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Stretched Thinner: Delayed Payments Could Mean End Of PATH

PATH headquarters
Cristan Jaramillo
/
WGLT

Editors Note: During our interview series Stretched Thin, we reported on the impact of the state budget impasse on local social service agencies and heard how the stalemate was affecting members of the community.  That was in spring of 2016. There's still no budget. In our new series Stretched Thinner, we check back in with those social social service agencies. 

Providing Access to Help (PATH) is, per the words of an old song, another year older and deeper in debt. Director Karen Zangerle said the agency went from July until December not getting anything for the state mandated Adult Protective Services program.

Last May during the Stretched Thin series, Zangerle had just laid off two people. In June six more positions went away. PATH closed programs in Pontiac and Lincoln offering outreach for the elderly. Zangerle said there was no money left and a private for profit company took over the effort helping seniors navigate the benefits signup process. Zangerle said Community Care Systems had far deeper reserves than PATH and could afford to wait for state payments. She said some PATH workers found new employment there.

Zangerle said PATH is still owed $120,000 by the state, more than at this time last year. She said she is still exploring bankruptcy and dissolution as options.

"We're not in a good place. We are on thin ice. And the reason for that is we don't have that much more on the line of credit. We took out the line last year with CEFCU. We were able to pay down some, and renogiate the terms. But there is no more wiggle room," said Zangerle.

PATH owes CEFCU $70,000 and Zangerle said there is no more to access.

For now, PATH is hanging on.

"We got some significant catchup checks in December and I am holding onto every cent I can," said Zangerle.  

PATH is turning more to fundraising. The traditional annual fundraiser, Chefs For Path has done well. Zangerle said they are creating another two or three fundraisers which could help keep the doors open. They are hosting an 80's band, The Smithereens, at the Castle Theader which could generate about $10,000. A 5k run could do the same and generate most of a two-week payroll.

"It's very hard for me to see the expenditure of PATH staff time if all we're bringing in is two or three thousand dollars," said Zangerle.

PATH is also considering a movie night, though profit there might not be worthwhile

The agency offers 211 crisis interventionservices in forty counties paid by local United Way agencies. Zangerle said that is something to depend on. And PATH still crucial to certain systems in the McLean County community. She said closure it would leave a gaping hole.

"Once an agency closes, you can't bring it back from the ashes," said Zangerle.

She said she still has no faith that anything will happen on a state budget through 2018 and the next election for Governor.

Zangerle said she is preoccupied with considering what would have to happen to close down the agency. She thinks about the notifications and the steps to take.

"I don't sleep well at night," said Zangerle.

 

WGLT Senior Reporter Charlie Schlenker has spent more than three award-winning decades in radio. He lives in Normal with his family.