Eliminates statutory authority for state agencies to retain grant amounts for administrative costs.

This bill repeals the statutory authority for state agencies to retain grant amounts for administrative costs. Specifically, it removes the allowance for agencies to keep up to five percent of appropriated grant amounts for administrative costs, and up to ten percent for competitively awarded grants. This change applies to appropriations made for new grant programs enacted on or after July 1, 2023, but does not affect grants funded by proceeds from the sale of state general obligation bonds.

Eliminates statutory authority for state agencies to retain grant amounts for administrative costs.

This bill repeals the statutory authority for state agencies to retain grant amounts for administrative costs. Specifically, it removes the allowance for agencies to keep up to five percent of appropriated grant amounts for administrative costs, and up to ten percent for competitively awarded grants. This change applies to appropriations made for new grant programs enacted on or after July 1, 2023, but does not affect grants funded by proceeds from the sale of state general obligation bonds.