McHenry County Health Department says federal respiratory grant funding is uncertain; staff to pause non-mandated activities

Administrator Adamson briefed the McHenry County Board of Health on April 21 on the department's federal grant exposure after recent federal actions that would cancel certain COVID-era grant awards. Adamson said the department's respiratory surveillance and outbreak response grant covers July 1, 2024, to June 30, 2026, and is worth $600,000; the department received a $150,000 upfront payment (25% of the award) and has spent about $168,000 to date.

Adamson said the administration issued a termination notice on March 28 and that the administration had canceled the grants as of March 24; states sought a temporary restraining order and 23 states filed challenges. A hearing extended the TRO while both sides brief the matter, she said. "We don't have any updates," Adamson said of the litigation, adding that the department has been told it will be reimbursed for expenses incurred through March 24 but that uncertainties remain about whether expenses incurred after that date are eligible.

Adamson said the grant funded both mandated public-health activities (surveillance, investigation and control) and discretionary work (public media campaigns and portions of an electronic medical record). Staff were instructed to stop discretionary spending tied to the grant — for example, planned media campaigns — but to continue mandated surveillance work for long-term-care facilities and other state-required duties. The department expects to seek reimbursement for personnel costs and is working on reimbursement certification with the state; at the time of the meeting the department estimated it might be owed roughly $15,000 after accounting adjustments.

Adamson told the board the department had offset positions by assigning existing staff to grant-funded work (three staff at roughly 50% each) and that some line-item transfers and use of county-match funds could mitigate the county budget impact. She said the county could use unspent funds and transfers to cover an estimated $113,000 staffing shortfall projected through November, though she cautioned projections were fluid pending the litigation outcome.

Board members asked about next steps and whether the department could issue emergency orders to address immediate threats; staff replied they would return with materials explaining the abatement and emergency processes. Adamson said the department had not created new positions for this grant and that the department is continuing work it is legally required to perform even if federal funding is uncertain.

No formal vote or budget amendment was taken at the meeting on the grant. The board asked staff for ongoing financial updates as the state and federal litigation proceeds.