Elgin's 2nd nonprofit loan goes to mental health center
Ecker Center for Mental Health is the second human services nonprofit that will be getting an emergency loan from the city of Elgin to deal with the financial consequences of the state's budget impasse.
City council members voted 8-1 to approve the $175,000 loan at a meeting Wednesday, with Councilman John Prigge casting the only dissenting vote.
Council members also modified the terms of the loan program, which originally required repayment within six months. The assumption was that by now the state would have a budget, Mayor David Kaptain said. Instead, it remains unclear when that will happen, and when the nonprofits will begin receiving state payments, he said.
Under the new terms, repayment will begin when state payments starting coming through, or within a maximum of 18 months. That change also will be made available for the $200,000 loan already approved for the Association for Individual Development, as well as future applicants, city officials said.
Councilman Rich Dunne said it's also unclear which bills will be paid first when the state comptroller begins disbursing payments.
Prigge pointed out there are no guarantees the nonprofits will receive the money they are owed.
A total of $250,000 still is available within the loan program.