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Bill

Bill

HB 6235

AN ACT RELATING TO GENERAL ASSEMBLY -- COMMITTEES AND STAFF

2025 Regular Session Introduced by Pat Serpa

Requires any nonprofit receiving over $50,000 in General Assembly funding to report within 90 days the top 5 compensation packages (≥$100k) and benefits, with names optional.

06/13/2025 Signed by Governor
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Bill Summary · HB 6235

Summary — HB 6235: "An Act Relating to General Assembly — Committees and Staff"

Status: Signed by Governor (effective upon passage, 06/13/2025)
Chapter amended: R.I. Gen. Laws Chapter 22-6 — new section 22-6-16 (Nonprofit funding transparency)

Main purpose

Require increased compensation transparency from nonprofit entities that receive significant state funding from the General Assembly so the legislature can review high-level employee compensation and benefit packages paid by those organizations.

Key provisions

  • New section 22-6-16 creates a nonprofit funding transparency requirement.
  • Coverage threshold: any nonprofit that receives grants or other funding in excess of $50,000 from the General Assembly (directly or via the state budget) in any fiscal year.
  • Timing: the nonprofit must provide the required compensation information to the General Assembly within 90 days of receipt of the grant or appropriation.
  • Required disclosure:
    • The total benefit package paid to the five (5) highest‑compensated employees who had reportable compensation of at least $100,000 from the organization during the previous fiscal year.
    • For each of those positions, a description of the position, total salary/compensation and all benefits provided, including but not limited to health insurance, retirement or pension contributions, and other allowances (e.g., automobile, lodging, communication devices).
    • The statute expressly allows withholding the individual employee names — only position and compensation/benefit detail are required.
  • Effective date: the act takes effect upon passage.

Who is affected

  • Primary: nonprofit organizations that receive > $50,000 in fiscal-year funding from the General Assembly (direct grants or appropriations).
  • Secondary: the General Assembly (receives and can review the disclosures) and agencies or staff responsible for administering grants and tracking compliance.
  • Notably, disclosure targets positions with reportable compensation ≥ $100,000 and only the top five positions meeting that threshold.

Procedural / compliance notes

  • Disclosure is required within 90 days after receipt of the covered funding.
  • The statutory text specifies the reporting obligation but does not, within the added section, set out penalties or enforcement mechanisms for noncompliance (the act’s explanatory note frames the requirement as a condition for requesting state funds).
  • The law was enacted by adding section 22-6-16 to chapter 22-6; it became effective immediately upon the governor’s signature.

Potential impacts (practical effects)

  • Increases legislative visibility into how state-funded nonprofits allocate compensation and benefits among senior staff.
  • Imposes an administrative reporting requirement on covered nonprofits; may require payroll/benefits reconciliation to produce the requested summary.
  • Protects employee privacy to the extent that individual names are not required to be disclosed.

If you want, I can draft a short compliance checklist a nonprofit could use to meet the 90‑day reporting requirement.

Compiled from official sources — confirm details with the bill’s official record.

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