Today, New York City Council Speaker Adrienne Adams, Council Members, and nonprofit service providers rallied in support of reforms to address longstanding nonprofit contract registration and payment delays that currently threaten the delivery of essential services New Yorkers rely on and the stability of nonprofit organizations.

At a press conference, nonprofit service providers spoke about the millions of dollars they are owed by the City, and how continued delays have resulted in layoffs, service reductions, accrual of debt, and even the shutting down of longtime organizations.

“Nonprofit organizations deliver essential services that are critical to the health and safety of all New Yorkers, but they can’t sustain operations or make payroll when city contract payments for their work are delayed,” said Speaker Adams. “Late contract payments by the City are threatening the survival of nonprofit service providers, putting the entire sector, workers, and New Yorkers at risk.”

“The City’s antiquated and inefficient contracting and payment process is threatening to derail the very initiatives the Adams Administration has prioritized,” said Twyla Carter, Attorney-in-Chief and Chief Executive Officer at The Legal Aid Society. “Nonprofits—tasked with delivering critical services like housing support and public benefits assistance —are being forced to operate without payment for work already done.”

“Without immediate and meaningful reform, providers will be unable to carry out this critical work, and it is New Yorkers in need who will suffer the consequences,” she continued. “The Legal Aid Society applauds the City Council for introducing legislation to fix this broken system and for convening today’s hearing to further shine a spotlight on this pressing issue.”