Hundreds of refugees who recently arrived in Iowa may lose housing, other support after Trump halts federal aid

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A Cedar Rapids-based refugee resettlement nonprofit says it will layoff 20 staff members, and hundreds of refugees who recently arrived in Iowa may lose support for basic necessities like food, rent and utilities after President Donald Trump’s administration halted federal funding for resettlement agencies.

Federally funded government assistance that helps refugees who recently arrived in the United States ceased Friday, Jan. 24.

A letter sent to resettlement agencies from the U.S. State Department stated federal funds for refugee assistance was “immediately suspended” pending a review of foreign assistance programs, which Trump ordered over a 90-day period, the Associated Press reported. The letter stated a decision will then be made on whether the funding would be restored, altered or cut entirely.

Agencies must immediately “stop all work” and “not incur any new costs” and “must cancel as many outstanding obligations as possible,” according to the AP.

“It’s really devastating, but we are resolved to continue to work,” said Anne Dugger, executive director of the Catherine McAuley Center, a Cedar Rapids nonprofit that provides services for refugees and immigrants.

The freeze comes after Trump signed an executive order Jan. 20 that indefinitely suspends the admittance of new refugees into the United States. The order suspends the U.S. Refugee Admissions Program, canceling travel for all new arrivals, “until such time as the further entry into the United States of refugees aligns with the interests of the United States.”

The federal refugee program — a form of legal migration to the U.S. — has been in place since 1980 and assists those who have fled war, violence or persecution in their home countries. They undergo rigorous vetting prior to receiving U.S. approval to enter the country as a refugee, and are distinct from asylum-seekers, immigrants and migrants. They can apply for lawful permanent resident status, also known as a green card, after living in the country for at least one year.

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Most refugees who enter the U.S. refugee admissions program are referred by the U.N. refugee agency, a U.S. embassy or an approved humanitarian aid organization. The process includes exhaustive screening by U.S. government agencies including the Department of Homeland Security and the FBI.

The 18-month to two-year screening process includes background and biometric security checks, fingerprint verifications, medical screening and in-person interviews.

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The funding freeze impacts about 500 newly arrived refugees throughout Iowa, leaving organizations without money to pay for housing, food, transportation, interpretation assistance and case management, according to Refugee Alliance of Central Iowa.

Iowa has seven refugee resettlement sites in Cedar Rapids, Des Moines, Iowa City, Sioux City, Davenport and Waterloo.

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‘We offered them a place. ... We need to honor that commitment’

Each of the agencies has been adjusting to try to help cover expenses where possible, but help is needed, according the alliance. Without federal aid, nonprofit officials said they must now subsist primarily from donations and private grants.

Dugger said the Catherine McAuley Center faces significant challenges due to the withdrawal of federal funding, which constituted 60 percent of the organization’s budget.

That will lead to layoffs, reducing their staff from 44 to 24, Dugger told The Gazette. She said the center will be down to 27 staff members by Tuesday, with some additional layoffs to follow. The center will continue women's and education services funded through private grants, she said.

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More than 100 individuals and families will be affected, including five families recently resettled from countries including Afghanistan, Ukriane, the Democratic Republic of the Congo, Burma, Sudan and South Sudan, Dugger said. The last family arrived on Jan. 14.

“They are coming from, often, refugee camps where they've waited on average about 17 years to get here,” Dugger said. “They are coming from, obviously, war, from poverty, from religious discrimination. So they're coming from situations that are particularly terrible and things that we can't even understand, I think, in our day to day here in Cedar Rapids.”

The federal aid provides up to 90 days of resettlement services to refugees and also helps refugees connect with long-term community support.

Dugger said the center still is in the process of finding permanent housing for the five newly arrived families, but will not be reimbursed for the expense and will pay out of pocket.

“We offered them a place. We committed to that as a country,” Dugger said. “Whether or not the politics get involved is something else. But if nothing else, we need to honor that commitment for these people that we just brought in. ... If this resettlement was going to stop and this funding was going to stop, I would have preferred to have the full 90 days just so we could get people, again, squared away and taken care of and honor that commitment that we made.”

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She said some laid off staff members have stayed on as volunteers to continue to assist new families.

“They are pretty resolved to make sure our families and the people that we care about so much in our community are taken care of and can be part of our community,” Dugger said.

“It's been a roller coaster,” Dugger said. “We’ve been through every emotion this past week and trying to get good information we can understand.”

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Refugee resettlement agencies scramble

Nick Wuertz, director of refugee services at Lutheran Services in Iowa, said federal funds are the lifeline that allow new refugees to get their footing in their new communities.

The halted funding leaves 191 refugees — including 108 children — that LSI recently helped resettle at locations in Des Moines, Sioux City and Waterloo without assistance to cover basic living expenses while they find employment. The funds also allow LSI to cover operations expenses to provide case management, transportation, interpretation and other supportive services.

Of the 191 newly-arrived refugees, 127 have just arrived within the last 30 days, Wuertz said.

The same grants also fund the initial resettlement costs of those arriving with Special Immigrant Visas, most of whom Wuertz said are Afghans who aided U.S. armed forces or otherwise helped the U.S. government against the Taliban in Afghanistan.

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“So you know, we're really frustrated and dumbfounded with the decision,” he said. “But as an organization, (we are) trying to maintain our commitment to the families and continue to provide services. But we really can't do that without the generous support of every community to kind of rally behind us and the families.”

Despite the challenges, Wuertz said LSI has not laid off staff and remains steadfast in its commitment to supporting refugee families and fulfilling its mission, but needs help to do so.

“We are reaching out to our local communities and donors and supporters to help kind of fill the gap that's been left for the clients and for our operations,” he said. “They are folks that we have invited here. We welcome them here. ... There was money budgeted by Congress already. The funds are there. They're available. They've been budgeted to be able to serve these families. But this stop order is just, again, pulling the rug out from under them and organizations and communities that are working with these new families.”

Wuerz said the funding freeze will likely cause a ripple effect that will put additional pressure on other community resources and nonprofits that are less equipped than the resettlement agencies to facilitate those services.

“It’s mind boggling, because, again, the funds are there. They were allocated by Congress,” he said. “And it's just really difficult to understand why the State Department would not allow us, or would not desire, to fulfill our commitment to the people that we've just welcomed here.”

International Rescue Committee Iowa Executive Director Sarah Terlouw declined to comment for this story. IRC provides refugee resettlement services in Des Moines and Iowa City.

The Associated Press contributed to this report.

Comments: (319) 398-8499; tom.barton@thegazette.com