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County seeks clarity on flat grama program funding; federal funds may be frozen pending New York court case

2525044 · March 7, 2025
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Summary

County staff reported outreach to federal and state contacts indicating the DOD flat grama program is not scheduled to close but that some federal funds are currently frozen pending litigation in New York; commissioners agreed to seek additional information and table decisions until they get more clarity.

Clay County commissioners discussed uncertainty around the DOD flat grama program and whether funds for their local project will be available as expected.

A county presenter said they contacted several offices, including the congressional office for Rep. Dusty Johnson and federal program managers. The presenter reported receiving a reply from Jill Locken, identified as a lead program manager for federal land programs, stating the program was not scheduled to close and that they do not anticipate closure. Staff also said the presenter contacted state contacts, including a public‑lands representative, to verify program status.

However, another participant told the board that some federal funds are “locked up” in a New York court case (referenced in the meeting as related to FEMA funds and other federal grants), meaning funds not yet transferred to the state may remain on hold until the litigation resolves. Staff suggested that initiating a transfer of funds from the federal level to the state might provide clarity on whether funds can be made available to the county, but cautioned that any transfer could trigger administrative delays if a legal hold exists.

Commissioners discussed insurer and lease issues in other federal programs and the broader environment of uncertainty. One commissioner asked staff to contact other South Dakota recipients of the flat grama funding to confirm where their projects and transfers stand. Another commissioner recommended tabling final award decisions until additional confirmation is received. A motion to table the item was made and carried.

Ending

County staff will contact other South Dakota recipients, follow up with Jill Locken and state contacts, and attempt to initiate a federal‑to‑state transfer if appropriate. Commissioners tabled action pending additional information about the status of federal funds and the potential impact of ongoing litigation.