Friday, September 11, 2009

Pennsylvania county approves $15,5 million to keep health and human services afloat

From The Patriot-News in Harrisburg, Pa.:


Dauphin County Commissioners approved a loan of up to $15.5 million to cover the costs of health and human services for the duration of the state budget impasse.

The money, provided by M&T Bank with an interest rate of 4.8 percent, will allow the county to pay providers in several health-related offices, rather than laying off employees or incurring fees for late payments, said Peter Vriens, Dauphin County's human services director.

Vriens and Dan Eisenhauer, director of Mental Health & Mental Retardation services, answered questions about the loan before the commissioners at their Wednesday meeting.

The $15.5 million figure is based on estimates from Mental Health & Mental Retardation services on the costs of continued services, but budgets for the offices of Children & Youth Services, the Area Agency on Aging and Drug & Alcohol Services are also in jeopardy, Vriens said. The money will be spread among all four.

Commissioner Nick DiFrancesco cautioned the county administrators to cut back on costs wherever possible, in anticipation of additional cuts when a budget is passed.

Eisenhauer assured the commissioners that necessary cuts have already been made. "We will manage this judiciously," he said. "It's September and we haven't borrowed a single penny. Our intention isn't to borrow the maximum amount of funds."