Nonprofits carrying out critical housing and community programs that had been waiting on $5.3 million in overdue federal funds are now being paid, according to city of Syracuse officials.
The nonprofits were waiting on money available through two 50-year-old United States Department of Housing and Urban Development programs. Typically, nonprofits have been paid for these programs in September. The payments are about four months late.
The city’s commissioner of Neighborhood and Business Development Michael Collins said the payment to nonprofits was historically late.
The delay has forced some nonprofits to take out loans while interest rates are at their highest in about 20 years. That means programs cost more to run than HUD reimburses them.
Revisions to a funding application by the city and technological delays prolonged the nonpayment, according to HUD. Central Current covered the delay two weeks ago.
Money from the HUD programs pay for housing initiatives run through Home HeadQuarters, eviction defense through the Volunteer Lawyers Project, the Greater Syracuse Tenants Network, three different city community centers and workforce training programs, among others.