Your guide to NYC's public proceedings.

New York City Council

Committee on Contracts

Mar 24, 2025

·

01:00 PM

2 hr 26 min

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Summary

A hearing on the FY 2026 preliminary budget for the Mayor's Office of Contract Services (MOCS), focusing on contracting processes, payment delays to nonprofits, and procurement system improvements.

Discussions centered on MOCS' efforts to streamline procedures, implement new technology, and increase transparency, alongside persistent challenges faced by nonprofit providers in contract registration and timely payments.

The hearing also covered staffing shortages, challenges with the new Passport e-procurement system, and concerns about leadership continuity following the announced departure of MOCS Director Lisa Flores.

Features testimony from the Mayor's Office of Contract Services (MOCS) and the public, including various nonprofit organizations.

Meeting chapters

Read summaries and watch videos for short segments that matter to you.

REMARKS

Council Member Julie Won's opening remarks for MOCS budget hearing

Council Member Julie Won opens the fiscal year 2026 preliminary budget hearing for the Mayor's Office of Contract Services (MOCS). She outlines MOCS' budget, responsibilities, and key issues to be …

0:00:27

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177 sec

AGENCY TESTIMONY

Introduction and MOCS vision for equitable procurement

Lisa Flores, Director of the Mayor's Office of Contract Services (MOCS), introduces the fiscal year 2026 preliminary budget hearing. She outlines MOCS' vision for creating an equitable procurement system through …

0:04:01

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73 sec

AGENCY TESTIMONY

Procurement statistics and the significance of human services spending

Lisa Flores presents key procurement statistics for New York City, highlighting the significant role of human services contracts in the city's overall spending. She emphasizes the growth in human services …

0:05:14

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43 sec

AGENCY TESTIMONY

Challenges faced by nonprofit service providers and MOCS' understanding

Lisa Flores acknowledges the critical role of nonprofit organizations in delivering essential services to New Yorkers and addresses the persistent challenges they face, particularly regarding timely payments. She expresses empathy …

0:05:58

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56 sec

AGENCY TESTIMONY

Reforms and initiatives to support nonprofits and improve contracting processes

Lisa Flores outlines a series of reforms and initiatives implemented by Mayor Eric Adams' administration to streamline processes and support the nonprofit sector. These efforts aim to address payment delays, …

0:06:54

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141 sec

AGENCY TESTIMONY

Commitment to honoring and supporting the nonprofit sector

Lisa Flores emphasizes the administration's deep commitment to supporting the nonprofit sector beyond just systemic changes. She acknowledges the invaluable contributions of nonprofits and pledges to ensure they have the …

0:09:15

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61 sec

AGENCY TESTIMONY

Progress in implementing reforms and improving contract management

Lisa Flores details the progress made in implementing various reforms and initiatives aimed at improving contract management and payment processes for nonprofits. She highlights specific achievements and ongoing efforts to …

0:10:16

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127 sec

AGENCY TESTIMONY

Enhancements to Passport e-procurement system and decommissioning of HHS Accelerator

Lisa Flores outlines the significant improvements made to the Passport e-procurement system and the process of decommissioning the legacy HHS Accelerator system. She highlights the challenges and benefits of this …

0:12:24

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179 sec

AGENCY TESTIMONY

Record-breaking MWBE contract awards and utilization rates

Lisa Flores reports on the significant progress made in awarding contracts to Minority and Women-owned Business Enterprises (MWBEs). She highlights record-breaking achievements in contract awards and utilization rates, demonstrating the …

0:15:23

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102 sec

AGENCY TESTIMONY

MOCS Institute and training initiatives to support procurement stakeholders

Lisa Flores describes the extensive training and engagement efforts undertaken by MOCS to support both agency staff and vendors in navigating the procurement process. She highlights the MOCS Institute's role …

0:17:06

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53 sec

AGENCY TESTIMONY

MOCS budget overview for FY 2025 and staffing details

Lisa Flores provides an overview of the Mayor's Office of Contract Services (MOCS) budget for Fiscal Year 2025, including allocations for personnel services, other than personal services (OTPS), and key …

0:18:00

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34 sec

AGENCY TESTIMONY

Closing remarks, future outlook, and acknowledgment of ongoing work

Lisa Flores concludes her testimony with reflections on MOCS' achievements, ongoing challenges, and future outlook. She acknowledges the significance of this final budget hearing as she prepares for transition and …

0:18:34

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34 sec

REMARKS

Council Member Julie Won acknowledges Lisa Flores' service and introduces the hearing

Council Member Julie Won opens the hearing by thanking Lisa Flores for her service in city government, from her time at the controller's office to her leadership at the Mayor's …

0:19:12

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25 sec

Q&A

Discussion on MOCS headcount and budget needs for timely contract processing

Council Member Julie Won inquires about the appropriate headcount and budget for MOCS to ensure timely payments to providers. Lisa Flores responds, acknowledging the administration's focus on improving relationships with …

0:19:38

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84 sec

Q&A

Inquiry about MOCS requests for new needs to OMB

Council Member Julie Won asks about any requests for new needs that MOCS has made to the Office of Management and Budget (OMB) that were not included in the preliminary …

0:21:08

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45 sec

Q&A

Discussion on specific headcount and capital needs for MOCS

Council Member Julie Won inquires about specific headcount or capital needs for MOCS, particularly for maintaining the Passport system. Lisa Flores responds that there are no current capital requests and …

0:21:54

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51 sec

Q&A

Inquiry about MOCS vacant positions and hiring process

Council Member Julie Won asks about MOCS' current vacant positions and the hiring process, including whether they are subject to the two-to-one hiring rule and need OMB approval for filling …

0:22:47

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47 sec

Q&A

Discussion on MOCS hires and vacancies over the past three years

Council Member Julie Won inquires about the number of hires MOCS has made in the last three years and the current number of vacancies. Helga Nyanffor, the Chief Financial Officer, …

0:23:36

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48 sec

Q&A

Clarification on two-to-one hiring rule and OMB approval for MOCS vacancies

Council Member Julie Won seeks clarification on whether MOCS is still subject to the two-to-one hiring rule and if they need OMB approval to fill vacant positions. Lisa Flores provides …

0:24:24

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30 sec

Q&A

Inquiry about average number of contracts handled by MOCS staff

Council Member Julie Won asks about the average number of contracts handled by each MOCS staff member. Lisa Flores requests clarification on the specific information sought, as different teams within …

0:24:54

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69 sec

Q&A

Clarification on MOCS' role in contract processing and payments

Lisa Flores explains MOCS' role in contract processing and payments, emphasizing that MOCS is not directly involved in reviewing or approving invoices. Council Member Julie Won seeks clarification on staffing …

0:26:04

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79 sec

Q&A

Discussion on transition to Passport system and its impact on contract processing

Lisa Flores explains the transition to the Passport system and its impact on contract processing. She highlights that all portfolios (construction, non-construction, and human services) are now in one end-to-end …

0:27:24

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119 sec

Q&A

Inquiry about MOCS attrition rate and turnover in specific areas

Council Member Julie Won inquires about MOCS' current attrition rate and whether specific positions or areas have higher turnover. Helga Nyanffor, the Chief Financial Officer, provides details on the attrition …

0:29:31

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42 sec

Q&A

Discussion on competitiveness of salary levels, especially in IT

Council Member Julie Won inquires about the competitiveness of salary levels at MOCS, particularly for IT positions. Lisa Flores responds by discussing the challenges in hiring and retaining IT staff, …

0:30:15

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83 sec

Q&A

MOCS challenges and focus on technology stabilization

Council Member Julie Won inquires about MOCS's biggest challenges for the coming year and how they plan to overcome them. Director Lisa Flores responds by emphasizing the focus on technology …

0:31:42

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137 sec

Q&A

Passport system costs and maintenance contractors

Council Member Julie Won inquires about the annual costs of the Passport system and the contractors involved in its maintenance. MOCS representatives provide details on the system's expenses and the …

0:34:02

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104 sec

Q&A

Current status and future plans for Passport system updates

Council Member Julie Won inquires about the completion status of Passport updates and future plans. Director Lisa Flores provides context on the system's evolution and current focus. - The original …

0:35:46

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96 sec

Q&A

Passport quality assurance, funding, and system improvements

Council Member Julie Won inquires about quality assurance, funding, and improvements for the Passport system. Director Lisa Flores discusses ongoing efforts to enhance the system and recent changes made. - …

0:37:23

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3 min

Q&A

Passport Vault implementation and impact on contract processing

Council Member Julie Won inquires about the effect of Passport Vault on contract processing and user feedback. Director Lisa Flores explains the functionality and implementation of Passport Vault. - Passport …

0:41:24

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3 min

Q&A

ContractStat status and access concerns

Council Member Julie Won inquires about the current status of ContractStat and concerns about access to the system. Director Lisa Flores provides an update on ContractStat's implementation and future plans. …

0:45:15

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107 sec

Q&A

Improvements in contracting processes and payment timelines for nonprofits

Council Member Bottcher inquires about when nonprofits in his district can expect to see improvements in contracting processes and payment timelines. Director Flores acknowledges the ongoing challenges but expresses optimism …

0:47:11

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3 min

Q&A

Potential implementation of AI in procurement processes

Council Member Bottcher inquires about the potential use of AI in procurement processes to improve efficiency. Director Flores discusses the administration's approach to AI implementation and the current focus on …

0:50:20

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151 sec

Q&A

Council Member Brewer inquires about interest payments burdening nonprofits

Council Member Brewer raises concerns about the significant interest payments nonprofits are facing due to delayed city payments, citing an example of an organization paying $20,000 a month in interest. …

0:52:58

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88 sec

Q&A

Director Flores outlines efforts to streamline payment processes

Director Flores responds to Council Member Brewer's concerns by detailing efforts to streamline payment processes and reduce delays. She highlights the expansion of the returnable grant program (RGF) and new …

0:54:26

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104 sec

Q&A

Director Flores explains improved visibility through Passport system

Director Flores highlights the improved visibility into the invoicing process provided by the Passport system, enabling better oversight and process improvements. - The entire invoicing process is now visible through …

0:56:10

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26 sec

Q&A

Council Member Brewer raises concerns about large agencies' cash flow issues

Council Member Brewer expresses serious concerns about large agencies facing significant cash flow problems due to delayed payments from the city. Director Flores acknowledges the issue and outlines efforts to …

0:56:36

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3 min

Q&A

Discussion on collaboration with Fund for the City of New York for bridge loans

Council Member Brewer inquires about MOCS's collaboration with the Fund for the City of New York regarding bridge loans for nonprofits. Director Flores confirms their partnership and ongoing efforts to …

1:00:00

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67 sec

Q&A

Council Member Brewer addresses challenges with specific city agencies in payment processing

Council Member Brewer raises concerns about specific city agencies that are particularly problematic in terms of payment delays and processing. She emphasizes the urgent need for improvements while acknowledging MOCS's …

1:01:06

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32 sec

REMARKS

Council member expresses frustration with contracting system and calls for reform

Council Member Althea V. Stevens expresses her frustration with the ongoing issues in the city's contracting system, despite MOCS Director Lisa Flores' efforts. She emphasizes the need for substantial reform …

1:01:54

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69 sec

Q&A

Discussion on discretionary funding and multi-year contracting reform

Council Member Stevens questions the effectiveness of multi-year discretionary contracting reform, citing providers who haven't received funding for years. Director Flores explains the implementation timeline and expected benefits of the …

1:03:03

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144 sec

Q&A

Request for data on improvements in discretionary contract processing

Council Member Stevens requests specific data on improvements in discretionary contract processing, expressing skepticism about the reported benefits. Director Flores discusses the data tracking process and expected future improvements. - …

1:05:28

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115 sec

REMARKS

Council member criticizes slow progress and calls for systemic changes

Council Member Stevens expresses frustration with the slow pace of improvements in the contracting system, emphasizing the unfairness of delayed payments to service providers. She calls for more substantial reforms …

1:07:22

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77 sec

REMARKS

MOCS director addresses standardization efforts across agencies

MOCS Director Lisa Flores responds to Council Member Stevens' concerns by explaining ongoing efforts to standardize processes across city agencies. She highlights the creation of a payment task force within …

1:08:40

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45 sec

Q&A

Passport system adoption by DOE and H+H

Council Member Julie Won inquires about the adoption of the Passport system by the Department of Education (DOE) and Health + Hospitals (H+H). Lisa Flores explains that while Passport is …

1:09:26

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52 sec

Q&A

Potential charter revision to require DOE participation in Passport

Council Member Julie Won inquires about the possibility of using charter revision to require New York City public schools to participate in the Passport system. Lisa Flores declines to give …

1:10:19

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30 sec

Q&A

Implementation of Executive Order for Chief Nonprofit Officers (CNOs)

Council Member Julie Won inquires about the implementation of the Executive Order requiring city agencies to designate Chief Nonprofit Officers (CNOs). Lisa Flores explains the purpose and current status of …

1:10:48

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96 sec

Q&A

Public availability of CNO positions and names

Council Member Julie Won inquires about the public availability of Chief Nonprofit Officer (CNO) positions and names. Lisa Flores initially states she needs to confirm this information but later confirms …

1:12:28

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65 sec

Q&A

Collaboration between MOCS and MONS

Lisa Flores explains the close collaboration between the Mayor's Office of Contract Services (MOCS) and the Mayor's Office of Nonprofit Services (MONS) in response to Council Member Julie Won's question …

1:13:34

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64 sec

Q&A

Steps to improve collaboration and timely provider payments

Council Member Julie Won inquires about steps being taken to improve collaboration and ensure timely payments to providers following the new mayoral executive order. Lisa Flores highlights the improvements in …

1:14:39

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93 sec

Q&A

Passport system help desk challenges and backlog

Lisa Flores addresses Council Member Julie Won's questions about the challenges and backlog faced by the Passport system help desk. She explains the current situation and reasons for the delays …

1:16:13

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142 sec

Q&A

Staffing for Passport help desk

Council Member Julie Won inquires about the staffing situation for the Passport help desk. Lisa Flores provides details on the current staffing levels, vacancies, and the process of addressing tickets. …

1:18:35

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136 sec

Q&A

Analysis of help desk tickets and improvements to self-service

Lisa Flores explains the processes for analyzing help desk tickets and improving self-service options for the Passport system. She outlines several strategies and upcoming changes to address user issues more …

1:20:51

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107 sec

Q&A

MOCS fiscal year 2026 preliminary OTPS budget comparison

Council Member Julie Won inquires about the difference between the MOCS fiscal year 2026 preliminary OTPS budget and the fiscal year 2025 adopted budget. Lisa Flores and Helga Nyanffor explain …

1:22:38

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74 sec

Q&A

Underspending forecast and vacancy-related budget implications

Council Member Julie Won inquires about potential underspending in the current fiscal year, particularly in relation to vacancies. Key points discussed: - MOCS officials initially state there is no underspending …

1:23:53

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35 sec

Q&A

MOCS vacancy filling efforts and challenges

Council Member Julie Won inquires about MOCS' ability to fill vacancies over the last three fiscal years. Key points discussed: - MOCS, like other agencies, has not achieved 100% staffing …

1:24:29

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70 sec

Q&A

Inquiry about Passport system help desk staffing

Council Member Julie Won asks about the specific job title for personnel working on the help desk for Passport assistance. MOCS response: - MOCS officials do not have the information …

1:25:40

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16 sec

Q&A

Challenges and improvements in council discretionary contracts

Council Member Julie Won inquires about challenges and improvements related to council discretionary contracts. Key points discussed: - Progress on multi-year contracts for city council's discretionary funding - 1,226 multi-year …

1:25:57

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146 sec

Q&A

Average time and improvements in council discretionary contract registration

Council Member Julie Won inquires about the average time for council discretionary contract registration and related improvements. Key points discussed: - The council finance team believes the average registration time …

1:28:33

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94 sec

Q&A

Standardized prepayment amounts for council discretionary contracts

Council Member Julie Won inquires about standardized prepayment amounts for council discretionary contracts. Lisa Flores explains current practices and potential improvements: - MOCS has issued a directive encouraging agencies to …

1:30:07

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101 sec

Q&A

Payment monitoring task force staffing and progress

Council Member Julie Won inquires about the payment monitoring task force staffing and progress. Key points discussed: - The November plan included $425,000 to support five positions in fiscal year …

1:31:51

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117 sec

Q&A

Passport Release 6 vendor and agency user training initiatives

Council Member Julie Won inquires about the Passport Release 6 vendor and agency user training initiatives. Key points discussed: - The November plan included additional funding for training: $125,000 in …

1:33:48

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124 sec

Q&A

Budget allocation for retaining 10 existing staff positions

Council Member Julie Won inquires about the budget allocation for retaining 10 existing staff positions. Key points discussed: - The adopted plan for the current fiscal year included an additional …

1:35:53

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51 sec

Q&A

Overview of COLA implementation and progress

Council Member Julie Won inquires about the implementation of Cost of Living Adjustments (COLA) for city contracts. Director Lisa Flores explains the process and initial progress. - Over $740 million …

1:36:45

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94 sec

Q&A

Details of COLA attestation process and contract amendments

Council Member Julie Won seeks clarification on the COLA attestation process and contract amendments. Director Lisa Flores explains the use of the allowance clause and initial steps taken to facilitate …

1:38:21

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56 sec

Q&A

Outreach efforts and timeline for COLA processing

Council Member Julie Won inquires about outreach efforts for remaining attestations and the timeline for processing COLA adjustments. Director Lisa Flores explains the ongoing process and the use of the …

1:39:18

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75 sec

Q&A

Indirect Cost Rate initiative and backlog clearance efforts

Council Member Julie Won inquires about the plan to clear the backlog for the Indirect Cost Rate (ICR) initiative. Director Lisa Flores outlines the administration's commitment to the ICR process …

1:40:34

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63 sec

REMARKS

Concluding remarks and appreciation for Director Flores

Council Member Julie Won concludes the session with appreciation for Director Lisa Flores' service. Both express gratitude for their partnership. - Julie Won acknowledges there will be follow-up items - …

1:41:39

·

16 sec

PUBLIC TESTIMONY

Testimony by Lauren Siciliano, Chief Operating Officer of Legal Aid Society

Lauren Siciliano, COO of Legal Aid Society, testifies about the challenges faced by nonprofit legal service providers due to chronic underfunding and contract payment delays from the city. She highlights …

1:43:53

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139 sec

PUBLIC TESTIMONY

Testimony by Lisa Rivera, President and CEO of New York Legal Assistance Group

Lisa Rivera, President and CEO of New York Legal Assistance Group, testified about ongoing challenges faced by legal service providers regarding timely payments from the city. She highlighted persistent issues …

1:46:14

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165 sec

PUBLIC TESTIMONY

Testimony by Greg Klemm, Chief Financial Officer of Legal Services NYC

Greg Klemm, CFO of Legal Services NYC, testified about the challenges faced by nonprofits in the city's contracting and reimbursement process. He highlighted issues with changing invoice requirements, delays in …

1:49:02

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135 sec

PUBLIC TESTIMONY

Testimony by Keriann Pauls, Interim Executive Director of TakeRoot Justice

Keriann Pauls, Interim Executive Director of TakeRoot Justice, testified about the urgent need to eliminate delays in the city's contracting and payments to nonprofits. She highlighted the financial strain on …

1:51:21

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147 sec

PUBLIC TESTIMONY

Testimony by Sophie Zhang, Family Employment Awareness Training Project Manager at Chinese American Planning Council

Sophie Zhang from the Chinese American Planning Council testified about the importance of city contracts and funding for providing essential services to the community. She highlighted the need for swift …

1:55:07

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141 sec

PUBLIC TESTIMONY

Testimony by Eric Lee, Director of Public Policy at Volunteers of America, Greater New York

Eric Lee from Volunteers of America, Greater New York (VOA GNY) testified about severe financial challenges faced by his organization due to delayed payments from the city for contracted services. …

1:57:30

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3 min

PUBLIC TESTIMONY

Testimony by Gloria Kim, Director of Policy Research and Impact at Human Services Council

Gloria Kim from the Human Services Council testifies about the challenges faced by nonprofit service providers due to delayed payments and contracting issues with the city. She emphasizes the critical …

2:00:38

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135 sec

PUBLIC TESTIMONY

Testimony by Tara Klein, Deputy Director of Policy and Advocacy at United Neighborhood Houses

Tara Klein from United Neighborhood Houses testified about the urgent need to address contracting delays and late payments for nonprofit service providers. She emphasized the severe financial strain on nonprofits …

2:02:58

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171 sec

REMARKS

Announcement of upcoming hearing on nonprofit payment delays

Council Member Julie Won announces an upcoming hearing on nonprofit payment delays scheduled for April 30. She emphasizes the importance of having a rally and showing up to put pressure …

2:05:48

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19 sec

REMARKS

Frustration with MOCS Director's resignation and funding challenges

Council Member Julie Won expresses frustration with the resignation of MOCS Director Flores and the ongoing challenges in securing funding for the agency. - Won describes difficulty in getting MOCS …

2:06:09

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42 sec

Q&A

Discussion on specific funding needs for MOCS

Council Member Julie Won engages in a brief Q&A with Gloria Kim from the Human Services Council about specific funding needs for MOCS. - Kim recommends funding staff lines to …

2:06:52

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37 sec

REMARKS

Plans for addressing contract payment delays

Council Member Julie Won outlines upcoming plans and actions to address contract payment delays and related issues. - Multiple bills will be heard next month to help with contract payment …

2:07:30

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61 sec

PUBLIC TESTIMONY

Testimony by Jackie Del Valle, Representative from Take Root Justice and Stabilizing NYC Coalition

Jackie Del Valle from Take Root Justice and the Stabilizing NYC Coalition testified about severe delays in contract registration and payment for nonprofit organizations, particularly those funded through the Stabilizing …

2:09:20

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138 sec

PUBLIC TESTIMONY

Testimony by Galloway, Advocacy Manager at Ali Forney Center, on NYC's Broken Contracts and Reimbursement System

Galloway, Advocacy Manager at Ali Forney Center, testifies about the severe financial strain placed on nonprofits due to NYC's broken contracts and reimbursement system. The testimony highlights the urgent need …

2:11:44

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92 sec

PUBLIC TESTIMONY

Testimony by Julian Morales, Organizing and Advocacy Manager at Fifth Avenue Committee

Julian Morales from Fifth Avenue Committee (FAC) testifies about the impact of city contract delays on nonprofit organizations, highlighting that FAC and its affiliates are owed over a million dollars …

2:13:20

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133 sec

PUBLIC TESTIMONY

Testimony by Carlos Cano, Chief Operating Officer of Center for Family Life in Sunset Park

Carlos Cano, COO of the Center for Family Life in Sunset Park, testified about the severe financial strain caused by delayed payments and contract registrations from New York City agencies. …

2:15:38

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114 sec

PUBLIC TESTIMONY

Testimony by Christopher Leon Johnson, Member of the Public

Christopher Leon Johnson testifies about his concerns regarding the city council's handling of nonprofit contracts and payments. He alleges that the Speaker of the City Council, Adrienne Adams, is manipulating …

2:18:08

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166 sec

PUBLIC TESTIMONY

Testimony by Sharon Brown, Member of the Public

Sharon Brown testifies about problematic contracts and suggests improvements in contract allocation and enforcement. She emphasizes the need for contracts with military veterans, homeless veterans, and seniors, and criticizes unfair …

2:20:58

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129 sec

PUBLIC TESTIMONY

Testimony by Kyungsoo Kang, Grants Contract Administrator at University Settlement

Kyungsoo Kang from University Settlement testified about the challenges nonprofits face with contract registration and payment processing in New York City. Despite recent reforms, significant issues remain that are causing …

2:23:24

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140 sec

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