SENATE, No. 185

 

STATE OF NEW JERSEY

 

 

PRE-FILED FOR INTRODUCTION IN THE 1996 SESSION

 

 

By Senator RICE

 

 

An Act concerning financial disclosure by certain nonprofit organizations.

 

    Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

    1. As used in this act:

    "Financial disclosure form" means a form disclosing all compensation and benefits provided by a nonprofit organization to its officers, directors, trustees and employees, and which discloses the compensation and benefits individually provided to each officer, director, trustee and to each of the five highest paid employees of the nonprofit organization, other than the officers, directors or trustees.

    "Nonprofit organization" means an organization determined by the federal Internal Revenue Service to be a tax exempt organization pursuant to section 501 (c)(3) or (4) of the Internal Revenue Code of 1986, 26 U.S.C.§501(c) (3) and (4).

 

    2. a. Any nonprofit organization which receives federal, State or municipal funding from or through a county, municipality or State agency shall, at the close of the organization's fiscal year, file a financial disclosure form, or a copy of the most recent Internal Revenue Service Form 990 and Schedule A(990), if the organization filed these forms, with the clerk of the county or municipality, or with the State agency, from which or through which the nonprofit organization received such funding.

    b. In addition to the financial information filed pursuant to subsection a. of this section, a nonprofit organization shall disclose:

    (1) whether any of the officers, directors, trustees or employees of the nonprofit organization are related by blood, marriage or adoption to each other or to any officer, director, trustee or employee who receives compensation from an affiliated, parent or subsidiary nonprofit organization; and

    (2) whether any of the officers, directors, trustees or employees of


the nonprofit organization are officers, directors, trustees or employees of an affiliated, parent or subsidiary nonprofit organization.

 

    3. This act shall take effect immediately.

 

 

 

Requires tax exempt nonprofit organizations to disclose compensation provided to officers, directors, trustees and employees.