Maryland Awards $6M to Nonprofit Amid Tax Lien Controversy

UPDATE: The Maryland state government has just awarded $6 million in taxpayer funds to the nonprofit organization We Our Us, despite its president, Antoine Burton, owing over $208,000 in federal and state tax liens. This alarming revelation has sparked urgent concerns about the vetting processes for nonprofits receiving substantial public funding.

The contract, announced by Governor Wes Moore through the Department of Juvenile Services, aims to “engage justice-involved youth in Baltimore City.” Governor Moore emphasized the importance of partnerships for community progress, especially in a city grappling with crime. This announcement comes in the wake of Moore’s criticism of former President Donald Trump‘s public safety measures in the area.

Burton, who owes $176,000 in federal tax liens and $32,000 in state tax liens dating back to 2017, stated he has a plan to resolve these debts but did not provide any documentation when pressed. “Right now, that’s something that’s being disputed,” he claimed, insisting that his organization operates effectively and is engaged in vital community services.

Despite these financial concerns, a spokesperson for the Department of Juvenile Services confirmed that We Our Us is currently in good standing with the State Department of Assessments and Taxation. The organization has previously received $815,398 in state funding for youth life coaching programs since 2023. However, they have yet to bill the state for the newly awarded $6 million contract, which began in September.

Critics are questioning the appropriateness of this funding. Amanda Beck, a professor specializing in nonprofit accounting, suggested that Burton’s financial history should have been a crucial factor in the decision-making process, stating, “It’s reasonable to consider the stewardship that this individual has had in their own financial relationship with the government.”

Additionally, We Our Us has faced scrutiny for failing to file tax forms for fiscal years 2023 and 2024. A spokesperson for the organization claimed they are undergoing a voluntary financial audit and have requested an extension from the IRS, which experts argue is not a valid excuse for the delay.

Burton argues that the funds will significantly enhance their community services, which include food assistance, addiction recovery support, and youth mentorship. “Some of them even look at some of our life coaches as father figures,” Burton stated, emphasizing their deep commitment to the community.

However, troubling personal circumstances surround Burton. Court documents indicate that his wife filed for divorce, citing undisclosed financial issues, including the tax liens. Burton has refuted these claims, asserting transparency in his financial dealings.

The contract awarded to We Our Us was facilitated through a “Non-Competitive Negotiated Procurement,” raising questions about the decision-making process, as it implies a lack of effective competition for such significant funding. Beck highlighted the potential for controversy, stating, “The concern is that you are giving the business to whomever you want to give the business to.”

As the situation develops, We Our Us is also set to receive $1 million from Baltimore City’s opioid settlement with Walgreens, though the agreement has yet to be finalized. The mayor’s office has not commented on the implications of Burton’s tax issues or the delayed financial reporting.

This developing story raises critical questions about accountability and transparency in public funding decisions, as Maryland officials face mounting scrutiny over their financial vetting processes for nonprofits.

Stay tuned for further updates as this situation unfolds.