"If we aren't paid, it would create existential problems for our organization, said Greg Klemm, the chief financial officer of Legal Services NYC, which provides tens of thousands of New Yorkers with counsel."
"It's putting us in a bind, he continued. If they do not pay us at all for December or January, we wouldn't be able to meet payroll at the end of January."
"That is a substantial number of people that would not get services, Klemm said. I couldn't imagine the devastating impact it would have on low-income New Yorkers taking legal action against landlords who are not making suff"
Legal Services NYC and other legal nonprofits are owed roughly $20 million and tens of millions overall by the city for free-counsel programs serving low-income and elderly New Yorkers facing eviction, landlord harassment and immigration proceedings. The payment lag forced Legal Services NYC to max out a $15 million line of credit, incur $370,000 in interest this year, and drain reserves. Nearly half of Legal Services NYC’s revenue comes from city contracts. Without payments by next month, nonprofits may be unable to meet payroll, stop providing services to thousands, and trigger a catastrophic ripple through the city’s courts. The interruption would jeopardize eviction defense, citizenship and green card assistance, and representation against deportation.
Read at www.amny.com
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