Community Action faces nearly $1 million reduction in federal funding

Press Release, Community Action of Orleans and Genesee

File photo by Tom Rivers: Renee Hungerford, executive director of Community Action of Orleans and Genesee, in shown in 2025 standing outside the Head Start school on East State Street in Albion.

ALBION – Community Action of Orleans and Genesee is currently assessing the impact of a significant reduction in federal Head Start funding that will affect the organization’s operations, staffing, and future planning.

The reduction totals nearly $1 million, representing approximately one-third of the agency’s Head Start funding. As Head Start accounts for more than half of Community Action of Orleans and Genesee’s overall operating budget, the impact extends beyond a single program and presents challenges for the organization as a whole.

“While this funding reduction is occurring within the Head Start program, it is important to understand that no challenge affects only one area of Community Action of Orleans and Genesee,” said Renee Hungerford, Executive Director/CEO. “We operate as one agency, and changes of this magnitude create ripple effects across our organization.”

In addition to the direct reduction in program funding, administrative funding associated with federal grants is also affected proportionally, creating further financial implications that must be carefully evaluated.

The funding reduction stems primarily from enrollment challenges that have affected Head Start programs in communities across the country. Locally, Community Action of Orleans and Genesee has found it increasingly difficult to maintain full enrollment as more families find themselves caught on the benefits cliff, earning too much to qualify for Head Start services while still not earning enough to comfortably afford childcare and other basic necessities.

These are often minimum wage earners. At the same time, the expansion of Universal Pre-K programs that provide transportation has become the most practical option for many families. Community Action of Orleans and Genesee’s current funding structure makes it increasingly difficult to sustain the cost of busing, creating an additional challenge in serving families who need reliable transportation for their children.

“Our families are making the best decisions they can for their children,” Hungerford said. “When transportation is provided through another program, parents often have little choice but to enroll there. Unfortunately, the current funding model does not adequately account for the rising costs of transportation, facilities, insurance, supplies, and utilities, making it increasingly difficult to sustain services while remaining competitive with other early childhood programs.”

While enrollment has declined, Hungerford emphasized that the funding reduction is not a reflection of program performance or community need.

“The reality is that Head Start remains critically important in our community,” Hungerford said. “The challenge is that eligibility rules and economic realities have changed. Many working families no longer qualify even though they continue to struggle financially. At the same time, transportation has become an increasingly important factor in parents’ choice of early childhood programs.”

Hungerford also noted that Head Start provides far more than preschool services.

“Head Start is much more than Pre-K,” she said. “It is a comprehensive child and family development program. We provide education, health screenings, dental referrals, family support services, and resources that help parents achieve greater stability and independence. The impact extends well beyond the classroom.”

During Program Year 2025-2026, Community Action of Orleans and Genesee’s Head Start program demonstrated significant outcomes for children and families:

• 32% of preschool children successfully transitioned to kindergarten with improved school readiness skills, while another 42% will return for a second year of Head Start services to continue their development.
• 100% of enrolled children received preventive health screenings.
• 76 children were brought up to date on age-appropriate immunizations through coordination with healthcare providers.
• 49% of Head Start children received dental examinations and follow-up care in a region where access to pediatric dental services remains extremely limited.
• 80% of families participated in family engagement activities.
• 100% of families established and made progress toward family partnership goals related to employment, education, parenting, school readiness, housing stability, or financial well-being.

Community Action of Orleans and Genesee also notes that federal funding reductions are typically calculated using a per-child formula. However, those calculations do not adequately account for fixed costs that continue regardless of enrollment levels, including facilities, transportation, utilities, insurance, regulatory compliance, educational materials, and other operational expenses. As a result, the financial impact of enrollment-based funding reductions often exceeds what the formula suggests.

Community Action of Orleans and Genesee’s leadership team is actively reviewing all available options and advocating for every opportunity to lessen the impact of the reduction. Hungerford has begun reaching out to federal, state, and local elected officials to seek assistance and support in protecting critical services that benefit children, families, and communities throughout the region.

“This funding reduction affects far more than our organization,” Hungerford said. “It impacts the children we educate, the families we support, and the communities our elected officials serve. I am asking our federal, state, and local leaders to work with us to protect these vital resources for their constituents and help ensure that vulnerable families do not bear the burden of these cuts.”

Hungerford also expressed gratitude for the support already received from local leaders.

“We are thankful to Orleans County Legislature Chairman Lynne Johnson for her support of our advocacy efforts and her recognition of the importance of preserving these resources for our community,” Hungerford said. “Strong partnerships with local elected officials are critical as we work together to protect services that benefit children, families, and vulnerable residents throughout Orleans County and Genesee County.”

The agency is conducting a thorough assessment of financial and operational implications while pursuing every available avenue to preserve funding and minimize impacts on employees, services, and the families who depend on Community Action of Orleans and Genesee’s programs.

“These are difficult conversations, and we recognize the uncertainty they create for our staff, our families, and our community partners,” Hungerford said. “Our commitment is to approach every decision thoughtfully, strategically, and with the long-term sustainability of the agency in mind.”

Despite this challenge, Community Action of Orleans and Genesee remains focused on its mission and its commitment to helping local residents overcome barriers and achieve self-sufficiency.

“Community Action has weathered challenges before, and what has always carried us forward is the strength of our people,” Hungerford said. “Every day, our staff make a meaningful difference in the lives of children, families, and individuals across our communities. We remain committed to serving those who depend on us.”

Community Action of Orleans and Genesee will continue to provide updates as additional information becomes available and decisions are made.