Federal funding freeze? Possible action creates worry, uncertainty for Springfield groups
Federal funding freeze? Possible action creates worry, uncertainty for Springfield groups
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Trump administration memo to freeze federal funding rescinded
The Trump administration has rescinded a memo to freeze federal funding across all agencies, which critics call unconstitutional.
While the Trump administration rescinded an order Wednesday temporarily blocked by a federal judge that had frozen federal grants and loans to undergo review for compliance with the president's priorities, the announcement sparked concern and confusion among Springfield area agencies that feared a loss of funding.
Many institutions and organizations are still unsure what a freeze would mean for their operations and were waiting clarification as the situation unfolds.
Education, government, nonprofit and health care officials contacted by the News-Leader were concerned about what will happen if a freeze is eventually enacted.
Local education impacts
Hal Higdon, chancellor of Ozarks Technical Community College, said the early concerns were that the freeze might stop Pell Grants and other federal financial aid, including student loans, from flowing to students.
"But, they cleared that up throughout the day," he said of Tuesday. "That made us feel better because that directly impacts students."
Higdon said Ozarks Tech relies on federal funding for adult basic education courses. Recently, the college received a grant from the U.S. Department of Labor to expand the Alliance for Healthcare Education, which trains the workforce for careers in health-related fields.
"My hope is that a review of those (grants), as long as it is not too long shouldn't have an impact," he said. "The large grant we just received from the Department of Labor includes the construction of (simulation) labs at the alliance, it includes scholarships ... for nursing students and Middle College alliance students. It is a big deal."
Higdon said if there are delays, the construction of the simulation lab may not get started on time. "We are going to have to watch that very carefully."
He said Ozarks Tech has reached out to lawmakers to explain the impact of any potential freeze in federal funding. "We expressed our concern with the timing and the fact that there are some time-sensitive issues."
At Missouri State University and Springfield Public Schools, the rapidly-developing situation has been closely monitored.
'SPS joins other public entities in awaiting further guidance and direction regarding the impact of the pause in federal funding," said Stephen Hall, chief communications officer for Springfield Public Schools. "As guidance and direction are provided, SPS will communicate those details to our stakeholders.'
Andrea Mostyn, director of strategic communication at Missouri State, said there are still questions to be answered.
"We're tracking the current situation regarding the freeze of federal funds. Through consultation with our professional organizations and networks, we're assessing the potential implications across various university departments," Mostyn said. "Once the order is finalized, we'll better understand its impact on the university."
Local healthcare, philanthropic impacts
Neither Mercy nor Cox Health reported any immediate changes, but "it is too early to be able to speak to their implications," said Randy Berger, director of corporate communications for Cox Health.
Overwhelmingly, community non-profits are unsure of what the federal aid freeze could mean for their organization.
"At this time, we aren't sure of any impacts. It's just too early to tell. We, like many, are waiting for more information," said Melody Shuck, VP of Communications for Community Partnership of the Ozarks.
The Ozarks Area Community Action Coalition, which was formed as a result of President Lyndon B. Johnson's war on poverty in 1964, said it is "committed to our mission, the people and communities we serve, and are continuing to provide important services in Southwest Missouri." It also said it will keep the public "informed of relevant updates in the future."
Ozarks Food Harvest confirmed that certain programs such as Social Security, Medicare, and the Supplemental Nutrition Assistance Program (SNAP) will continue as normal. However, it's unclear whether other federal programs, such as the Emergency Food Assistance Program, the Child and Adult Food Program and the Commodity Supplemental Food Program, will continue uninterrupted.
"The memo specifies that the pause will not affect 'assistance provided directly to individuals.' Based on this guidance, we're hoping other federal nutrition programs will remain unaffected, but it may take more time for government agencies to provide additional clarification," said Jordan Browning, communications director for Ozarks Food Harvest. "These programs are critical for the 1 in 5 children and 1 in 6 adults facing hunger in our community, so we are monitoring the situation closely."
Other organizations don't receive government funding, such as The GLO Center and The Community Foundation of the Ozarks. But they don't know if they'll be exempt from the overarching effects a freeze may have, either on them directly or the people they serve.
"The GLO Center doesn't receive any government funding, federal or otherwise," said Aaron Schekorra, GLO Center executive director. "However, I am sure there are services that we use that could be impacted, and there are certainly many services our community/clients rely on that will be affected."
Local government impacts
Most local government entities were exploring what a federal freeze would mean for their programs and projects, though much remained unknown.
City of Springfield chief spokesperson Cora Scott said the city was looking into it but did not yet know what the impacts could be. Likewise Jenny Fillmer Edwards, chief spokesperson for Springfield-Greene County Parks Board, said it was too soon to speculate on the impacts.
Greene County Budget Officer Jeff Scott said the county would continue to monitor what could be affected by a funding freeze but was anticipating reimbursements for programs and awards particularly in the Juvenile Department and the Office of Emergency Management (OEM) to take longer.
"Currently, there are no plans to end or pause any programs," he said via email. "While we wait for additional clarification, we have the belief that this will only result in a delay of reimbursement for some of the programs we provide for our citizens."
In 2022, Greene County expended more than $8 million in federal awards through regular programs, according to an independent auditor's report provided by Jeff Scott. This excludes more than $20 million in pandemic-related federal awards. This amount breaks down to $79,000 in the Sheriff's Office programs, $260,000 in Juvenile Department, $600,000 in OEM, and more than $6 million in Highway Department programs. Again, Jeff Scott said the county is expecting to still receive reimbursements for these, just on a delayed basis.
Similarly, Springfield-Greene County Library District was expecting, at a minimum, delays in the distribution of funds. In an emailed statement, Executive Director Ed Walton said the library was in a "wait-and-see" position but planned to continue business as usual until it became clear that funding would be discontinued.
At the Springfield-Branson National Airport, there had been no immediate impacts. Kent Boyd, the airport's public information officer, said via email airport construction projects nationwide are often largely paid by federal grants. With those grants administered by the Federal Aviation Administration, the airport was awaiting guidance and clarity from the FAA as the situation unfolded.
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