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PUBLIC TESTIMONY
Testimony by Kyungsoo Kang, Grants Contract Administrator at University Settlement
2:23:24
ยท
140 sec
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 cash flow crises for organizations like University Settlement.
- Delays in contract registration and payment disbursement have forced the organization to take out high-interest loans, impacting their financial resilience.
- Implementation inconsistencies with the Passport system have created additional challenges, including conflicting guidance and lack of clear communication channels.
- The absence of automatic notifications for invoiceable contracts requires manual monitoring, diverting resources from direct service delivery.
Kyungsoo Kang
2:23:24
Hi, chair one and members of the city council and committee on contracts.
2:23:27
Thank you for the opportunity to testify on behalf of University of Sediment.
2:23:31
My name is Kyung Su Kang, and I am the grant's contract administrator.
2:23:35
University settlement has served New Yorkers for a hundred thirty nine years, providing critical human services across our 30 ms morse sites in Manhattan and Brooklyn.
2:23:44
We are grate deeply grateful for the administration and the city council support in implementing call line quizzes, reforming the passport system and introducing multi year discretionary contracts.
2:23:55
While these reforms are steps in the right direction, significant challenges remain particularly in contract registration and payment processing.
2:24:04
Steady contracts are a lifeline for nonprofits like ours to deliver essential services.
2:24:09
However, ongoing delays in contract registration and payment disbursement have created a serious cash flow crisis that to staff furlough and reduce further expenditures.
2:24:20
Without timely payments, we are forced to take out high interest loans to pay staff and maintain services.
2:24:26
These loans while temporarily bridging gaps ultimately deplete our resources and work on our long term financial resilience.
2:24:34
The burden of repayment limits our ability to reinvest in programs and sustain essential services.
2:24:40
Additionally, while Passport was designed to modernize procurement inconsistencies and its implementation have created further challenges.
2:24:49
Agencies often require vendor to submit documents through both email and password with conflicting guidance and when clarification is needed the mocks help desk frequently redirects inquiries back to agencies leaving vendors without clear directions.
2:25:04
This uncertainty hinders our ability to plan and effectively manage contracts.
2:25:09
Another critical issue is the absence of automatic notification when contracts become invoiceable.
2:25:15
Managing nearly $900,000 in discretionary contracts require us to manually monitor statuses and follow-up with agencies diverting resources from direct service delivery.
2:25:26
Without timely notice Time
Greg Klemm
2:25:28
is quiet.
Kyungsoo Kang
2:25:28
This Christmas are further delayed exacerbating cash flow challenges.
2:25:35
We stand ready to work with the city council and the administration to create a more transthyretin efficient contracting procedure.
2:25:41
Thank you for your time and consideration.