Letter to DHS Regarding Long-Overdue Payments to Providers

Laura Green Zeilinger
Director
DC Department of Human Services
64 New York Avenue, NE, 6th Floor
Washington, DC 20002

Dear Ms. Zeilinger,

Many nonprofit organizations providing life-changing and lifesaving services to youth experiencing homelessness work on behalf of the District of Columbia, honoring the social contract that a community cares for its members–especially young people. Unfortunately, DC government consistently fails to deliver contracts and purchase orders in a timely manner, resulting in providers rendering services without being compensated. Once again, organizations are facing emergencies and impossible choices because their payments from the Department of Human Services are three months late.   

As you know, FY25 grant awards began October 1, at which time DHS was required to provide signed contracts and purchase orders to organizations. As of January 10, service providers have not been paid for any services rendered since October 1 either because they have not received purchase orders or have not received their contracts at all. As a result, many are exhausting their reserves and will not be able to make payroll on January 15. If they can’t make payroll, they will have to lay off staff or staff will quit. If they have fewer (or no) staff, they cannot provide critical services to District young people. The temperature today is 26 degrees. Lives are at stake.

At the December 17 ICH meeting, I raised the issue of severely delinquent payments. After the meeting, DHS Administrator Rachel Pierre told me she was not aware of the late payments. Soon afterward, we learned that providers received an email from DHS saying they would be paid in January. Providers anticipated payment on January 2, so they would have sufficient funding to continue operating. DHS has not shared any details with providers in January. I reached out to Ms. Pierre in December and January to request a meeting but have not heard back. 

On behalf of DC Action’s Youth Economic Justice Coalition, I am writing to request that DHS do the following:

1. Provide immediate payments to all youth service providers to reimburse them for all expenses incurred from October 1 through December 31.
2. Provide advance payments to any organization that needs immediate funding to ensure operations can continue.
3. Review and improve its contracting and payment process, because this problem occurs every year. Every year, our providers and our young people suffer as a result.
4. Communicate clearly and immediately to providers about the status of payments.

We look forward to hearing from you soon with a timely resolution to this ongoing problem.

Sincerely,

Rachel White