/After scrambling for funds, Child Protection Services still needs $12 million from state

After scrambling for funds, Child Protection Services still needs $12 million from state

This revision is primarily due to the influx of federal funds. However, the agency told the House Appropriations Committee Tuesday that it also plans on making approximately $8 million in internal reductions this fiscal year. While a $12 million pill is easier to swallow than a pill three times its size in volume, lawmakers still haven’t decided where the money will come from in a tight year. John Read, R. Gautier, House Appropriations Chairman said that “But we’re going have to come up with them.” “I can’t tell where it’s coming from right now. We’ll be looking at all sides. This is all that we can do.” Child Protection Services tried a variety of approaches to reduce the deficit. But the real solution lies in lobbying the Legislature for reversal of the original action, which was to spin Child Protection Services from the Department of Human Services. Although the Legislature voted in 2016 to split Child Protection Services from the Department of Human Services, the root of the current financial crisis stems back to 2004, when six foster children sued the state of Mississippi over failing to provide adequate care for their children. The plaintiffs, collectively known as Olivia Y, were sided by a federal court. The settlement completely remade the agency. It mandated everything, from the minimum staffing levels to the allocation of money. However, the most significant change was that the Legislature had to create a separate agency for the Child and Family Services division. Previously, it was a part of the larger Department of Human Services. Legislators admit that they might have missed a crucial element of any agency’s funding system in their rush to comply with settlement. According to Jess Dickinson (the agency’s commissioner), the Department of Human Services is eligible for federal matching funds at a higher rate than Child Protection Services – 50% vs. nine percent. Child Protection Services will no longer be eligible for federal funding if the two agencies are separated. “We thought that we could do this on our own,” Senator Terry Burton, R. Newton, stated earlier in the month. “I’m telling it as it is.” This question has been a central part of many discussions on how the agency will address the problem. Dickinson, who assumed the position of agency commissioner in September told House members that it was “clear to me from a commercial standpoint that Child Protection Services is headed for a disaster.” On Tuesday, Rep. Preston Sullivan (D-Okolona) put a finer point on the matter, asking if David Chandler, his predecessor, should be held responsible for the deficit. Your situation is similar to inheriting a farm and not knowing the amount of the mortgage. Mr. Davis’s agency will help you. So, I wonder what this is going to do for his agency. Someone has to take the loss, as that’s a lot of cash.” (John Davis is the head of the Department of Human Services. Dickinson answered that the Legislature was responsible. Dickinson stated, “I believe Dr. Chandler ran CPS and they told the Legislature that in order to comply with the demands of the litigation, the agency would need an additional $70 million.” “I believe the Legislature appropriated $32 million more (to the agency). Fourteen million was taken away from that amount the following year.” Buck Clarke (R-Hollanddale), Senate Appropriations Chair, strongly disagreed. He stated that the $14 million Dickinson referred to was in fact $12 million, and that it was only money that was needed for the cost of starting the agency. Clarke stated that they gave them everything they requested. Clarke said that they knew they were subject to a court order. Caring for children can be costly for the state. According to the agency, 5,800 children are currently in state custody. For a healthy child, the cost of care can be as low as $700 per month and as high as $60,000 for special needs children. Initial estimates by the agency were that the deficit would be $52million. The Department of Human Services quickly stepped in, committing $13.8million, bringing the deficit down to just under $38 million. This is the same level it was two weeks ago, when the agency presented to the Senate Appropriations Subcommittee. The agency claimed that it has cancelled over $3 million worth of contracts since then. One million dollars was paid to a company for the recruitment of foster homes. Dickinson also said that another multi-million-dollar contract was awarded to the University of Mississippi for staff training. These functions will now be performed by in-house staff. In addition to a hiring freeze, the agency also delayed implementation of a new computer system across the agency until next fiscal year. This has saved $5 million. Dickinson stated that if the agency is relegated to a sub-agency of the Department of Human Services, the budget deficit will be addressed for fiscal year 2019. Dickinson stated that the current computer system is more than three decades old. It has a green screen with a blinking cursor and is difficult to use by employees.” The Olivia Y settlement required that staffing be increased. Dickinson stated that the agency needs to continue to hire 240 caseworkers, and 60 supervisors in order to meet its compliance obligations. Dickinson stated that “Officially, any action we take that affects our ability respond to a claim is unacceptable to us.” The fact that we are imposing a hiring freeze is not going to be liked by the plaintiffs’ lawyers. They won’t like that we are delaying the implementation of (the new system). They’ll understand that there’s nothing they can do about it.” Andy Gipson (R-Braxton), has written a bill to reverse the separation between the two agencies. This bill has broad legislative support and would be in effect immediately after it is passed. The agency will then be eligible for additional federal funds for this fiscal year. Davis anticipates that his agency will raise an additional $8 million due to this and the “backroom processes” of moving some Child Protection Services employees and services into “cost pools” under Department of Human Services. This amounts to a total contribution of $22 million from the Department of Human Services. The $12 million state appropriation would provide the rest of the funding. The federal match rate for the agency will rise to 50 percent once it is made a sub-agency of Department of Human Services. This means that the $12 million state contribution becomes $24 million in federal funds and $24 million in state funds. Dickinson acknowledged the fact that other agencies and the Department of Human Services would take a significant hit in order to support his agency. It’s not free money. It will cause people pain,” Dickinson stated. “But you have to decide priorities, and taking care of these kids is the most important priority. Support this work by making a regular donation today to celebrate our Spring Member Drive. This will allow us to continue important work such as this story. Our reporters give a human face to policy’s impact on everyday Mississippians by listening more closely and understanding their communities. To ensure that our work is aligned with the priorities and needs of Mississippians, we are listening to you. Click the button below to let us know what you think. Republish this Story