100 Days Without State Cash Hurts

It’s been 100 days since Pennsylvania’s budget was due and at least one more vote is needed before the governor can sign it. As the impasse lurches toward a final bill, the head of the United Way of Pennsylvania says nonprofits across the state are “on life support.” Social service groups across the state have laid-off staff, trimmed hours and closed their doors due to the lack of government funding on which they rely.
Tony Ross, the president of the United Way of Pennsylvania, says many groups took out loans. Ross says when the budget is signed, he wants to see the state help out with interest payments, “For example, I just talked to an agency that has a million dollar line of credit and it’s at six percent. So that’s 60 thousand dollars. And I’ll be quite frank with you—I don’t know of any nonprofit agencies that have 60 thousand, 40 thousand, 30 thousand dollars just laying around.” Ross says childcare operations and groups addressing domestic violence, mental health and homelessness have taken the biggest hit. Governor Rendell has promised to rush funding to these groups as soon as the budget is signed. He says priority cases will see checks within 6 days.