The Pima County Courthouse building in downtown Tucson, Arizona.
Pima County is reviewing approximately 135 grants that could be affected by the federal funding freeze resulting in about $150 million in potential losses.
“We’re in the process of updating, really, a crosswalk with all of our grants, with all of the executive orders,” said Jan Lesher, County Administrator. “To just see what’s tied together and what that impact might be.”
The $150 million represents federal spending from last year.
Lesher added that the county is evaluating the status of these grants to determine immediate potential impact to the general fund if these are frozen or become inaccessible.
“Anytime we cut the general fund to move programs in one way, or dollars one way versus another, that will ultimately be jobs but it just depends,” Lesher said.
The county had initially estimated 12 grants from the Bipartisan Infrastructure Investment and Jobs Act and Inflation Reduction Act.
Lesher said that the county is still analyzing the data across all departments, estimating that about 150 million dollars are at stake.
County Administration reported at a February 18, Board of Supervisors meeting that it is monitoring various federal department data sets that have modified, removed or adjusted as well as obligated and awarded grant funds.
It will also provide updates on federal and state, executive, legislative and judicial actions that affect funding for operations as well as policy changes that affect residents.
Lesher noted at least one grant is eligible for recoupment, referencing the legally processed asylum seeker program.
“The shelter and services program funding is reimbursable, so now we are just a little under $6 million that we have spent for which we are waiting reimbursement,” she said, explaining that the program is available through the Department of Homeland Security, managed by FEMA which allocates funds upfront. The county has submitted invoices to the federal government looking for repayment.
If the funds can’t be reimbursed, that is a significant financial loss that will need to be replaced.
In terms of potential job cuts, that’s harder to predict.
“If you look at a Community Development Block Grant– those dollars are specific programs we provide to individuals but when you look at dollars that have been provided to construct roads, there’s not the direct correlation of necessarily people to programs,” Lesher said.
When the county closed its two migrant shelters, approximately 83 positions were impacted.
“Some of our providers helping with the asylum seekers have not been paid as we wait for reimbursement from the federal government,” Lesher said
The county is reviewing next year’s budget.
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