L.A. City Councilmember Huizar Works with City to Find Loans to Continue Senior Meals Services
L.A. City Councilmember José Huizar introduced emergency loan motion and worked with City Staff to successfully identify $3.6 million to cover City Senior meal programs and other services set to run out due to State budget stalemate.
- Los Angeles-Long Beach, CA (1888PressRelease) October 01, 2010 - A week after Councilmember José Huizar introduced City legislation directing City staff to quickly find money that could be used as loans to continue funding critical Senior meal programs and other services, $3.6 million in City funds have been identified.
Councilmember Huizar took the action to ensure that Senior meal programs in the City of Los Angeles see no disruption in services due to the state budget stalemate, with the state holding up federal funding that organizations in Los Angeles depend on to provide Senior meal services, as well as Senior multi-purpose centers and job training programs. The meal services often represent the only hot meal many Seniors receive. Councilmember Huizar introduced follow-up legislation Wednesday to formally request the loans be approved by the City, as well as a resolution seeking support for state legislation to separate the federal funds from the state's budget action in the future.
"I want to thank City staff who worked with my office to quickly identify these bridge loans," said Councilmember Huizar. "While the loans will have no financial impact on our own City budget, they will have an enormous impact on our Seniors, ensuring that the vital services they depend on, especially our Senior meal programs, will continue uninterrupted regardless if the state acts or not."
The recently concluded legislative session in Sacramento ended without any action to reauthorize federal funds for meal-assistance programs, which expired on September 1. This means that the 6,700 elderly Los Angeles residents who rely on this program for sustenance were at risk of going hungry until the State passes a budget, with some service-providing organizations facing shutting down operations by October if they did not receive some form of financial help.
The City of Los Angeles receives $14.6 million annually for this program, which provides 3,520 meals a day at dining centers and 3,221 more to home bound Seniors. The Department of Aging called the various agencies that provide these services and determined that $3.6 million will allow them to continue operating without the federal funds through the end of December 2010.
Another program impacted by the State's cash flow problem is Title V - the Senior Community Services Employment Program (SCSEP), which is a job-skills training program for low-income Seniors who receive a training stipend while they gain on-the-job training experience. A bridge loan for this program ran out two weeks ago. Seniors Multi-Purpose Center Services are also affected by the funding freeze.
The bridge loans come from $2.3 million in UDAG funds and $1.3 million from the Public Works Trust Fund. Once the federal funds are released by the state, those loans will be repaid.
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