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7/9/2025 Law mandates that nonprofits disclose salaries before getting legislative funding
STATE HOUSE — Legislation introduced by Rep. Patricia A. Serpa and Sen. John Burke that requires nonprofit organizations to disclose their top salaries before receiving grants or funding from the General Assembly has been signed into law

The act (2025-H 6235Aaa, 2025-S 0579A) requires any nonprofit that receives grants or other funding from the General Assembly in excess of $50,000, or that is currently requesting grants or other funding, to provide to the General Assembly certain information relating to employee compensation of the previous year’s five highest-compensated employees of at least $100,000.

“As long as the General Assembly is spending taxpayers’ money on grants and funding for nonprofit organizations, the people have a clear right to know how that money is being spent,” said Representative Serpa (D-Dist. 27, West Warwick, Coventry), who chairs the House Oversight Committee. “The salaries of state employees are public and easy to find online because we believe the people are best served by this sort of financial transparency. As long as state money is going to these organizations, they should share in that transparency.”

Under the terms of the legislation, the disclosure must include a description of the position, the total salary or compensation paid along with all benefits, including health insurance, retirement or pension contributions and any other allowances for items such as automobiles, lodging or communication devices. The name of the individual employee will not need not be disclosed.

“If nonprofits are to receive legislative funding, it should be made clear exactly how that money is being spent,” said Senator Burke (D-Dist. 9, West Warwick). “We have worked hard to improve transparency in all aspects of government, and it’s important that nonprofits share in that transparency. If CEOs are making exorbitant salaries, then lawmakers should be aware of that before funding those agencies.”

For more information, contact:
Daniel Trafford, Publicist
State House Room 20
Providence, RI 02903
(401)222-1922