Houston Health Department loses $42 million after federal COVID-19 grants canceled in Texas; job cuts expected to follow

HOUSTON – The Texas Department of State Health Services (DSHS) is reaching out to counties using COVID-era grants to stop spending those funds as it evaluates $877 million in grant cancelations by the federal government.

The Houston Health Department confirmed with KPRC 2 that they are losing $42 million. The decision comes from the U.S. Department of Health and Human Services, which oversees the grants.

The funds, originally intended for pandemic relief, are one of many federal funds under the Trump Administration that have been pulled back.

SEE ALSO: Trump administration says it will pull back billions in COVID funding from local health departments

The U.S. Department of Health and Human Services canceled $877 million in grants to the Texas Department of Health, according to the Department of Government and Efficiency’s website. (KPRC)

RELATED: What is Houston doing to address racial inequities in reproductive health?

Impact on local counties

In Fort Bend County, the health director said they will lose $659,286 which they say “poses a significant threat to the health and well-being of our community.”

“With diminished resources (both personnel and fiscal), our local health department will struggle to maintain vital programs that address pressing health issues, from managing outbreaks of infectious diseases to ensuring access to preventive care, said Dr. Letosha Gale-Lowe, Fort Bend County Health Director and Local Health Authority. “This funding cut could lead to longer wait times for services, reduced outreach efforts and the potential scaling back of crucial health initiatives that keep our community safe and informed.”

Montgomery County officials have reported that they eliminated the Health Disparities Grant Community Outreach Specialist position due to the cuts.

“This position did not exist prior to the grant funding,” a spokesperson stated.

A spokesperson for Brazoria County Judge Matt Sebesta also confirmed they were notified of cuts.

“Brazoria County Health Department has been notified that the Department of Health and Human Services has reassessed federal funding allocations,” the spokesperson said. “At this time, we are in the process of gathering more details to understand the extent of how these potential cuts could affect the public health programming and services in Brazoria County.”

SUGGESTED: ‘That formula is broken:’ American Medical Association growing frustrated with ongoing Medicare cuts

Experts have warned that this sudden funding cut could have significant repercussions for local governments.

Mark Jones, a professor in political science, says, “It’s causing governments across the entire country to have to engage in a full stop and reevaluate their spending, and in many cases, eliminate positions that they thought they would be able to have filled through the remainder of the grant period.”

Jones points out that many of “(these entities) started to spend (their Covid-19 funding) as if it was recurring funding rather than one time funding,” and those are the entities he says are finding themselves in trouble right now.

Official statements from local affected Health Departments

Fort Bend County Department of Health and Human Services

“The recent reduction in funding for local health departments poses a significant threat to the health and well-being of our community. We play an important role in protecting public health, providing essential services such as immunizations, disease prevention, health education and emergency preparedness.

“With diminished resources (both personnel and fiscal), our local health department will struggle to maintain vital programs that address pressing health issues, from managing outbreaks of infectious diseases to ensuring access to preventive care. This funding cut could lead to longer wait times for services, reduced outreach efforts and the potential scaling back of crucial health initiatives that keep our community safe and informed.

“The impact extends beyond immediate health concerns; it can also exacerbate existing disparities in healthcare access, disproportionately affecting low-income families and marginalized populations. A weakened local health infrastructure jeopardizes our collective resilience against health crises, making it more challenging to respond effectively to future public health emergencies.

“As community members, we must advocate for the restoration of funding to safeguard our health services, protect vulnerable populations and ensure that our local health departments can continue their vital work in promoting and preserving public health. The health of our community depends on it.”

Brazoria County Health Department

“Brazoria County Health Department has been notified that the Department of Health and Human Services has reassessed federal funding allocations. At this time, we are in the process of gathering more details to understand the extent of how these potential cuts could affect the public health programming and services in Brazoria County.

“As we learn more, we will have a better understanding of its impacts, and we will be better able to navigate this developing situation and the impacts it could have on the Brazoria County Health Department.”

KPRC 2′s Rilwan Balogun has reached out to Harris, Liberty and Galveston counties to see whether they were impacted, but haven’t heard back.


About the Authors
Rilwan Balogun headshot

Nigerian-born Tennessean, passionate storyteller, cinephile, and coffee addict

Loading...