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County panel warned a federal funding deadlock could slow some county payments; consultants say a short shutdown is likely
Summary
At a Sept. 15 Alameda County committee meeting, representatives from consulting firm CJ Lake told supervisors a continuing resolution may be needed before Sept. 30 and warned that discretionary grant payments and some program processing for counties could slow if agency staff are furloughed; mandatory trust-fund payments would continue.
At its Sept. 15 Personnel, Administration and Legislation Committee meeting, a federal legislative briefing from consulting firm CJ Lake warned supervisors that Congress is racing to reach a funding agreement before the Sept. 30 fiscal-year deadline and that a short government shutdown is possible.
"Absent a significant breakthrough, a shutdown appears highly likely," John of CJ Lake said, describing ongoing negotiations over a continuing resolution that could extend funding into late November. Emily of CJ Lake added that committee members should expect text of a continuing resolution any day and that agency shutdown guidance will follow if no deal is reached.
Why it matters: County staff said some federal funding streams and program operations that Alameda County relies on could be disrupted during a shutdown. John told the committee that mandatory trust-fund programs — Social Security, Medicare and Medicaid — would continue because they are funded outside annual appropriations, but discretionary grant programs and some formula-based payments could slow if agency staff are furloughed or processing is paused.
John also summarized the National Defense Authorization Act (NDAA) process, saying the House and Senate have different authorization levels (the House bill at about $892,000,000,000 and the Senate bill at about $925,000,000,000) and that partisan floor amendments have complicated House passage.
During questions from supervisors, John said the impact on county payments "really just depends on which checks we're talking about" and that "discretionary grant consideration will likely go to a standstill because those folks will be furloughed." Emily added that agency-by-agency shutdown guidance will determine which programs slow and which continue.
The committee did not take formal action on federal funding but agreed to forward a separate request (see related item) on federal disaster-reform legislation to the full Board. The committee received no public speakers on the federal legislative update.
Next steps: CJ Lake and county staff said they will monitor developments and report back as CR text and agency guidance are released.
