(a) The California Small Business and Nonprofit COVID-19 Supplemental Paid Sick Leave Relief Grant Program is hereby created within GO-Biz to be implemented by CalOSBA.

(b) The program shall be under the direct authority of the advocate.

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Terms Used In California Government Code 12100.975

  • Appropriation: The provision of funds, through an annual appropriations act or a permanent law, for federal agencies to make payments out of the Treasury for specified purposes. The formal federal spending process consists of two sequential steps: authorization
  • Chambers: A judge's office.
  • Contract: A legal written agreement that becomes binding when signed.
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Equitable: Pertaining to civil suits in "equity" rather than in "law." In English legal history, the courts of "law" could order the payment of damages and could afford no other remedy. See damages. A separate court of "equity" could order someone to do something or to cease to do something. See, e.g., injunction. In American jurisprudence, the federal courts have both legal and equitable power, but the distinction is still an important one. For example, a trial by jury is normally available in "law" cases but not in "equity" cases. Source: U.S. Courts
  • State: means the State of California, unless applied to the different parts of the United States. See California Government Code 18

(c) The purpose of the program is to assist qualified small businesses and nonprofits, incurring costs for COVID-19 supplemental paid sick leave pursuant to Sections 248.6 and 248.7 of the Labor Code.

(d) CalOSBA or its fiscal agent shall consult with local, regional, state, and federal public and private entities, as applicable, that share a similar mission to support the needs of small businesses and nonprofits in California.

(e) CalOSBA may contract with a fiscal agent, or amend an existing contract with a fiscal agent to meet the requirements of this article, to carry out the programs, at a rate of no more than 5 percent of administrative and programs funds appropriated by the Legislature for the purposes of this article.

(f) CalOSBA shall allocate grants to qualified small businesses and nonprofits that meet the requirements of this article.

(g) Grant moneys awarded under this section shall only be for reimbursement of COVID-19 Supplemental Paid Sick Leave provided between January 1, 2022, and December 31, 2022. Applicants shall provide proof of employee payroll records that verify all COVID-19 Supplemental Paid Sick Leave provided by the applicant pursuant to the requirements of Sections 248.6 and 248.7 of the Labor Code that match the amount of the grant request.

(h) Grants to qualified small businesses or nonprofits shall be no more than the actual costs incurred for supplemental paid sick leave provided between January 1, 2022, and December 31, 2022, with a maximum grant amount per applicant of fifty thousand dollars ($50,000).

(i) The total amount an applicant can request under the program is an amount not to exceed the sum of fifty thousand dollars ($50,000).

(j) If General Fund savings are achieved due to increases in federal funds including, but not limited to, federal funds becoming available to support the California Small Agricultural Business Drought and Flood Relief Grant Program, the Department of Finance shall increase the appropriation to the California Emergency Relief Fund for purposes of this article by up to seventy million dollars ($70,000,000). The Department of Finance may transfer this sum from the General Fund to the California Emergency Relief Fund for this purpose.

(k) Any unused money remaining in the California Emergency Relief Fund, transferred for the purpose of this article, shall be transferred to the General Fund by June 1, 2024.

(l) (1) CalOSBA shall conduct marketing and outreach for equitable awareness and the distribution of grants that includes all of the following:

(A) Engaging multiple partners, including, but not limited to, business and nonprofit associations, chambers of commerce, economic development corporations, and other nonprofit mission-based organizations, and organizations with nonprofit expertise.

(B) Providing access to technical assistance services covering all counties in the state and in multiple languages to reach non-English-speaking individuals in all counties in the state.

(C) Building awareness throughout the state, including in underserved and underbanked communities, by collaborating with multiple community groups to distribute program information, applicant access through multiple branded partner portals, and advertising and social media outreach through owned, paid, and earned media channels.

(2) The fiscal agent shall provide information on how to connect to additional support resources to each applicant whether or not the applicant is selected as a grant recipient.

(m) (1) Applicants may self-identify race, gender, and ethnicity. Within seven business days of the close of each application period, CalOSBA shall post the aggregate data, as available. Within 15 business days of the close of each application period, CalOSBA shall post data by legislative district, as available. Within 45 business days, CalOSBA shall post the actual awarded information, as available. All information shall be posted on the GO-Biz internet website and GO-Biz shall provide an electronic copy of the information to the relevant fiscal and policy committees of the Legislature.

(2) CalOSBA shall report to the Legislature the number of grants and dollar amounts awarded for each of the following categories:

(A) Race and ethnicity.

(B) Women owned.

(C) Veteran owned.

(D) Located in a rural area.

(E) County.

(F) State Senate district.

(G) State Assembly district.

(H) Nonprofits, including by geography.

(n) The fiscal agent shall issue Forms 1099 and otherwise adhere to tax reporting guidelines regardless of whether the grants are excluded from gross income for purposes of the Personal Income Tax Law (Part 10 (commencing with Section 17001)) or the Corporation Tax Law (Part 11 (commencing with Section 23001) of Division 2 of the Revenue and Taxation Code).

(Amended by Stats. 2023, Ch. 45, Sec. 27. (AB 127) Effective July 10, 2023. Repealed as of June 30, 2024, pursuant to Section 12100.985.)