Catholic Charities Western Washington CEO: Federal funding uncertainty ‘a big dilemma’

NEW YORK – As Jilma Meneses settles into her role at the helm of Catholic Charities of Western Washington, she says her top priority is to establish the organization’s sustainability plan for the future, as the uncertainty around potential federal cuts looms.

Like Catholic Charities branches nationwide, Catholic Charities of Western Washington – encompassing the areas covered by the Archdiocese of Seattle – operates a number of its services through federal and state contracts. For Meneses, the question now is if/how the organization can provide those services if those contracts disappear.

To find out, and prepare, the organization is creating budget scenarios on the impacts to the organization’s programs, and people, for budget cuts from 0-50 percent.

“Nobody wants to cut 50 percent, and I hope that doesn’t happen, but if we do, at least we will know what the impacts are ahead of time and we’ll be prepared. Same for if there are 25 percent cuts, 10 percent, cuts – whatever it is,” Meneses told Crux on March 25.

Since the Trump administration took office in January, and subsequently taken a hatchet to aspects of federal spending deemed unnecessary, Catholic Charities organizations nationwide have been forced to lay off employees and shutdown programs. Specifically, organizations have been forced to make cuts to their refugee resettlement and immigrant services.

The immigration cuts are one thing Meneses said she is concerned about. The other, is the potential that cuts could be made to the Center for Medicare and Medicaid Services (CMS) – the federal entity that reimburses Catholic Charities of Western Washington for a lot of the health services it provides, especially to the elderly and persons with disabilities.

“All of that’s in jeopardy. That’s the biggest threat. That’s the biggest challenge,” Meneses said.

“It’s unfortunate because the impact of that is going to be more people living in poverty, more people suffering from hunger, more people getting unhoused, in the event that the federal government decides to act on their threat,” she said.

The Trump administration, on March 11, published a “fact check” stating that it will not cut Social Security, Medicare or Medicaid benefits, instead arguing that it seeks to eliminate “waste, fraud, and abuse in government spending” related to the programs. President Donald Trump has, however, endorsed the House budget proposal that includes $880 billion in cuts to Medicaid.

Last March, while President Joe Biden was still in office, Catholic Charities Archdiocese of Chicago announced that it had decided to transition out of 75 government contracts, with its leadership citing an “increasingly complex and uncertain government funding.”

One can say that decision was made with some foresight, though it was impossible for the organization to know what was coming down the pike a year later. Still, Sally Blount, the president and CEO of Catholic Charities Archdiocese of Chicago, said that reducing the organization’s footprint as a government contractor allows it to refocus its efforts to provide services as a private humanitarian organization.

Asked if that kind of change is possible with Catholic Charities of Western Washington, Meneses noted that type of change wouldn’t be as easy given the organization’s larger size. However, she acknowledged the organization is exploring alternatives to government contracts.

“I’ve actually already started talking to colleagues internally about being more entrepreneurial, finding other types of funding whether it’s in an entrepreneurial fashion or some other private grants,” Meneses explained. “But unfortunately, we’re close to $500 million and there’s no way we’re going to raise $500 million a year, immediately anyways, of private money, and we do rely on a considerable amount of federal and state funding.”

Citing CMS reimbursements for health services, Meneses added: “If the federal government cuts all that, these folks on Medicaid don’t have private pay insurance, and they can’t pay us, and if they can’t pay us, then either we have to raise the money to subsidize that work, or not do it.”

“So, that’s a big dilemma,” she said.

Meneses took over as president and CEO of Catholic Charities of Western Washington – consisting of Catholic Community Services of Western Washington, the Archdiocesan Housing Authority, and the Catholic Charities Foundation – on March 1.

Most recently, she completed a term as the secretary for the Washington State Department of Social and Health Services – a role she was appointed to by former Gov. Jay Inslee. Prior, she served as the CEO at Catholic Charities of San Francisco, Marin and San Mateo.

Given her experience, Archbishop Paul Etienne called her a “providential fit” for the role.

Meneses said she is excited to be back with a faith-based organization.

“In the secular world, there’s often an atmosphere where people do things for political reasons and that was not me,” she explained. “I am a believer that when you serve people you serve people, not politicians, not political structures, and for me Catholic Charities and other faith-based organizations that serve communities are truly about serving the people in a way that we’ve been taught in our faith.”

That said, Meneses also highlighted the importance of Catholic Charities of Western Washington working with the state government to serve those in need. She said that because of her previous role with the state she can’t lead negotiations between the two sides for the first year, but will certainly make introductions and counsel both sides on how best to work together.

“I think like the former governor the new governor is possibly interested in the same things that we are, and that is providing services to Washingtonians, so it’s in their interest to partner with us, just as it is in our interest to partner with them,” Meneses said.

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