Senate passes bipartisan legislation to protect taxpayer funds
Legislation aimed at protecting the integrity of the non-profit grant process has passed the Senate.
Senate Bill 2540 makes a multitude of changes to the current grant process. The most significant changes involve new restrictions on fund transfers, including a prohibition on transfers of money from appropriated funds to non-appropriated funds. This restricts Governors from transferring money into other state funds to be used for purposes other than what the Legislature intended, and without legislative oversight.
In addition, the bill creates a mechanism to allow the Comptroller to stop payments in cases where there are serious issues or concerns about a particular grant program or recipient.
The legislation also creates a blackout period before elections during which members of the General Assembly and/or state constitutional officers would not be allowed to make announcements of grants. The goal of this change is stop the elected officials from attempting to create grant programs to help boost their political exposure or benefit their campaign.
Senate Bill 2540 is now headed to the House for consideration in that chamber.