Officials set for shutdown

Published 8:10 pm Thursday, June 30, 2011

Local officials reacted with mixed emotions Wednesday to a Minnesota judge’s ruling that defined critical core services in the event of a state government shutdown.

The order , which came from Ramsey County Chief Judge Kathleen Gearin, heavily followed recommendations of Minnesota Gov. Mark Dayton. It came with less than 48 hours to go until the start of a shutdown at 12:01 a.m. tonight going into Friday.

Gearin’s order approved benefit payments and medical services, along with the maintenance of public safety services.

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Basic custodial care for residents of state correctional facilities, regional treatment centers, nursing homes, veterans homes and other similar state-operated services were approved.

However, some programs, such as horse racing and child care aid programs not directly tied into the federal welfare system, were deemed important but did not rise to the level of critical services. She acknowledged that those programs would suffer harm from a shutdown but said her authority was limited by the constitutional separation of powers.

She also approved local government aid payments to continue for cities and school districts.

Freeborn County Administrator John Kluever said it is unclear whether aid payments to counties will also continue.

Public health

Several services rendered through public health departments across the state were deemed as noncritical in nature Wednesday during the judge’s order and will therefore not be provided in the case of a government shutdown.

Freeborn County Public Health Director Sue Yost said her department will be authorized mainly to continue operations of the Women, Infants and Children program, but many other programs will be suspended.

“Pretty much what we feared came true,” Yost said.

That means, according to Yost, programs including Healthy Families, immunizations, newborn visits and longterm care consultations will no longer be taking place come Friday, when the shutdown is slated to begin. Emergency preparedness will only be operated in the case of an emergency event, same as other immediate public health concerns.

“We’re very disappointed,” Yost said. “It’s unfortunate more of these things aren’t on the critical list.”

She said employees in her department are starting to get nervous in anticipation of the Freeborn County Board of Commissioners meeting Friday regarding how to handle a shutdown. It is possible employees in this department may be temporarily laid off.

The department’s employees will come to work Friday, awaiting the commissioners’ discussions, she noted.

The meeting is at 1 p.m. in the Freeborn Room of the Freeborn County Government Center.

Workforce issues

Randy Johnson, executive director of Workforce Development Inc., said while the judge ordered that unemployment benefits continue as a critical core function during a shutdown, there were many of the agency’s other concerns that were not addressed.

Johnson said people file for unemployment by phone or by the Internet and have not needed to come into the office to do so for some time. The unemployment insurance link online is supposed to be functional, but he’s worried it will not be able to handle the stress of additional people.

What people will not be able to do, he said, is come into the various workforce centers and receive assistance from counselors, build resumes or look for jobs.

“Most people wanted to see somebody and that’s what it’s really all about,” Johnson said. “It’s a sad thing.”

From what he knows now, he said, his offices, including one in Albert Lea, will be closed on Friday because he and his co-workers have yet to find the assurances that their funds are secure.

The workforce council had argued that they were receiving federal funds that were already appropriated but their specific programs were not addressed.

He said their concerns are going to be given to the special master in the case.

Child care assistance

Except for Temporary Assistance to Needy Families programs, other child care assistance programs were not included as a critical court function program.

The order states that although the court understood the impacts this decision could have, the consequence can only ultimately be avoided through the settlement of budget issues with the Legislature and governor.

According to the order: “The court is aware that not funding non-TANF child care assistance may cause extreme hardship to low-income working parents, increase the public assistance rolls because some of these people will have to leave the workforce in order to care for their children, and may lessen the opportunities for low-income children to succeed in school.”The Children’s Center Director Kim Nelson said the issue is bigger than simply not providing child care assistance. If this comes to pass, it will also be a workforce issue, an economic development issue and even an education issue.

Nelson said roughly 25 percent, or 30, of the children at her facility receive assistance.

While they have a plan in place of how to handle this, it is only short term.

She said The Children’s Center plans to use reserve funding temporarily but if decisions haven’t been made by July 15, they will have to give two-week notices to affected families, giving them the choice of either paying for the difference or having to withdraw their child.

She noted in the case of a shutdown, she may have to lay two or three staff members off, depending on the ages of the children and how they can be redistributed for teachers. If she doesn’t lay anyone off, teachers might have to decrease hours from 40 to 35.

This will affect her teachers, a few of which are on assistance themselves.

“These people rely on people to have a voice for them,” Nelson said. “People using those services are not able to lobby and those kinds of things because they are working hard and they don’t have the time. They rely on agencies and legislators to make the decisions to assist them.”

She said she has written to the local legislators expressing her opinions.

Nelson also noted that The Children’s Center is re-evaluating whether to suspend its roof campaign.

“It’s hard for me to continue to go out and secure funds for a roof when I can’t guarantee all my staff are going to have a job in a month,” she said.

Nursing homes

St. John’s Lutheran Home Administrator Scot Spates said he is relieved to hear the Minnesota judge’s order that classified nursing home care as a critical core function in the event of a state government shutdown.

Spates said 55 percent of the nursing home’s residents are on medical assistance via Medicaid. The revenue impact from this per month totals $300,000. Medicaid payments come from the state but are partially funded by the federal government.

“It would have a huge impact on us,” he said.

Though he was thrilled to hear this positive news, Spates said there were a few behind-the-scenes uncertainties that have still not been resolved. He hoped they would be resolved in the next 24 hours.

The first issue is involving background checks of potential employees.

Spates said when a nursing home hires a person, a background check is conducted on him or her.

He noted he is unsure whether they will be able to continue conducting those checks through state resources.

“It becomes difficult for us because we’re constantly hiring new people,” Spates said. “If we can’t hire new people in a month, it really puts us in a bind.”

Likewise, there’s concern about whether the pre-admission screenings of residents will still be able to be conducted in the event of a shutdown.

“The issue is, if they’re not screened can we admit them?” he said.

Yost indicated these screenings were not identified as a critical service.

Local government aid

Minnesota cities received word they will continue to receive local government aid payments during a government shutdown, according to the order. It also included payments to school districts, but did not clearly

“There is no doubt that cities dodged a major bullet this morning that may have crippled communities,” said Coalition of Greater Minnesota Cities President Nancy Carroll. “It is just as important that the final budget compromise does not impose yet another round of cuts to cities that will result in higher property taxes for families and businesses and make communities less competitive for retaining and growing jobs.”

Albert Lea City Manager Chad Adams said while Wednesday’s news was good news, he is still cautious about the outcome.

He noted, first, that the ruling can be appealed and, second, that the governor and Legislature could still come to a deal to reduce or take away LGA.

The city might have a few other state payments delayed as well, for example, in the case of the Myers Road Construction project, which was approved for state-aid funds.

Look to the Tribune online and in print for more information about the potential shutdown. This would be the state’s second government shutdown in six years.