SB 1262 "Nonprofit Integrity Act" Signed by Governor--October 2004

CAM and other California nonprofits actively opposed SB 1262 (Sher) Charitable organizations: fundraiser (a.k.a. “The Nonprofit Integrity Act”), which will impose unnecessary reporting and reorganization requirements from nonprofits. Despite a call to action from the museum field and other efforts, it passed the legislature and was signed by Governor Schwarzenegger on September 30, 2005. Governor Schwarzenegger wrote the following when he signed the Senate bill:

To the Members of the California State Senate:

I am signing Senate Bill 1262 with the understanding that while I support transparency, accountability and curbing unscrupulous activities, I encourage the Legislature to ensure the non-profit community is not subjected to needless bureaucracy thereby potentially hampering the work and contributions made by non-profits who are serving California communities in need.

The non-profit community provides needed education, outreach and assistance to California communities in various ways, including charitable donations. These nonprofits also provide citizens with the ability to get involved and be a part of positively impacting communities throughout our state. Therefore, if this bill results in unnecessary expense to the non-profit community I encourage the Legislature to revisit this issue.

Sincerely,
Arnold Schwarzenegger

There will be future announcements in CAM publications about the requirements of SB 1262, which primarily affects organizations with budgets over $2 million. Please feel free to contact Celeste DeWald, Executive Director, at 831/471-9970 or cam@calmuseums.org if you have any questions or comments.