Bill > AB265

This bill establishes the Small Business and Nonprofit Recovery Fund Act to provide financial support to small businesses and nonprofit organizations impacted by state emergencies. The bill appropriates $100 million from the General Fund to create a recovery fund administered by the Office of Small Business Advocate (OSBA). The fund will allocate 90% of its resources to competitive grants ranging from $2,500 to $100,000 for small businesses and qualified nonprofit organizations directly affected by gubernatorial emergency proclamations. Grant recipients must match the awarded funds and can use the money for recovery and rebuilding efforts, such as infrastructure upgrades, business relocation, and investing in more secure operations. Eligible applicants must be current on state taxes, not in bankruptcy, and still operational. The bill also requires 5% of funds to support small business technical assistance centers and another 5% to the Capital Infusion Program to provide additional support in disaster-affected areas. The Director of OSBA must submit reports to the Legislature detailing grant outcomes, and the program is set to expire on January 1, 2032. The legislation aims to help businesses remain viable and contribute to California's economic stability during and after natural disasters.

Budget and Finance, Education

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260AB265