Office of Nonprofit Empowerment.

Definitions subsection was reorganized from paragraph (c) to paragraph (h), moving it after the duties and fund sections rather than before them. This is a structural renumbering with no change in meaning.

Multiple drafting artifacts from the amendment process were cleaned up, including redundant phrases like 'establish in state government create' reduced to 'create,' 'ways opportunities' reduced to 'opportunities,' and 'Facilitate Methods to facilitate' reduced to 'Methods to facilitate.'

Standard enrollment language was added: Senate passage date (August 27, 2026), Assembly passage date (August 26, 2026), Secretary of the Senate and Chief Clerk signature lines, Governor receipt line, and approval line.

The Office of Nonprofit Empowerment is now explicitly placed within the Government Operations Agency rather than just 'within the state government,' giving it a defined organizational home.

A new Nonprofit Empowerment Fund is created in the State Treasury. Moneys are available upon legislative appropriation, and the office (or Government Operations Agency on its behalf) may collect gifts, bequests, grants, or donations from private, foundation, or nonstate sources, subject to Department of Finance approval.

A new duty requires the office to conduct research and make policy recommendations on ensuring state procurement and grantmaking support nonprofit organizational capacity, equitable compensation, sustainable workforce practices, regional job quality standards, and workforce retention strategies.

A new consultation requirement mandates that in implementing the workforce-related research duty, the office must regularly consult with labor organizations and other worker representatives to ensure efforts reflect the needs of nonprofit workers and volunteers.

The training duty now requires consultation with the appropriate control agency and specifies that training for state procurement professionals on advance payment provisions subject to the Department of General Services shall be administered by DGS.

Two new items are added to the July 1, 2028 website posting requirements: protocols to ensure state procurement promotes high labor standards and equitable compensation (including guidance on union organizing activity), and methods to facilitate communication during emergencies.

The provision allowing the office to create, update, or publish policies, standards, and procedures in the State Administrative Manual or State Contracting Manual has been removed.

The director's appointment and hiring of staff are now explicitly conditioned upon appropriation by the Legislature, making these actions contingent on funding rather than automatic upon enactment.

The office is now established only 'upon appropriation by the Legislature' rather than being created immediately with an appropriated amount. The specific appropriation section (SEC. 2) was deleted entirely, and the fiscal note changed from 'Appropriation: yes' to 'Appropriation: no.'

The provision declaring the act a budget-related bill that takes effect immediately under Article IV, Section 12(e) of the California Constitution was deleted.

The operative date of July 1, 2026 was removed. The bill no longer specifies when it takes effect; it will take effect upon appropriation by the Legislature.

The deadline for the office to publish its findings on improving nonprofit-state partnerships was extended from March 1, 2027 to July 1, 2028, giving the office roughly 16 additional months.

The requirement that the director 'report to the [blank], or to the [blank]'s designee' was removed. The director now simply serves at the pleasure of the Governor without a specified intermediate reporting line.

The legislative findings previously embedded within Section 12818(a) of the Government Code were moved to Section 1 of the bill, and the code section now begins directly with the establishment language, making the statutory structure cleaner.

A sunset provision was added: Section 12818 remains in effect only until January 1, 2037, at which point it is automatically repealed. This limits the office to roughly a 10-year existence.

The reporting requirement was changed from submitting a report to the Governor and Legislature by March 1, 2027, to posting information on the office's internet website by July 1, 2028. The office must also review and update the website regularly to keep content current. This delays the deadline by about 16 months and shifts from a one-time legislative report to an ongoing public-facing resource.

The definition of 'nonprofit organization' was expanded to include organizations that qualify as exempt under Section 23701d of the Revenue and Taxation Code, in addition to federal 501(c)(3) organizations. This broadens eligibility to cover state-only tax-exempt entities.

Establishment of the Office of Nonprofit Empowerment is now conditioned on 'appropriation of the Legislature,' meaning the office does not come into existence unless and until funds are appropriated. The digest also reflects a change from 'Appropriation: yes' to 'Appropriation: no.'

Senators Richardson and Valladares were added as coauthors, indicating broader Senate support for the bill.

The legislative findings were restructured from a subsection within Section 12818 into a standalone SECTION 1, with the operative provisions moved to SECTION 2. This is a drafting/structural change that does not alter substantive policy.