Monday, October 11, 2010
Across the country human services nonprofits have had to cut services and freeze salaries, in part because payments due from local, state and federal governments arrive late or not at all. The Chicago Tribune reports that a report released by the Urban Institute shows that nonprofits in Illinois are the hardest hit in the country. In 2009 41% of human services nonprofits reported receiving payments late, but in Illinois that number is 72%. Illinois state government appears to be the culprit, delaying payments to nonprofits due to fiscal crises in state government. The nonprofits face growing needs with shrinking budgets. A spokesperson for the governor says that the governor is committed to making good on payments due the nonprofits, but currently the state is $5 billion behind in payments.