Grant County Shifts SRS Funds to Law Enforcement

County leaders say budget pressures require prioritizing law enforcement over street allocations

Published on Feb. 20, 2026

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The Grant County Court has voted to withhold more than $400,000 in Secure Rural Schools (SRS) funds from cities for their streets, including the city of John Day. County Judge Jim Hamsher cited budget pressures and the need to fund the county's law enforcement as the reasons for the decision.

Why it matters

SRS funding has traditionally been used to support city street budgets in Grant County, but the county is now shifting those funds to law enforcement due to budget constraints. This decision will significantly impact the budgets of cities like John Day, which relied on the SRS allocations for over half of their street maintenance funding.

The details

The Grant County Court voted unanimously to allocate just over $54,000 in SRS funds to the Grant County Education Service District for internet services, but will withhold the rest of the SRS funds from cities. County Judge Jim Hamsher said the county can no longer subsidize city road departments and adequately pay for the county's law enforcement officers. He hopes to set up a program where cities can propose projects to the county, which would then reward funds to the most compelling proposals.

  • The Grant County Court made the decision at its February 18, 2026 meeting.
  • The county will receive its first SRS payment at the end of February 2026 and its second payment sometime in April 2026.

The players

Grant County Court

The governing body of Grant County, Oregon that made the decision to withhold SRS funds from cities and allocate them to law enforcement.

Jim Hamsher

The Grant County Judge who cited budget pressures and the need to fund law enforcement as the reasons for the decision to withhold SRS funds from cities.

Julie Ellison

The Grant County Treasurer who asked the court for guidance on allocating the newly received SRS funds.

Melissa Bethel

The John Day City Manager who said the loss of SRS funding will hurt the city's street maintenance budget badly.

Grant County Education Service District

The organization that will receive $54,000 in SRS funds for internet services.

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What they’re saying

“We have to be able to pay our law enforcement personnel. We have to keep the cities in our county safe.”

— Jim Hamsher, Grant County Judge (bluemountaineagle.com)

“That money allows us to fill potholes, correct asphalt deficiencies, save up for roads that need to be repaired, snowplow, sand, and buy gravel and materials. When you think about it and put it all together, by not getting that money, you are basically cutting the city of John Day's street fund.”

— Melissa Bethel, John Day City Manager (bluemountaineagle.com)

“This is going to hurt us badly.”

— Melissa Bethel, John Day City Manager (bluemountaineagle.com)

What’s next

The county plans to set up a program where cities can propose projects to the county, which would then reward funds to the most compelling proposals.

The takeaway

This decision highlights the budget challenges facing rural counties, where difficult tradeoffs must be made between funding essential services like law enforcement and supporting city infrastructure. The impact on cities like John Day underscores the importance of collaborative regional planning to ensure equitable distribution of limited resources.