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SECTION 2. Chapter 2, article 25, section 2-137, of the Hawai`i County Code 1983 <br /> (2016 Edition, as amended) is amended to read as follows: <br /> "Section 2-137. Eligible organizations. <br /> All grant payments made by the County to nonprofit organizations are to be made <br /> in accordance with these standards so that the funded nonprofit programs yield direct <br /> benefits to the public and accomplish public purposes[. No grant to a nonprofit <br /> criteria:] within the County. All nonprofit organizations seeking awards of County grants <br /> shall meet the following eligibility requirements: <br /> by the Internal Revenue Service. <br /> (2) The purposes for which the nonprofit organization is organized provide <br /> benefits to the people of the County. <br /> (3) The service or activity to be provided by the nonprofit organization, and <br /> funded by the County, shall address a t' ' It a tb r+ <br /> th reeds of the roor,yo th, the aged,those with physical or emotional <br /> health and welfare of the people and the environment, as may be determined <br /> by the County.] <br /> [(4)](1) The nonprofit organization has a governing board whose members serve <br /> without compensation and have no material conflict of interest [between their <br /> ]. <br /> [(5)](2) The nonprofit organization has bylaws or policies which describe the <br /> manner in which business is conducted, including management, audit, and <br /> fiscal policies and procedures, policies on prohibiting nepotism, and policies <br /> on management of potential conflict of interest. <br /> [(6)](3) The nonprofit organization has at least one year's experience with the <br /> service or activity for which the appropriation is sought or can otherwise <br /> demonstrate to the satisfaction of the County sufficient expertise to <br /> successfully carry out the service or activity. <br /> [(7)](4) The nonprofit organization must be licensed and accredited in accordance <br /> with applicable requirements of Federal, State,and County laws." <br /> SECTION 3. Chapter 2, article 25, section 2-138, of the Hawai`i County Code 1983 <br /> (2016 Edition, as amended) is amended to read as follows: <br /> "Section 2-138. Conditions for [giant ] grant awards. <br /> (a) The County may only grant an award when the program or service proposed in the <br /> grant application yields direct benefits to the public and accomplishes public <br /> purposes within the County. <br /> (b) Nonprofit organizations to whom [a grant has been] any grant is awarded shall <br /> agree to comply with the following conditions before receiving the grant: <br /> (1) Employ and appoint persons on the basis of merit and ability; <br /> 2 <br />