HB-1356 will Invest ARPA Funding in Nonprofits that Serve Those Hit Hardest By COVID-19

DENVER – Today, House Bill 1356, which will help ensure an equitable pandemic recovery for all Coloradans, was approved by Colorado’s Senate with strong bipartisan support on a 31-4 vote. Having passed both chambers, the bill now moves to Gov. Jared Polis’ desk for his signature. 

This bill is sponsored by Representative Edie Hooton (D-Boulder), Representative Leslie Herod (D-Denver), Senator Julie Gonzales (D-Denver), and Senator Bob Rankin (R-Carbondale). HB-1356 is being championed by the Communities Lead, Communities Thrive (CLCT) Coalition, a coalition of Colorado nonprofits serving Black, Indigenous, Latino, Asian American and Pacific Islander, LGBTQ+, rural, and other underrepresented communities.

HB-1356 invests $35 million in American Rescue Plan Act (ARPA) funding into nonprofit organizations that serve traditionally under-resourced communities and rural areas of the state. 

“The impact of the pandemic was devastating for many Coloradans, and existing social inequities only made the impact more severe in historically under-resourced and underserved communities,” said Representative Hooton. “By making this investment in local nonprofits that have helped those hit hardest by the pandemic, we are paving the way for an equitable path to recovery.”

Throughout the pandemic, communities of color reported the largest losses of livelihood, having a harder time paying bills, and increased overall economic instability. Lower-income LGBTQ+ individuals in Colorado reported accessing mental health, medical, and unemployment benefit services to a greater degree during the pandemic than non-LGBTQ+ persons, and LGBTQ+ and BIPOC communities reported accessing financial assistance programs to the highest degree. 

“Small nonprofits that serve historically under-resourced communities have been critical lifelines to help those communities survive the pandemic,” said Representative Herod. “By investing funding in nonprofits that are already doing the work in those communities, we’re helping the most vulnerable Coloradans bounce back along with the rest of our state.

“Nonprofits often serve as the backbone of our communities, offering critical support to folks in need and helping families and individuals stay afloat,” said Senator Gonzales. “Now it’s our turn to support them. This legislation will direct urgently-needed resources to nonprofits across our state that need a hand in recovering from the pandemic, allowing them to keep their doors open and continue providing the critical services Coloradans depend on to thrive.”

“The passage of HB-1356 is a major cause for celebration for Colorado nonprofits that have been working hard with limited means and resources to meet a huge increase in need during the covid-19 crisis,” said Carlos Martinez, President and CEO of the Latino Community Foundation of Colorado and Communities Lead, Communities Thrive coalition steering committee member. “As leaders of Colorado nonprofits that work in traditionally underserved communities, we’ve seen firsthand the devastating and disproportionate impact of the pandemic. Investing resources in nonprofits that uniquely understand how to effectively meet the needs of their communities will have the greatest direct impact so that vulnerable Coloradans don’t slip through the cracks as the rest of the state recovers from the pandemic.”

“With the passage of HB-1356, we are ensuring that nonprofits who have helped their communities through the covid-19 crisis can continue to serve those communities and power our recovery,” said Senator Rankin. “When all Coloradans, no matter who they are or where they live, can bounce back from the pandemic, we build a stronger foundation in our state.”

Federal APRA Funds are required to be appropriated to a state office, and under HB-1356 would be appropriated to the Colorado Department of Local Affairs (DOLA). DOLA would then work with larger nonprofits as ‘Regional Access Partners’ (RAPs) who have grant-making experience. RAPs will then accept applications and distribute funds to eligible small community nonprofit organizations or a collaboration of groups that meet criteria for funding. Nonprofits would be able to use grants from this bill to improve their technology infrastructure, develop strategic plans, provide professional development for staff and communications, and build capacity.