Small Business and Nonprofit Recovery Fund Act.

Assembly Member Caloza's Small Business and Nonprofit Recovery Fund Act establishes a $100 million grant program to aid California businesses and nonprofits affected by state-declared emergencies. The Office of Small Business Advocate would administer competitive grants ranging from $2,500 to $100,000 for recovery efforts, infrastructure improvements, and business relocation within the state.

The legislation allocates 90% of funds toward direct grants to eligible small businesses and qualified nonprofit organizations, requiring recipients to provide matching funds through insurance claims, recovery loans, or in-kind contributions. The remaining funds support technical assistance, with 5% directed to small business assistance centers serving disaster areas and 5% to the Capital Infusion Program for capital-related guidance. Eligible organizations must maintain good standing with state tax authorities and cannot be foundations, gambling establishments, adult entertainment venues, healthcare facilities, or rental property businesses.

The Office of Small Business Advocate must report to the Legislature within 180 days of each emergency proclamation on grant distribution and outcomes. The program includes specific provisions for retroactive funding of completed recovery work and emphasizes outreach to minority-owned and women-owned businesses. All provisions of the act expire on January 1, 2032, unless renewed by subsequent legislation.