Legislation Passes To Clarify Communication, Reduce Unnecessary Paperwork For Nonprofits
The Kentucky Nonprofit Network worked with legislators to form and ultimately pass two pieces of legislation this General Assembly giving nonprofits clarification and reducing unnecessary paperwork.
KNN Executive Director Danielle Clore says House Bill 440 modernizes and clarifies parts of the law governing Kentucky nonprofits.
“Those laws that govern nonprofits in Kentucky were written in the 1960s,” she said. “So there was really a lot of ambiguity about what was allowable with regard to conference calls and email communication with the board of directors.”
The measure also gives more protection to unincorporated groups like little league sports or people planning high school reunions.
KNN worked with Representatives Addia Wuchner of Florence and Arnold Simpson of Covington on the second piece of legislation that forms a task force whose mission will be reducing unnecessary paperwork for government entities and nonprofits that work together.
“What the national research determined was that a lot of folks who contract with government, nonprofits, had a lot of unnecessary and duplicative reporting and that basically it was costing both government and nonprofits a lot of money we don’t have,” Clore said.
The task force will submit a report with its suggestions, including possible legislation, to the Legislative Research Commission and the governor by October 31st, 2016.
Both pieces of legislation await Gov. Steve Beshear’s signature.