by Jolene Toves

Guam - Sequestration has been a hot topic. On everyone's mind is how it will impact local government agencies and the federally funded programs that assist hundreds of island residents. Making sense out of the effects from the cuts is Department of Public Health and Social Services director James Gillan, who said, "They have an overall reduction of about $143,000 doesn't seem like a lot when you are looking at the senior citizens program because that's funded about $7 million, but most of that is local so that when you reduce the federal portion the impact is even higher."

DPHSS is left with finding ways to fund the shortfall by adding more local funds or cutting the programs. That means starting April 1, the cuts must be absorbed in the remaining six months of the year, making the five percent cut feel more like a 10% cut. What does DPHSS plan to do? "Our plan right now is to see whether or not we can find out of any lapsed funds locally to see if we can match up that loss and not cut any program but we may have to curb tail some services in our senior citizens program," said Gillan.

One area that may see a cut is the senior citizens transportation services reducing services by one day a week. A limit on the number of meals served at senior citizen centers and home delivered meals. Gillan is hopeful that his agency is able to find local funding. DPHSS was informed by the federal government about a week ago of the cuts and is determining a plan of action.

"So if we decide to do this we've got from today until the first of April as far as nutrition services go and more time on the transportation services probably the 29th of April," he said. Gillan is still waiting for a response from Adelup to determine the best plan of action, but foresees challenges, noting, "One of the challenges that we have is because our budgets are cut really thin, we don't have a lot of excess what they call lapse funds because our budgets are really tight so finding the local answer to the federal reduction of money is going to be very difficult."

Meanwhile in the welfare programs the benefit portions are not being touched, however some of the administrative expenses may be looking at an annual cut of about 10 percent. Gillan has identified some lapse funds from the 2012 budget, which can cover funding shortfalls through 2013. Gillan does express concerns over the 2014 fiscal year budget. Public Health services is another story.

As of right now he does not have a clear picture - funding cuts in this sector may result in DPHSS not funding one staff position or hiring any new staff positions. Gillan's main concern is that services such as the immunization program do not see cuts.