After cuts in federal spending for elderly programs this fiscal year, fear of more cuts for 2025 prompted the Area Agency on Aging to recommend grant holdbacks from current programs administered by the Branch-Hillsdale-St. Joseph County Health Agency.
Protests from Branch and St. Joseph Counties Commissions on Aging saved the Meals-On-Wheels and Congregate Meals food programs in both counties after a Thursday 3-2 vote by the health agency board.
Laura Sutter, director of the Area Agency on Aging for Branch and St. Joseph counties, recommended a 10% holdback in allocated grant funds for five programs until the new federal budget passes.
Sutter proposed holdbacks in Branch County of $38,000 and $52,000 in St. Joseph County.
Pam Riley, executive director at the St Joseph County Commission on Aging, said the holdback "Is going to cause significant disruption to services that I would have to start immediately."
If the monthly allocation were cut immediately, St. Joseph County would cut over 4,500 home-delivered meals, over 2,100 congregate meals, and more than 120 hours of in-home services.
Amy Duff, executive director of the Branch County Commission on Aging, said the agencies have dealt with cuts in federal funding before. "I feel you're setting a dangerous precedent where the AAA can change the plan for funding based on their own views."
Duff and Riley said the COAs understand that if the money is not appropriated, they cannot spend funds and will deal with that situation when it occurs.
Duff said, "We do not need money to be held back ahead of time while we wait and see what the state and federal government decide to do."
Sutter said AAA only learned of the extent of the cuts for the current 2024 fiscal year when award statements came in late June. Cuts for the meals program were 44%.
Sutter said, "State sources made up for some of the cuts as did some (American Rescue Plan Act) carry forward."
For 2025, "The federal budget process is projected to be the same as it was this year," Sutter warned.
The largest programs provide case management, personal care, transportation, homemaking, gap filling, chores, and similar services with $168,634 in both counties.
The total federal contract grants for the current fiscal year are $542,566.
If money is allocated and spent but not appropriated, the COA agencies would need to repay the health agency for the grant funds.
On Aug. 6, St. Joseph County voters approved a six-year renewal of the COA millage. Riley said this generates $1.8 million annually, which could repay the health agency.
Branch County voters also approved a millage renewal of 0.4857 mills on Aug. 6, which will raise $868,017 in 2025 to fund its operations.
Given the uncertainty in federal funding, Hillsdale County Commissioner Brent Leininger said a 10% holdback was not enough.
St. Joseph County Commissioner Jared Hoffmaster said, "I agree with commissioner Leininger, maybe 10% is not enough."
Leininger and Hillsdale Commissioner Steve Lanius voted against approving the budget without the 10% holdback.
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Hoffmaster, Branch County Commissioners Tom Matthew and Jon Houtz voted to leave the budgets as proposed and passed without immediate cuts.
Contact Don Reid: dReid@Gannett.com
This article originally appeared on Coldwater Daily Reporter: Health Agency board votes against immediate cuts to COA senior food programs
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