Foundation 2 Featured on KCRG
Local Agencies Brace for State Cuts
By Sara Stewart, Reporter
By Daren Sukhram
Story Created: Jan 27, 2009 at 7:33 PM CST
Story Updated: Jan 27, 2009 at 10:09 PM CST
CEDAR RAPIDS - Proposed budget cuts have some local agencies worried.
Governor Culver is proposing a 6.5% budget cut for most state programs in the next fiscal year.
The spending plan he's sending to the Legislature does give some groups a break, such as human services.
Already without any real details on how much the cuts may be, organizations like Foundation 2 are looking at what would get cut, first.
"We're watching it very closely it'd affect us very much especially as the demand increases. People are responding to the economic issues and also flood recovery," said Elisabeth Kissling.
The Mobile Crisis Outreach program is getting busier because of that, but it's also funded 100% by the state, which means it would be the first to feel the effects of any cut.
Program Coordinator Shannon Costanzo-Melsh said, "If we get cut it's gonna be a big loss for the county."
"Not being able to staff our program 24 hours a day," added Kissling.
And on top of that, their donations are down.
"We're already looking at additional grants and other ways to do funding, other opportunities, but I think every other agency is doing the same sorts of things," said Elisabeth Kissling.
Other programs not funded 100% by the state, like the Youth Services Shelter, are also thinking about what can give and what can't.
Right now, Costanzo-Melsha says nothing is final, "We just keep operating our programs and hope we can keep going."
Now it's up to the legislature to approve or modify.
Governor Culver will present his 2010 budget proposal to the State Legislature Wednesday.
He says the 6.5% cut in 205 state services would reduce state spending by $400-million.
Culver also wants to use $200 million from the state's cash reserves to put toward a budget shortfall.