Nonprofit Reimbursements

Nonprofits have long served their communities by providing services and support that improve the quality of life for all Californians, while also serving as crucial partners to the state in achieving its goals and objectives. During COVID-19, it was largely non-profit organizations that used state and federal funding to operate testing centers and provide vaccine clinics. While we conducted the 2020 Census, community groups across California provided the staff and volunteers to knock on doors and made phone calls. During our wildfire season and our recent bout of winter storms, nonprofit groups have jumped in to help clear debris, feed and shelter those who were evacuated, and assist our first responders. Nonprofit organizations provide public services that makes them essential to the wellbeing of our residents, the environment, and California as a whole.

Despite this, nonprofits are often not fully reimbursed for the costs of their services, forcing them to internally subsidize costs in order to continue providing essential services for Californians. These costs can include technology and equipment, staff, transportation, and more, which are necessary for nonprofits to operate. It is shameful that California does not fully reimburse our incredible non-profits for the work they do on the ground daily to help keep our state functioning.

Senator Tom Umberg has authored SB 336, which will ensure that nonprofit organizations are fairly compensated by the state for the full cost of providing services. To better understand how these issues are affecting California’s nonprofit organizations, and how we can best address these issues, we are encouraging nonprofit organizations to share their experiences of how they have been affected by the current system. If your organization would like to share your experience with us, please fill out the form below.