During a work session held by the Archuleta County Board of County Commissioners (BoCC) on Feb. 4, the BoCC discussed potential impacts of the federal funding freeze issued by President Donald Trump and the White House Office of Management and Budget (OMB) on Jan. 27.
County Attorney Todd Weaver prefaced the discussion by explaining that two of the county’s departments — the Department of Human Services and the Public Health Department — receive a “significant amount of state funding,” which he further explained originates as federal funding.
“A lot of that state funding comes from federal. It’s federal funding,” he added.
Weaver estimated that 50 to 75 percent of those two county departments’ funding comes from federal funding sources.
Public Health Director Ashley Wilson confirmed that 50 percent of public health’s budget is a federal pass-through.
Weaver noted that a pause on federal funding would “dramatically impact” those two departments and went on to mention, “That’s not it.”
He explained that the county’s airport, transportation department and courthouse security are funded through federal funding.
“That is a federal grant. It covers the cost of deputies there to provide security to judges at our own courthouse,” he said, adding, “So, you can see the impact a freeze on federal funding could have.”
Weaver mentioned that it was for those reasons the county was having a discussion about the federal funding freeze.
Weaver went on to explain that after the OMB issued its memo detailing the requirements of federal agencies to report back certain information, “no surprise, lawsuits were filed.”
He indicated that a lawsuit was filed by nonprofits and a lawsuit was filed in Rhode Island district court by 22 states and the District of Columbia, including Colorado.
Federal judges blocked the funding freeze from going into effect, and the memo outlining the freeze was rescinded.
A press release from Colorado Attorney General Phil Weiser’s office issued on Jan. 31 states, “The White House’s illegal order created considerable confusion and would have had immediate harmful impacts on Coloradans who depend on federal programs for basic needs.”
During the work session, Weaver explained that a temporary restraining order was issued on Jan. 31, “basically restraining the federal government from freezing any funding to the plaintiffs in the case, which includes the state of Colorado.”
He indicated that a temporary restraining order typically has a “short” time frame and the next step is for the states to file a motion for preliminary junction.
“And I do believe a preliminary junction, and usually a preliminary junction stays in place until the case is resolved,” he said.
Weaver indicated that the case could “very likely” go to the U.S. Supreme Court, which could be up to a year from now.
Weaver also mentioned that the county will likely not have to worry about a funding freeze for “a significant amount of time,” estimating six months to a year.
County Finance Director Chad Eaton indicated that in 2023 the county received approximately $2.3 million in federal funding, which increased “more closer” to $3 million in 2024 from funding received for the county’s new transit center.
He noted those amounts do not include funds received from the Payment in Lieu of Taxes program.
Commissioner Warren Brown asked if this would have any affect on the county’s ability to request additional funds from the Colorado Department of Transportation for the transportation building, “which we still have on the table,” noting the county is waiting on a final cost to make that request.
Eaton indicated that “it could,” but with the project already in process, he did not anticipate any issues.
Eaton also noted that federal funding covers wages and certain programs in the county’s Department of Human Services, mentioning that, “after this year, if there is anything continuing, there is concerns.”
clayton@pagosasun.com
