But this wasn't a false statement of fact. The person that reported stated their opinion to CPS that there was an issue and may or may not have repeated that opinion to neighbors. The OP has not even stated that the reporter told anyone anything that wasn't the truth. It simply didn't rise to the level that the CPS did anything about it.
And the point I was making in the first place was that the OPs own words could be used as a defense in any legal case.
We don't know what the neighbor has said. We don't know if what he said was true or pure opinion (opinion that does not state or imply false fact).
We know that CPS determined the neighbor's report unfounded. The report is immune from suit anyway, without proof it was made with actual malice.
We know that TillbyA's neighbor has spoken to others about her - comments that are NOT privileged - and we know TillbyA has experienced shunning in her community.
Connecting all of this to support a defamation lawsuit would not necessarily be easy nor would it necessarily be a successful or worthwhile pursuit.