Key Vote on Federal Budget February 1st Could Mean Profound Changes

LEIGH POMEROY

It is rare that I've ever seen our local area nonprofits make a legislative request. While our metropolitan district is well under 100,000, if the consequences to us below are correct, imagine the effects on more populated areas.

Whatever happened to "compassionate conservatism"?

January 27, 2006

FOR IMMEDIATE RELEASE

For More Information Contact
Anne Ganey, Executive Director, YWCA, 345-4629 ext 29
Bob Meyer, Human Service Director, Blue Earth County, 304-4370
Kathy Brynaert, ISD 77, 388-2264
Jerry Olszewski, YMCA, 387-8255
Chris Boyce, Mankato Area Healthy Youth, 345-9809
Pam Year, MRCI, 386-5600

Key Vote on Federal Budget February 1st Could Mean Profound Changes for the Mankato/North Mankato Area and Working Families

A group of local organizations representing the Mankato/North Mankato area are holding a press conference to call on residents to ask Congressman Gil Gutknecht to reject a budget reconciliation bill that could have a profound and damaging effect on working families in the area. The press conference will be held Monday January 30th at 1:30 p.m. at the YWCA Cray Mansion. Citizens are asked to call Gutknecht's office at 202-225-2472 and urge him to vote against S. 1932, the Deficit Reduction Omnibus Reconciliation Act of 2005.

Local organizations encouraging residents to call Representative Gutknecht are Blue Earth County, ISD 77, Mankato Area Healthy Youth, the YMCA and the YWCA. "This is unusual for us," said Anne Ganey, Executive Director of the YWCA, of the group's efforts. "There is so much at risk. If this budget passes, it's all done. There is a short amount of time in which we have to act. Some of us have been trying to get answers for weeks. We really hope people will respond to this request and our representative will listen to us."

The Deficit Reduction Omnibus Reconciliation Act of 2005 (S. 1932) passed in the Senate and is headed for a vote in the House of Representatives as early as February 1st.

Representative Gil Gutknecht's vote is needed to defeat the bill. Passing the 775-page bill would mean changes for many working families in the Mankato area. Particularly at risk are childcare for working parents and the South Central Children's Project.

The bill makes policy changes whose implications are widespread and significant, especially for vulnerable populations. According to the Minnesota Department of Human Services, Targeted Case Management could be reduced by $86 million dollars statewide and $1.5 million in Blue Earth County alone. Targeted case management services are an important social service which helps to ensure the health, welfare and safety of vulnerable populations including at risk children. This funding is a significant amount of the South Central Children's Project budget. Reductions in federal funding will lead to more families needing to navigate complex community support systems on their own.

The South Central Children's Project works with the families of children who are at risk for poor outcomes in life; school failure, drug abuse and out-of-home placements. The Project works with families at several different stages in their children's lives; pre-school, elementary age, and adolescence. At-risk youth receive assistance to enable them to be involved in organized activities in the community, a strategy which has proven to produce more positive outcomes. If Targeted Case Management funding is eliminated, more than forty percent of the Projects' funding would be cut. Elimination of Targeted Case Management funding would decrease the Children's Project's ability to support schools in educating children.

Low-income at-risk youth will not receive the funding they need to participate in activity programs. Families seeking guidance and direction in managing their children's Mental Health needs will have fewer resources for guidance. Other community agencies including school systems and county correctional systems will need to increase their efforts to assist those children that will no longer be served by the Children's Project.

Local families also stand to lose childcare assistance that enables parents to work. It is estimated that 255,000 fewer children across the country will receive childcare assistance if this bill passes.

Other results of this budget include cuts to child support enforcement, foster care, student loans and other vital programs and services working families rely on.

• S. 1932 cuts foster care payments and makes it harder for grandmothers and grandfathers caring for their grandchildren to provide care.
• S. 1932 cuts a net amount of $12.7 billion from the federal student loan programs.
• S. 1932 would also permit states to cut back on benefits for nearly all of the 28 million children now enrolled in Medicaid.

Reductions in Medicaid benefits for medical intervention, medication and health care proposed in this legislation will place further burdens our most vulnerable families and individuals. These include people with disabilities and the elderly. What may happen to many of the services provided to these populations under Medicaid waivers is unclear.

S. 1932, the Senate spending reconciliation bill, was introduced by Senator Judd Greg (R-NH) and passed the Senate on November 3, 2005 by a very close vote of 52-47.

Over 120 organizations in Minnesota have signed on to a letter opposing S. 1932 with the Minnesota Council of Nonprofits Minnesota Budget Project. These include are the ARC of Minnesota, Children's Defense Fund, Lutheran Social Services, Minnesota Nurses Association of St. Paul, and the Minnesota Senior Federation.

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