hit the ground running and deliver critical programs and services without having to take on additional debt when contracting with the state.”
CONTACT: Terra Grantham, (916) 319-2037