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Budget impasse forces Community Action cuts
Thursday, September 10, 2009
By Jeff Corcino Staff Writer
The continuing state budget standoff has forced Central Pennsylvania Community Action to lay off employees and close some offices, and Executive Director Hugh Daly said more cuts and layoffs are coming if the state budget isn't resolved soon.
This week, CPCA laid off 11 of its 82 employees, closed its Bellefonte office and is only opening its DuBois office on Tuesdays in an effort to save money due to the lack of state payments, Daly said.
However, he said, the Clearfield office will not be affected and remains open. CPCA also has offices in Philipsburg, Houtzdale and Millheim.
Community Action has laid off three drivers in its transportation program, four employees in its Work Ready job placement program for people on public assistance, two people at its Bellefonte office and two people at its DuBois office, according to Daly.
He said because of the budget impasse the state is not paying its bills and now owes Community Action approximately $1 million for its transportation program alone. Community Action, under a state contract, provides transportation services on behalf of the Department of Public Welfare to people on public assistance who need to travel to receive medical treatments and services.
Community Action provides transportation either by contracting out to a third-party vendor to provide the transportation or by reimbursing people who use their own vehicle to travel.
However, the state still owes community action $511,000 from last year and hasn't paid any of its bills this year for which it owes approximately $500,000.
Because it is not receiving any funds from the state for this program, Community Action has discontinued paying its third-party vendors or reimbursing those who use their own vehicle for transportation until the budget is resolved.
Daly said he fears that some people who drive themselves to receive medical treatment will not be able to afford to go because they will not be reimbursed until the state budget is passed.
"A lot of people are going to miss medical care because they can't afford to go," he said.
Daly said CPCA is just weeks away from canceling the transportation program outright and turning it back over to the DPW. Other services, such as its meal program for senior citizens in Houtzdale, could also be threatened if the budget standoff isn't resolved soon.
Community Action in conjunction with the Clearfield County Area Agency on Aging provides a hot lunch to 60-80 senior citizens a day in Houtzdale. "For many of them this is the only meal they have all day," Mr. Daly said.
And it's not just Community Action that is being hit hard by the budget impasse, Daly said. Other organizations like the Area Agency on Aging and the Clearfield-Jefferson Drug and Alcohol Commission are having similar difficulties.
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