Sequester could affect local businesses in Evansville - 14 News, WFIE, Evansville, Henderson, Owensboro

Sequester could affect local businesses in Evansville

Posted: Updated:

Local agencies are starting to calculate how the sequester will effect their budgets.

The Head Start Pre-School serves more than 550 students and if the budget cuts are passed, two classes will have to be cut and several staff members will lose their jobs.

The Community Action Program of Evansville (CAPE) received between $10-million and $11-million in federal funding and the cuts would eliminate between $300,000 and $400,000.

It's only about 5% of the total budget, but officials say it will impact the head start program as well as Home Weatherization programs, House Developments, and Summer Cooling, which provides fans and funds to pay air conditioning bills.

Despite how cold it is now, officials say they are already seeing a demand for the summer assistance.

Officials say the energy assistance program will take the biggest hit.

"It would be about $100,000, which mean 333 people would not receive energy assistance," says CAPE's Alice Weathers.

The Ark Crisis Child Care Center, just across the street from CAPE's Head Start Pre-School, receives a very small portion of federal funding that likely will not be cut.

But when individual clients are affected by the budget cuts, they will likely see a greater need in assistance.

Copyright 2013 WFIE. All rights reserved.

Powered by WorldNow