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County staff say federal court order temporarily restored MDH grant; board to explore reinstatement for clinic renovation

3243557 · May 8, 2025
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Summary

Houston County staff told commissioners that a federal court’s temporary restraining order has temporarily restored CDC-funded awards to the Minnesota Department of Health and asked whether the county wishes to reinstate a terminated MDH agreement tied to a county clinic renovation.

County staff informed the Houston County Board that a federal district court in Rhode Island issued a temporary restraining order (TRO) that has temporarily restored federal awards the Centers for Disease Control and Prevention had earlier terminated. That restoration allows Minnesota Department of Health (MDH) to "restart activities funded by the terminated CDC awards," according to the email read into the record.

A staff member said the MDH notice invited organizations whose agreements were terminated to indicate whether they would like to reinstate their terminated agreements and resume work, but warned the time window for doing so could be short.

The reinstated funds relate to a county clinic renovation project that had been paused after the CDC action. The county reported it had previously terminated a contract with a contractor identified in the record as "Weezer" (the contractor's bid had been cited informally in the meeting at about $190,000), and the MDH message asks whether the county wants to reinstate the agreement.

Commissioners asked practical questions: whether the contractor would hold its price, whether MDH would allow the county to bill as work is done, and what the county's liability would be if federal funding were rescinded again. The board directed staff to pursue additional information before obligating county resources.

"I think you gotta talk to MDH," one commissioner said, noting the risk of starting work and then losing reimbursement if the federal government prevails on appeal. County staff agreed to contact MDH, the contractor and the county attorney to clarify whether reinstatement is possible, how billing and reimbursement would work, and whether the contractor could re-mobilize on the proposed timeline.

No formal motion to commit county funds was made. Commissioners signaled interest in pursuing reinstatement if MDH confirms funding and if contracting and billing can be arranged in a way that prevents county exposure. Staff said they would report back with answers to the board's questions and consult the county attorney before proceeding.