WASHINGTON, D.C. — In an effort to salvage Illinois' finances, the Pritzker Administration is asking nonprofit agencies to report any funding they received from the federal government during the COVID crisis' Paycheck Protection Program, and notifying them they plan to deduct that amount from state subsidies.
The state's five Republican Congress members wrote Governor Pritzker today about the matter.
Representatives Darin LaHood (IL-18), John Shimkus (IL-15), Adam Kinzinger (IL-16), Rodney Davis (IL-13), and Mike Bost (IL-12) sent a letter to Illinois Governor JB Pritzker requesting that the state, Illinois Department of Human Services (IDHS), and Illinois Department of Children and Family Services (IDCFS) clarify recent guidance that asserts that the state may reduce funding for nonprofit human service organizations equivalent to funding they received through the Paycheck Protection Program (PPP).
The Members released the following joint statement:
“Congress did not intend for the funds provided through the Paycheck Protection Program to supplement state budgets by offsetting the cost they pay for services through private nonprofit service providers. The PPP has helped businesses, nonprofits, and workers across Illinois get through this challenging time. The state’s assertion that it may deduct an amount equivalent to any funds nonprofit organizations receive through PPP from what they are paid in their contracts is a clear overreach. Nonprofit service organizations should not be punished at the expense of the state during this difficult time. Governor Pritzker and relevant state agencies must withdraw their request for information about PPP dollars in accordance with Congressional intent.”
You can read the full letter here.
