Relating to compensation for nonprofit organizations that provide services on behalf of the state; and prescribing an effective date.

Sets minimum rate at which specified state agencies may compensate nonprofit organizations for indirect costs related to providing services. ] Establishes Task Force on Modernizing Grant Funding and Contracting. Specifies membership of task force. Requires task force to examine how state's granting and public procurement practices limit wages of employees of nonprofit organizations and make recommendations to Oregon Department of Administrative Services concerning changes to state procurement practices that will support living wages for employees of nonprofit organizations, uniform application procedures for grant moneys, standard contracting language that permits flexibility in contract terms and conditions and multiyear contract terms, sufficient reporting requirements that are commensurate with funding levels and that allow for adequate lead time for changes to reporting required within term of contract, payment models that prioritize full cost recovery and mechanism for ongoing review and evaluation of grantmaking and procurement processes. Takes effect on 91st day following adjournment sine die.