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HB 5454

AN ACT RELATING TO GENERAL ASSEMBLY -- COMMITTEES AND STAFF

2025 Regular Session Introduced by Mia Ackerman and 9 co-sponsors

Nonprofits seeking state funding must disclose and publish detailed top-compensation and funding-source data to the General Assembly and on their websites.

03/06/2025 Withdrawn at sponsor's request (03/06/2025)
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Bill Summary · HB 5454

Summary — HB 5454 (2025)

Title: AN ACT RELATING TO GENERAL ASSEMBLY -- COMMITTEES AND STAFF

Main purpose

The bill would require nonprofit organizations that request grants or other funding from the Rhode Island General Assembly to disclose detailed compensation and funding-source information to the General Assembly and to publish that information on their own websites. It also adds the new disclosure requirement to the list of activities the General Assembly must fund annually.

Key provisions

  • Adds a new § 22-6-16 to Chapter 22-6 (Committees and Staff):
    • Any nonprofit entity seeking state grants or funding from the General Assembly must both submit to the General Assembly and post on its website a “complete and detailed list” of:
    • The ten (10) highest-paid directors, officers and employees, including salaries, costs, benefits (explicitly including but not limited to health insurance and rental cars), and any and all forms of compensation for those individuals.
    • The disclosure must also identify “any other sources of funding,” specifically including fundraising, endowments, trusts, memorial giving, and any activities that fund the nonprofit.
  • Amends § 22-6-15 to require the General Assembly to annually appropriate a sum necessary to implement §§ 22‑6‑10 — 22‑6‑14 and the new § 22‑6‑16.
  • Effective date: upon passage.

Who would be affected

  • Nonprofit organizations that apply for grants or other funding from the Rhode Island General Assembly — they would be required to compile, submit, and publicly post the specified compensation and funding-source disclosures.
  • The General Assembly and staff — would receive the disclosures and be responsible for oversight/administration (and the legislature must appropriate funds annually to carry out the referenced statutory duties).
  • The public — would gain access to compensation and revenue-source information for nonprofits that seek state funding.

Implementation and gaps

  • The bill mandates disclosure and website posting but does not specify:
    • Enforcement mechanisms, penalties for noncompliance, or whether noncompliance prohibits receiving funding.
    • Definitions or thresholds (e.g., what constitutes a “nonprofit entity” for this requirement, whether religious or small nonprofits are exempt).
    • Timing/frequency of disclosures or any verification/audit process.
  • The appropriation provision requires the legislature to fund administration of these statutes annually.

Legislative status / timeline

  • Sponsors: Representatives Serpa, Ackerman, Fellela, Read, Chippendale, Edwards, O'Brien, Baginski, J. Brien, and Azzinaro.
  • Introduced in the 2025 session (introduced February 12, 2025 per the bill text). Legislative history shows hearings scheduled and multiple referrals.
  • Final listed status: Withdrawn at sponsor's request (03/06/2025).

Potential impacts (summary)

  • Increases transparency about nonprofit compensation and revenue sources for organizations seeking state funds.
  • Could impose administrative burdens on nonprofits to compile and publicly post required information.
  • May raise privacy and competitiveness concerns for nonprofits and their staff if no confidentiality exceptions are provided.
  • Practical effects depend on enforcement, definitions, and any subsequent rulemaking or amendments not included in the bill.

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

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