With the signature of Governor Kotek on July 31, 2023, Senate Bill 606, the Oregon Nonprofit Modernization Act, was passed into law. The Nonprofit Association of Oregon is grateful to the 179 nonprofit organizations and individuals that helped pass Senate Bill 606. A special thanks to our co-convener, the Northwest Health Foundation, the Campaign Team of organizations that dedicated their time and expertise to guiding the process, and the many of you who wrote letters, provided testimony and supported these efforts. A complete list of the endorsers of the Nonprofit Modernization Act can be found here. A big thank you to all that made their voices heard!

And now the next phase of this work begins… 

Senate Bill 606 creates the Governor’s legislative Task Force for Modernizing Grant Funding and Contracting. The task force will examine how the state’s granting and public procurement practices limit the wages of employees of nonprofit organizations and make recommendations to the Oregon Department of Administrative Services concerning:

• Changes to state procurement practices that will support living wages for employees of nonprofit organizations;  
• Uniform application procedures for grant moneys that apply to each of the following agencies: Department of Human Services; Oregon Health Authority; The Housing and Community Services Department; Department of Education; Department of Early Learning and Care; Oregon Youth Authority; Oregon Department of Emergency Management; Higher Education Coordinating Commission; and Department of Justice.  
• Standard contracting language that permits flexibility in contract terms and conditions and multiyear contract terms;  
• Sufficient reporting requirements that are commensurate with funding levels and that allow for adequate lead time for changes to reporting required within the term of a contract;  
• Payment models that prioritize full cost recovery; and  
• A mechanism for ongoing review and evaluation of grantmaking and procurement processes.  

Applications to serve on the task force closed August 25. Governor Kotek is currently reviewing applicants for the task force and is expected to announce her appointments the second week of September. Nine of the positions will be filled by nonprofit representatives. The task force is expected to convene in October 2023 and anticipated to meet monthly. The task force’s work is to be completed by September 2024.  

Modernizing Grant Funding and Contracting Project

NAO announces the creation of the Modernizing Grant Funding and Contracting Project. This project spans the life of the Task Force and beyond. It will continue to find ways to improve government partnerships with nonprofits even after the Task Force concludes its work.  

The project sets up multiple opportunities for nonprofits to be engaged in this critical work. We are committed to keeping the nonprofit sector apprised of the work of the Task Force. We will dedicate time and expertise to maximizing this important opportunity for our sector.  

Policy Labs to complement the Task Force Modernizing Grant Funding and Contracting. NAO will be convening nonprofit leaders through policy labs, a discussion group around specific grant-making and contracting issue areas. The policy labs will develop recommendations to share with the Task Force on Modernizing Grant Funding and Contracting. The first three policy labs will focus on wages/workforce retention, application procedures, and no-interest government loans for nonprofit operations. The policy labs will be conducted virtually. 

Policy Lab Schedule and Zoom Information

To sign-up for one of these policy labs or all three, please email NAO’s Public Policy Director, Phillip Kennedy-Wong at pkennedy-wong@nonprofitoregon.org.

Together, we are making a difference for the nonprofit sector. Join us. 

Task Force Members

Nonprofit Members: 

• Bettina Schempf, Old Mill Center for Children & Families 
• Tamara Henderson, NAYA
• Katrina Holland, Urban League of Portland
• Marianne Schlies, Saint Vincent de Paul Society of Lane County (SVDP)
• Heather Ficht, East Cascades Works 
• Felicita Monteblanco, NW Health Foundation 
• Dahnesh Medora, United Way Columbia-Willamette
• Mercedes Elizalde, Latino Network  

Foundation Member: 

• Helen Wong, Meyer Memorial Trust  

Legislative Members: 

• State Senator WInsvey Campos, Aloha, District 18 
• State Representative Charlie Conrad, Eastern Lane County, District 12 

Government Members: 

• Dept. of Administrative Services 
• Dept. of Justice 
• Governor’s Office 

Advocacy Toolkit

• Link to bill on the Oregon State Legislature website
• Nonprofit Association of Oregon Contracting Survey Report
• Strengthening State and Local Economies in Partnership with Nonprofits
• Oregon Wage Study Spreadsheet by Capacity Collective