Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the School Funding topic
No spam. Unsubscribe anytime.
Downingtown officials warn of possible Medicaid, Title funding losses that could affect school services
Summary
Superintendent and the district's new business office leader told the Downingtown Area SD board the district is tracking possible federal Medicaid cuts and withheld Title funds that could reduce reimbursements used for contracted nurses and aides; the district said programming is secure for the coming year but future years are uncertain.
Superintendent Dr. O'Donnell and Brian, the district's new business office leader, told the Downingtown Area School District board on July 9 that the district is tracking two federal developments that could reduce state Medicaid reimbursements and withheld Title funds and affect services the district funds.
Dr. O'Donnell said the federal bill signed July 4 would cut Medicaid over 10 years and could translate into a potential 15% to 20% reduction in the state's Medicaid reimbursements. "That impacts us through our Pennsylvania school based access program. So right now, that's about a 2,160,000 budget item for us," Dr. O'Donnell said, adding the district uses roughly $2,000,000 of that for contracted personal care assistance and contracted nurses.
Brian told the board the district is also monitoring an action in which the federal government is withholding about $230,000,000 in Title funds from Pennsylvania. "That affects us to the tune of $256,000," he said, and noted those Title funds are used for professional development (Title II) and English learner supports (Title III). Brian said the materials about these federal items were attached to the meeting agenda for board review.
District leaders said the district can maintain programming for the coming school year even if those federal actions continue. "Regardless of what happens with those funds, we're able to keep our programming in place for this year since we did get the medical access," Brian said, and Dr. O'Donnell added the district will continue to monitor developments and share updates as they are learned.
Board members asked clarifying questions about timing and financial exposure. The superintendent told the board the 15% to 20% estimate could translate into a roughly $400,000 hit to the district's medical-access reimbursements depending on when reductions take effect. She said the state would need to identify replacement funds if the losses are realized, and quoted the governor as saying the state likely cannot backfill the reductions.
The board received the briefing as an informational update; no formal action was taken. District staff said they will report additional details to the board as federal and state actions become clearer.
