Westmoreland County leaders huddled for more than an hour Wednesday to begin working on a playbook to ensure essential programs and services continue locally if the state legislature fails to adopt a budget.

“We are prepared for it and we want to make sure we have enough money in our general fund to cover shortfalls,” Commissioner Sean Kertes said.

Although both houses have passed a budget, the enabling legislation to implement it is tied up in a dispute between Senate Republicans and Democratic Gov. Josh Shapiro. Meanwhile, Democratic state Rep. Sara Innamorato has resigned to run for Allegheny County executive, leaving the House with 101 Democrats and 101 Republicans.

The $420 million county budget approved in December relies on $83 million in state funding, county finance director Meghan McCandless said. Eight years ago, when the Legislature was in a prolonged budget impasse, officials feared critical social services and other essential programs were in jeopardy of ceasing operations.

About $18 million for the county’s children’s bureau, aging department, behavioral health services and other social service programs is expected to be the first tranche of funds delayed by the budget stalemate. That money is slated to be received in August, along with other anticipated payments this fall. Those funds help pay for key county programs, including the elections bureau.

“Until cash flow is an issue I don’t think we’ll have to make any major decisions. I don’t think cash flow will be a problem until the end of the year,” McCandless said. “There is no immediate concern, but if it (the stalemate) continues, we’ll have to lean on our general funds and we’ll have to determine how we can postpone some payments and prioritize others.”

Even with more than half of the fiscal year in the rear view mirror, the county’s budgetary resources remain on solid ground, officials said.

The county entered 2023 with a $7 million surplus that can be used to cover payments during the budget impasse. McCandless said the county also can borrow from funds it has banked for other purposes, such as about $45 million in covid-relief funds that are earning interest while commissioners consider uses for the money.

Officials will rely on a blueprint enacted during the nine-month state budget impasse from 2015 and into 2016 that halted the flow of funds into county government. That plan included the creation of a priority system for payments to service providers, and some service cuts. Those included the temporary closings of several senior centers, halting of purchases, restrictions on travel and other financial limits on nonessential programs.

Former Commissioner Ted Kopas, who served in office during that impasse and will returned to office Wednesday, Aug. 1, after being appointed to replace resigning Commissioner Gina Cerilli Thrasher, said officials used county tax dollars to front payments to service providers.

“It was very difficult and (the impasse) put life-sustaining services the county provides at risk. We borrowed from ourselves and repaid the money (into the budget) when the state budget passed,” Kopas said. “The frustrating part of this is everyone knows that the budget will get passed eventually.”

The county could consider a loan this year or in early 2024 if the budget dispute lingers.

“We are required to provide various human services across the county and that will continue,” said Commissioner Doug Chew. “We can withstand a couple of months delay, but after that we’d need to look at a tax anticipation note or (a) similar funding mechanism.”

Kertes, who served as chief of staff to then-Commissioner Charles Anderson during the previous prolonged budget impasse, said residents who rely on county services need not worry, for now.

“We can weather the storm for the next two to three months. After that, we will have to make some tough decisions,” Kertes said.

Allegheny County will conduct a special election Sept. 19 to fill Innamorato’s seat, one week before the House’s scheduled return Sept. 26 from an unduly long summer recess. The Senate is scheduled to return Sept. 18.

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