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Kalamazoo County leaders warn federal funding pause could affect roughly 28% of budget; board plans strategic review
Summary
Board leaders and county administration told commissioners that about 28% of Kalamazoo County's budget is supported by federal or state pass-through funds and said they will begin strategic planning to assess vulnerability and mitigation options if federal funding is paused or cut.
Kalamazoo County leaders told the Board of Commissioners on Feb. 4 that roughly 28% of the county’s budget relies on federal or state-pass-through funding, and said they will launch strategic discussions to assess vulnerabilities and mitigation options if funding is paused or reduced.
"I have asked administration and they have tasked and prepared, for our board an evaluation of all, federal and state impacted, grants from federal funds, that have an impact on, our county budget, and that represents about near 28% of the total budget," the chair said during the meeting, calling for a strategic review.
County administration described immediate operational risks if federal pass-through programs were paused. An administration representative said state emergency-management funding had been temporarily halted by the Michigan State Police division that manages emergency management grants and cautioned that some counties depend entirely on such pass-throughs. The administrator noted an example: "the county receives $50,000, to reimburse a portion of our director's salary for that program," and cited an $18,900,000 grant the county had recently secured as an example of awards that could be affected.
Administrators said the county has begun preparing a department-by-department analysis of grants and that decisions will be needed if funds are reduced. "You know, 25, 20 8 percent of our budget, literally a quarter of our budget is supported by state and federal funds," the administrator said, adding that while the county has fund balance and other resources, choices will be necessary to maintain services.
Board members said they would work to prioritize services and, where possible, use local resources to fill gaps. One commissioner said the board is committed to restoring essential services locally if federal dollars are cut.
No formal policy change was adopted at the meeting; commissioners directed administration to continue monitoring federal developments and to provide analyses to inform future budget decisions.
