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Clean Slate faces funding gap; county plans small pilot to repurpose remaining revolving loan funds for justice‑impacted entrepreneurs

Oakland County Board of Commissioners Finance Committee · August 6, 2026
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Summary

Workforce staff told commissioners Clean Slate must secure roughly $300,000 to continue operations through Sept. 30, 2027; county also plans a $300,000 pilot with a CDFI partner (ProsperUs) to deliver small loans and wraparound services to justice‑impacted entrepreneurs as the prior revolving loan program period ended.

Workforce development staff told the committee that the Clean Slate initiative, which helps people with justice histories to overcome barriers to employment, has run through several funding streams and now faces a shortfall. Jennifer Lewellen said the original state funding and the $10 million barrier removal allocation have ended; the department secured a $200,000 Michigan Justice Fund grant to sustain operations for the near term but would need roughly $300,000 to maintain the program through Sept. 30, 2027. Lewellen estimated that a full year of operations would cost roughly $500,000 if additional funding is not found.

"To get through the balance of this year ... we estimate we would need about $300,000," Lewellen said, describing attorney costs, background checks and fingerprinting expenses included in the estimate.

Separately, commissioners discussed a pivot for the county's earlier revolving loan program (originally seeded with federal and county funds and later administered with community partners). Staff explained the federal revolving period has concluded and the county retains roughly $800,000 of legacy funds; the suggested approach is to pilot a targeted, small‑loan program (about $300,000) in partnership with a certified community development financial institution (CDFI), ProsperUs, focusing on justice‑impacted entrepreneurs and pairing loans with wraparound business supports.

Officials said the pilot is intended to test repayment rates, the effectiveness of supportive services and pathways to mainstream banking for participants; commissioners supported the pilot concept and asked for follow‑up details on program design and measurement.