Local schools and two county agencies providing health and mental health services will continue as usual should the state legislature not pass a budget by Oct. 1, the start of the new fiscal year.
The schools and agencies receive state funding, but do not have employees whose salaries are paid directly by the state.
Pines Behavioral Health
This sign identifies a Pines Behavorial Health office.
The Pines Behavioral Health Board on Wednesday, Sept. 24, authorized Director Sue German to continue operating state-funded programs using reserves to pay the $6,400 in employee salaries every two weeks.
German said the loss of funds from a state block grant “Would impact our substance abuse folks who do not have insurance to pay for treatment.”
Other programs that would lose state funds are opioid prevention, another that addresses metabolic syndrome, and the Friendship Center on S. Monroe, which provides a safe and supportive environment for adults living with mental illness.
Another service that could lose state funds would be “Jail diversion, where we’re helping individuals who are seriously mentally ill that end up being incarcerated, but really could benefit more from treatment,” German said.
German said Pines has funds “To continue providing services for several months.”
What is also unknown is the impact of a potential federal government shutdown and its effect on federal funding for services in a new budget.
Branch-Hillsdale-St. Joseph Health Agency
Branch-Hillsdale-St. Joseph Health Agency would continue essential services with a state government shutdown.
At the August meeting, staff announced that the health agency would continue to provide mandatory services, including food safety, water, sanitation, and monitoring and inspections for communicable diseases.
Board members Brent Leininger, a Hillsdale County commissioner, and Jon Houtz, Branch County commissioner, said they expected the state to close down, possibly for two weeks.
On Sept. 15, the board’s finance committee recommended that the full board approve funding all services for two weeks at its meeting on Thursday.
Both agencies expected that any new state budget would make funding retroactive to Oct. 1 to cover the costs of operations before the passage of a budget.
Branch County schools
Coldwater and other Branch County schools have reserves to continue operating for two months with a state shut down.
In Michigan, news reports have already stated that St. Johns has laid off two staff members, Dansville has cut a bus route, and Okemos families have lost access to free school meals as those districts prepare for possible state closure and the absence of state funding, with the next payment due on Oct. 20.
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Coldwater Superintendent Paul Flynn informed his board on Monday, Sept. 22, that a survey conducted at a state superintendent’s meeting last week revealed that fewer than 50% of school districts could cover operations through Thanksgiving if the state legislature failed to pass a budget on time.
Bronson Superintendent Kate Walls said that her district can survive to Thanksgiving with no state funding, “With a focus on priority spending for needs associated with payroll: staff salaries, insurance, retirement, food service, maintenance/utilities, and transportation.”
Quincy’s new Superintendent, John Denny, said he and Business Manager Benjy Gary shared with the board on Sept. 15, “We would be able to make our first payroll in December without needing to take any sort of loan. We are fortunate to have a very healthy fund balance and have been running as normal up to this point.”
Denny said that, should the budget impasse drag on through October, they will monitor the situation and make any necessary adjustments.
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Contact Don Reid: dReid@Gannett.com
This article originally appeared on Coldwater Daily Reporter: Coldwater area’s schools, health services to continue if Michigan sees budget shutdown