PADS of Elgin sets new course after federal funding loss, asks for continued community support

A year after tackling a budget crisis that threatened to shut its doors, PADS of Elgin is asking the community to continue supporting its mission and “build something stronger.”

Katie Shaw Thompson, executive director of the nonprofit that provides shelter, support services and advocacy to individuals and families experiencing homelessness, said the organization overcame last year’s $500,000 budget shortfall through a community fundraising campaign.

“This time last year, we hit the big red button and the community really showed up in a big way in that emergency, and we're really thankful,” she said. “We’re doing so much better now. But until something changes, we're going to continue to need that support as we build something stronger.”

Last year’s shortfall stemmed from the end of federal funding that PADS of Elgin had relied on.

When Thompson took over as executive director in early 2025, the nonprofit received about 70% of its funding from the federal government.

Now it receives no federal money.

In response, the organization has trimmed its budget from $1.7 million in 2025 to $1.2 million for 2027 while serving more people than before.

“We made tough decisions, laid off management staff, good people, in order to keep showing up every day for the people who need us,” Thompson said.

Thompson said she and the board of directors are working to build a new funding model that relies less on the vagaries of sources like the federal government.

“Until we build an even more diverse and sustainable local base, we are counting on the folks who believe in the mission and want to continue to help people and show up for people to continue supporting us,” she said. “But now, instead of looking at emergency needs, we're looking at sustainability moving forward.”

Unlike many shelters that only operate during the cold winters, PADS of Elgin is open 24/7, 365 days a year, Thompson said.

“Every single day we're helping people move through a season of homelessness,” she said. “Shelter and meals are super important, but it’s also the case management. It's somebody walking alongside of you and caring about you. This is a strategic investment in the health of individuals and families in our community to get people back where they want to be, living sustainable, healthy lives.”

The organization holds several fundraising events throughout the year, including their upcoming Hops for Homes Oktoberfest fundraiser at Plank Road Tap Room in Elgin on Sept. 10. People can also make one-time or recurring donations online at padsofelgin.org.

Thompson said fall is their most difficult time for fundraising.

“A lot of folks’ charitable giving is more focused toward the holiday season in December and the end of the year,” she said, “So it sort of dries up in the summer and the fall. But our needs don’t.”

rwest@dailyherald.com