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HomeMy WebLinkAboutMINUTES - 11182008 - D.2 ' r TO:' BOARD OF SUPERVISORS sE L '°� Contra FROM: DAVID TWA Costa County Administrator DATE: NOVEMBER 18, 2008 °SrA-�o;;xCount`�v` y SUBJECT: FY 2008/09 BUDGET REBALANCING — STATE CUT WORKSHOP SPECIFIC REQUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION RECOMMENDATIONS: CONSIDER cost reduction options to rebalance the FY 2008/09 budget to reflect state cuts and other revenue loss; and REQUEST direction on additional action to be taken. BACKGROUND: On October 28, 2008, the Board of Supervisors adopted FY 2008/09 local departmental cuts and associated County and Special District appropriation adjustments to rebalance the FY 2008/09 Adopted Budget. Although the Board also adopted tentative cuts to adjust for the impact of State revenue loss, because specific State allocation impacts were not yet known, the County Administrator was directed to continue to work with departments and return to the Board to adopt specific adjustments. The vast majority of allocation letters have been received. Specific program impacts include best estimates for those program areas for which an allocation letter has not yet been received. These estimates should be very close to actual amounts. The following information incorporates State cuts to date. It is important to note that these cuts only address those outlined in the State's FY 2008/09 adopted budget and have no impact on the recently projected State deficit of$28 billion, projected by the Legislative Analyst's Office. It is the County's policy not to backfill State cuts with General Fund dollars. CONTINUED ON ATTACHMENT: YES SIGNATURE: RECOMMENDATION OF COUNTY ADMINISTRATOR ❑ RECOMMENDATION OF BOARD COMMITTEE ❑ M APPROVE ❑ 07-nm SIGNATURE(S��- z I �� y ACTION OF BOARD ON ❑APPROVED AS RECOMMENDED OTHER — AV9-(-P9u � A-ITAx 9:D VOTE OF SUPERVISORS: I HEREBY CERTIFY THAT THIS IS A TRUE AND CORRECT COPY OF AN ACTION TAKEN AND UNANIMOUS(ABSENT .`wr- ENTERED ON THE MINUTES OF THE BOARD OF if SUPERVISORS ON THE DATE SHOWN. AYES: NOES: ABSENT:�ABSTAIN: ATTESTED: NOVEMBER 18, 2008 Contact: LISA DRISCOLL (925)335-1023 DAVID TWA, CLERK OF THE BOARD OF cc: County Department Heads SUPERVISORS AND COUNTY ADMINISTRATOR 19 y: Deputy Page 2 In addition to the State reductions, other revenue impacts are occurring in departments. The information below takes into account the reductions in revenue and the corresponding impact on the County's ability to match State and federal funds in the Employment and Human Services Department (EHSD) as a result of the local revenue impacts. County Administration: Impact of Reductions in EHSD The Office of Revenue Collections anticipates receiving $110,000 less in revenues from EHSD as part of the cut from the State. The Department will address this cut by eliminating two temporary, one permanent full-time and one part-time collection enforcement officer positions. Additionally, one clerk-experienced level position and one account clerk-experienced level position will be reduced to part-time. The Department anticipates making the position cuts and adjustments as of January 1 to meet the $110,000 target. Cuts of this magnitude to the Office of Revenue Collections will limit their ability to maximize collections and will result in increased workloads for remaining staff. District Attorney: State Reductions State support for the Spousal Abuse Prosecution Program (SAPP) has been reduced by $95,033. These funds are used to supplement the prosecution of domestic violence cases pursuant to the Battered Women's Protection Act of 1996. This reduction will result in the delayed investigation and prosecution of domestic violence cases. Supplemental Law Enforcement Services Funding (SLESF) from the State has been reduced by $34,000. These funds have historically supported mainline prosecution by funding one Deputy District Attorney and one Clerk-Senior Level position, which are budgeted outside of the general fund. This reduction can be absorbed by existing fund balance in fiscal year 2008/09 as the District Attorney continues to evaluate structural changes to the department for the next fiscal year. State funding for the High Tech Task Force has been reduced by $12,788. The District Attorney partners with the Marin County District Attorney's Office to investigate and prosecute high-tech crime on the internet and other forms of electronic media. This reduction can be absorbed by the unit with minimal affect to program service levels. Page 3 Impact of Reductions in EHSD Public Assistance Fraud program funding is will be reduced up to $400,000 due to reductions in the Employment and Human Services department's operational. This will result in the reduced prosecution and/or investigation of Public Assistance fraud crimes in the County. Employment and Human Services: This report includes detailed options for reductions in the Department's 2008/09 Budget in order to align expenditures with the new revenue projections. Included in these recommendations are adjustments necessary due to both State budget changes and local revenue issues independent of the State reductions. While counties are legislatively mandated to administer numerous human services programs, including Foster Care, Child Welfare Services, CaIWORKs, Adoptions and Adult Protective Services, funding for these services is frozen at 2001 cost levels. Failing to fund actual county cost increases for seven years has led to a growing funding gap — currently $33.2 million annually in Contra Costa County. This puts counties in the untenable position of backfilling the gap with their own limited resources or cutting services. The proposed reductions will have a significant impact on all aspects of the department's operation. If fully implemented, these reductions will impact the department's ability to meet minimum timeframes and standards for service delivery. State and Local Revenue and Expense Estimates The Department projects a shortfall of approximately $34 million in revenue for the current fiscal year. This includes a local shortfall of$16.3 million and $17.7 million in federal and State revenue losses. The State adjusts allocations upwards for caseload growth for all programs except Adult Protective Services, before applying any reductions. Due to these increases, the Department would receive a budget increase instead of the reduction anticipated in earlier reports. Although this appears to be good news, other factors impact local revenue required to match State and federal funds. Due to this loss of matching fund, the Department is now anticipating a loss of State and federal revenue totaling $17.7 million. Although the majority of the official State allocations letters have been received, several are still pending. Therefore the actual impact on existing funding levels may change. Best estimates have been used for those program areas for which an allocation letter has not been received. These estimates should be very close to actual amounts. . In addition to the adjustments from State allocations, the Employment and Human Services Department is also experiencing other revenue reductions. Page 4 * Reallocation revenue of $3.6 million — Reallocation revenue is the portion of unused State allocations to other counties that is redistributed to counties whose spending exceeded their allocation (overmatch). The decrease in funding is due to other counties spending more of their allocations than in the past. * Realignment revenue reduction of$5.9 million — Realignment was budgeted at the same level as in the past year. The revenue is comprised of sales tax and vehicle license fees. Due to the downturn in the economy, this revenue is anticipated to be below the prior year receipts. * Reduction in County Cost Plan revenue of $4 million - The Department anticipated a higher level of reimbursement for Countywide overhead (A-87 costs) than what was approved by the State. * Adjustment for unrealized salary savings requirement of $2.8 - Due to the downturn in the economy, staff is not leaving the Department for other opportunities at the anticipated rate. Proposal to Close the Gap Due to the seriousness of this shortfall, it is critical to act as soon as possible in order to avoid an even larger shortfall. The proposed reductions assume an implementation date of December 31, 2008. Reductions have been prioritized to take disproportionately larger cuts from administrative overhead and non-case carrying positions. However, since the majority of positions are "case- carrying" positions, these will also be impacted and could result in lower state allocations in future years. Greatest emphasis was given to "discretionary" programs and services in order to maintain the ability to meet legal mandates. A list of discretionary programs and services is provided later in this report. Strategy Total $ Coun $ FTEs Non-Labor Administrative Costs 1 $ 1,110,941 ; $ 622,1261 N/A Contracts I $ 6,209,356 ; $ 2,687,005T _N/A Administrative Positions $ 12,218,140; $ 5,921,344 j 51.0 Case Car ing Positions j $ 14,450,841 $ 7,029,811 68.1 TOTAL $ 33,989,278 $ 16,260,286 119.1 A total of 238.2 positions (199.1 full time equivalents) will be eliminated. Approximately 69 of these are currently filled and the incumbents will either be laid off or displaced into other funded positions. Note that a portion of the positions to be reduced will be covered through the elimination of temporary employees. Impact of Reductions Major areas proposed for reduction include: Administration — Reductions in staffing include information technology, public information, and contracted services. Included in the reduction of contracted services are reductions for criminal investigations and prosecution-, a reduction in the services received from the Office of Page 5 Revenue Collections; and a reduction in building maintenance provided by the General Services Department. Impacts from the reductions include: • Reduction of administrative support in the Director's Office and elimination of the Public Information Officer position will impact communications with the public. • Larger spans of control for managers and supervisors giving them less time to provide individual coaching, training, and monitoring; • Reductions in investigate staff will result in fewer criminal convictions; • Reductions in staff training for all programs at a time when the need to retrain displaced staff will be more acute; • Significant reductions in the number of"Quality Control" staff who are responsible to ensure errors in assistance payments don't exceed state and federal standards which could trigger financial sanctions; • Significant reductions in clerical support for reception and data entry, resulting in longer lines at reception counters, longer wait times for phone callers, and increased errors; • Significant reductions in clerical support for social services staff and eligibility workers requiring them to spend more time per case on administrative tasks; • Significantly reduced technical computer support to staff resulting in increased time to resolve hardware and software problems; Children and Family Services— Reductions include the elimination of case carrying and support staff who perform emergency response, staff training, and licensing. Contract reductions will impact emergency shelter group homes, tutoring services, and parent aides. In addition, the closure of two of the three receiving centers is being proposed. The one remaining receiving center in Concord will handle an increased number children, but will not be able to handle 100% of the children from the other two centers. Workers will be more dependent upon the immediate availability of foster and relative homes. The Department is also proposing the total elimination of the Adoptions Program and the Foster Home Licensing Program. It is recommended that operations for both of these programs be returned to the State of California. • Elimination of"parent aides" to support parent visitation; • Higher caseloads for Child Welfare staff resulting in longer delays in conducting child abuse investigations and reduced monitoring of children in foster care; • Reductions in case carrying staff will result in increased caseloads for remaining staff, longer wait period, longer hold times on phone calls, and longer reception lines • Larger spans of control for managers and supervisors giving them less time to provide individual coaching, training, and monitoring; • The closure of two of the County's three "receiving centers" for emergency out-of-home placements; • The elimination of the ability of the County to do its own adoptions, making it harder for foster parents to become adoptive parents; • The elimination of the ability of the County to license and use its own foster homes. Page 6 Aging and Adult Services— The Department is recommending the elimination of the contract staff who provides support to the Advisory Council on Aging, the elimination of case carrying staff, support staff, quality control staff, training staff, and a translator. • Reductions in case carrying staff will result in increased caseloads for remaining staff, longer wait period, longer hold times on phone calls, and longer reception lines. • Reduction in Adult Protective Services staff resulting in the "triaging" of referrals to focus primarily on life threatening situations with less time left over to investigate financial abuse cases; • Larger spans of control for managers and supervisors giving them less time to provide individual coaching, training, and.monitoring; • Reductions in In-Home Supportive Services [IHSS] social work staff resulting in longer wait times for new cases and for renewals; • Reductions in the staff processing IHSS provider payroll resulting in delays in payments to IHSS providers; Workforce Services— Proposed adjustments include reducing the amount of escrow funds held for the KEYS Program, reduced attendance at conferences, reductions in contracts which target pregnant and parenting teens, job search services, domestic violence counseling and support services, substance abuse screenings and psychological evaluations for General Assistance applicants, client placement and monitoring services. Elimination of the Rides to Success Program and associated taxi cab contracts which provide employment-related transportation services and the elimination of the Mobility Plus contract, and associated staff, which helps remove transportation barriers is also proposed. Elimination of the Clean Slate, criminal record/convictions expungement program provided in conjunction with the Public Defender, will result in greater barriers to employment and career advancement. • Elimination of the "Rides to Success" and other transportation assistance programs will reduce the ability of CaIWORKS clients to get jobs and training when they had neither a private vehicle nor access to public transportation; • Elimination or reduction in numerous contracts with community based programs will reduce the assistance to clients in becoming employment ready; • Larger spans of control for managers and supervisors giving them less time to provide individual coaching, training, and monitoring; • Fewer staff to process applications for financial, medical, and food assistance even though applications for assistance have increased by over 65%. Workforce Development Board—County support to the Workforce Development Board, provided mainly through the Workforce Services.Bureau, will be reduced to generate savings in the Workforce Services Bureau. This reduction in support to the Board will result in reduced services levels for contracted education, training, and employment services at a time when the demand for these services has reached their highest levels ever. Page 7 Community Services/Head Start—Although the State's budget included 6.44% across-the- board reduction for Child Development programs, the California Department of Education has designated prior years' unallocated funds in these programs to cover or mitigate the 08/09 funding shortfall. As a result, Community Services Bureau's funding reductions for FY 2008/09 amounted to only $45,727, or approximately 0.3% of the Bureau's childcare funding. This reduction will result in the elimination 1 full-day/full-year and 11 part-day/part-year subsidized slots, and the restructuring of administrative staff and teaching staff in the affected childcare centers. The proposed reductions are shown by Bureau in the table below: Total Bureau Positions Revenue Coun $ Reduction Administration 54.0 4,658,806 3,597,512 1 $8,256,318 Aging & Adult Services--.---- _ 74.2_ 4,648,107 j _ 3,620,6188 _ $8,268,725 Children_& Family Services _ 79.0 1,060,265 6,459,918 j $10,650,183 Workforce Services 30.0_; 4,186,0871 2,582,238 $6,768,325 Community Services 1.0 j 45,7271 0 $45,727 EHSD TOTAL 238.2 $17,728,992 $16,260,286 $33,989,278 Expenditure Reductions Implemented to Date Due to the magnitude of the budget shortfall, the Department has moved ahead with expenditure reduction actions that don't require official Board action, meet and confer with labor negotiations or advance notice to contractors. These include: • Termination and/or reduction in hours of temporary staff • Reassignments of unrepresented manager and administrative support positions • Operating cost reductions: equipment, training, travel, etc. • Reduction in interdepartmental service agreements with General Services, Office of Revenue Collection, District Attorney, Public Defender, County Counsel and Health Services. • Continued Departmental Hiring Freeze • Freeze of contracts budgeted but not yet initiated Discretionary Programs and Discretionary Services In order to provide the Board with a better understanding of our long term options, we have summarized below those programs and/or service levels that are "discretionary". Some are already being proposed for elimination and some may be candidates for further reductions. However, those not currently being proposed for elimination leverage sufficient resources or operational flexibility that continued County investments are justified. Page 8 DISCRETIONARY PROGRAMS PROPOSED FOR ELIMINATION Pro ram Impact of Elimination Linkages Case management services for approximately 100 disabled adults/year. Six month notification must be provided to the State. This elimination will not reduce costs in the current year. Projected date for transition is July 1, 2009. Foster Home Licensing Transferring the program back to the state will eliminate the County's ability to place children in County foster homes. Placements in more expensive Foster Family Agency homes will result. Adoptions Transferring this program back to the state will mean that it will take much . longer to qualify homes to be adoptive homes. It will also require foster parents to go through a duplicative home study process delaying their ability to become adoptive parents. DISCRETIONARY PROGRAMS PROPOSED FOR REDUCTION: Pro ram Impact of Reduction Welcome Home Baby Proposed reduction in contract may result in reduced service levels. However, the contracted agency is currently expending less than the contracted level, so the net impact is uncertain. MANDATORY PROGRAMS DISCRETIONARY SERVICE LEVELS BEING PROPOSED FOR REDUCTIONS Service Impact if Eliminated Adult Protective Services Already dangerously underfunded. The state budget reductions will lead to the loss of an additional position. The Department is exploring ways of better leveraaina Title XIX funding. Child Welfare Services Current levels of state funding are insufficient to meet state and federal requirements or to ensure child safety without significant County support. IHSS Administration Current level of administrative funding is already inadequate to meet workload demands. Page 9 Workforce Development Board A portion of administrative costs are supported by CalWORKS and County administrative funds of approximately $900,000. EHSD is proposing to eliminate this contribution as part of its budget balancing plan. The Workforce Board will reduce some of its own staffing as well as redirect some portion of its grant funds to cover program administrative costs. CalWORKS Support Services Discretionary services include transportation, work experience placements, outreach to sanctioned clients, etc. — reduction in these services will impact our ability to achieve the Work Participation Rate DISCRETIONARY PROGRAMS NOT PROPOSED FOR ELIMINATION Program Impact if Eliminated Family Preservation Program Elimination would increase out-of- home placements and lead to increased costs. SSI Advocacy Helps persons on General Assistance apply for and receive SSI. The SSI program revenue generated exceeds the County cost for staff. Service Integration Program Successfully serves families with multiple barriers and generates over $800,000 in private philanthropic funds versus $150,000 County cost. One-Stop Career Centers The Department acts as the administrative entity for the One-Stop Career Center Consortium. County costs leverage significant state and federal employment service funds. General Services: .Impact of Reductions in EHSD EHSD has requested that the Board of Supervisors reduce funding in the General Services Department. General Services proposed to reduce the current level of service for Custodial and Grounds by $117,090 resulting in a minimum level of service for Custodial and Grounds work. EHSD notified General Services that they need to make additional cuts in expenses. Therefore, GSD is recommending the cancellation of one custodial position and reducing the hours in grounds work. Page 10 Health Services Department: State Reductions The 2008/09 State Budget reduced State.& Federal funding for the State's Children's Medical Services Program. These reductions were then passed on to the local California Children's Services (CCS) Programs. The CCS program is essentially a two-pronged program that addresses the health related needs of eligible children up to 21 years of age. One "prong", the Administrative Case Management Program, utilizes a doctor, nurses, eligibility workers, medical social workers and case management clerks to provide medical case management services. The other "prong" of the program is the Medical Therapy Program (MTP), which primarily utilizes physical and occupational therapists to provide direct therapy services to the children. California Children Services Medical Therapy Program has been reduced in the State budget by $80,000. No reductions are being proposed to the Medical Therapy Program as this program has experienced staff vacancies that will cover the shortfall through salary savings. California Children Services Administrative Case Management Program has been reduced in the State budget by $984,000. All of the proposed staffing reductions pertain only to the Administrative Case Management program. Impact on Staff. Due to the reductions in the California Children's Services Program, the Health Services Department will terminate the employment of three temporary agency clerks, hold two positions vacant, transfer one employee and their position to another funded function, cancel one vacant and three filled positions. Impact on Services: All of the following statements and reductions pertain only to the Administrative Case Management program. (No reductions are being proposed to the MTP program as this program has experienced staff vacancies that will cover the shortfall.) * Loss of expertise in referring families to other services both internally & externally to County. * Higher caseloads for nurses, eligibility workers and case clerks resulting in an average increase of six additional days to process eligibility or authorization of services, loss of administrative staff will mean less support to case management staff and shifting of workload on to remaining staff. * Elimination of a Parent Liaison contract position will remove parent-to-parent support to families who are typically entering a health care system that they have no experience with. Note: With the passage of the State budget came a significant funding shift to local CCS programs. Prior to 2008/09 the local CCS programs had an 'open-ended' budget with the Page 11 State, meaning that as the Local and State costs, and caseloads, fluctuated so did the related allocation to the local program. However, from this point forward the local annual funding will be at a capitated rate. This poses future funding impact problems for local CCS programs. Human Resources: Impact of Reductions in EHSD The Employment and Human Services Department has requested that the Board of Supervisors approve an additional reduction in the Human Resources Department. Employment and Human Services (EHSD) has been providing $286,686 annually for an enhanced level of services beyond what is normally provided. EHSD notified Human Resources that they need to make significant cuts in administrative expenses and will be unable to extend the Service Level Agreement beyond November 1, 2008. Therefore, this equates to the cancellation of one vacant position. Probation Department: State Reductions Adult Drug Treatment Program (Prop. 36) funds have been reduced by $194,000. This program provides supervision to probationers convicted of non-violent drug possession offenses and directs them to appropriate community based organizations as an alternative to custody. This reduction will result in up to a 25% reduction in Deputy Probation Officer (DPO) staff assigned to the program. Mentally III Offender Crime Reduction (MIOCR) funding has been reduced by $454,700. MIOCR is a multi-agency program .comprised of the Probation Department, Office of the Sheriff, and Health Services Department to provide treatment to mentally ill offenders as an alternative to custody. The State's reduction in funding will result in the abolishment of the Juvenile and Adult units of the MIOCR program in the Probation Department's budget; $300,000 in the Juvenile Program and $154,700 in the Adult Program. Juvenile Probation and Camps Funding (JPCF) has been reduced by $520,000. JPCF funds provide for programming at the Orin Allen Youth Rehabilitation Facility as well as the Home Supervision/Juvenile Electronic Monitoring Program. Budget reductions can be addressed with personnel reductions in Probation Counselor and clerical support staff. Juvenile Justice Crime Prevention Act (JJCPA) funding has been reduced by $328,581. JJCPA funds four programs including Deputy Probation Officers in High Schools and Middle Schools, the Community Probation Program, and Orin Allen Youth Rehabilitation Facility (OAYRF) Aftercare program. This reduction can be addressed with staffing level reductions in all JJCPA programs in the amount of$243,668 and reducing services and supplies budgets by $84,914. Page 12 Public Defender: Impact of Reductions in EHSD EHSD has requested that the Board of Supervisors reduce funding for the Clean Slate Program. EHSD provides funding to the Public Defender in the amount of $37,409. The Clean Slate program provides legal counseling to remove barriers to employment, education and housing, including expunging the records for those who have completed serving their time for certain types of convictions, where appropriate. This reduction will result in a reduced level of service to this population. Office of the Sheriff: State Reductions Supplemental Law Enforcement Services Funding (SLESF) has been reduced by $68,000. This funding is used in front line law enforcement activities including the Sheriffs Helicopter Program and staffing in adult detention facilities. The reduction of $68,000 is comprised of two equal reductions; $34,000 in the West County Detention Facility (WCDF) and $34,000 in the Sheriffs Helicopter program. The reduction to the WCDF will be addressed by prudently managing vacancies for a portion of the fiscal year. The reduction to the Helicopter Program will result in reduced operational flight hours to the Sheriff's helicopter fleet. Jail Booking Fees have been reduced by $190,000. Government Code Section 29551(d) allows counties to assess a pro-rated booking fee in any fiscal year that the State appropriates less than $35,000,000 annually. The County has developed a pro-rated fee of $19 to offset this loss. CONTINGENCYAPPROPRIATION-GENERAL/APPROPR/ATION FOR CONTINGENCY On October 28, 2008, due to further economic uncertainty, the County Administrator recommended and the Board authorized the Auditor-Controller to reduce the General Fund Reserve Designation by $10,000,000 and transfer those funds to Contingency Appropriation- General/Appropriation for Contingency. This action was recommended in case of further loss of General Fund revenue and should not be construed as a cushion for any known funding reductions. CONCLUSION In conclusion, the options contained herein will rebalance the FY 2008/09 Budget to reflect the impact of State cuts and other local economic impacts on Employment and Human Services. The County Administrator requests Board direction regarding further action to be taken. The Board may chose to adopt the reductions contained within or alternative reductions. Once final direction is given, staff will develop appropriation adjustments and a County lay-off resolution to Page 13 incorporate the Board's direction. It is anticipated that the lay-off resolution will be forwarded to the Board within the month of December to be effective December 31, 2008. For each month of delay the cost to the County is $3,200,000. As always, the County Administrator will continue to work with departments throughout the year to achieve balanced year-end expenditures; however, it is anticipated that further economic impacts will require subsequent adjustments to the FY 2008/09 Budget. ADDENDUM November 18, 2008, Agenda Item D.3 On this day, the Board of Supervisors considered cost reduction options to rebalance the 2008/09 budget to reflect state cuts and providing direction to staff on additional action to be taken. David J. Twa, County Administrator, introduced this item by commenting that when the Board adopted the County's Budget earlier in the year, it was noted at that time that once the State budget numbers were known, staff would return to the Board with the information. Mr. Twa said now that the State figures are known, the County's options are very few. He noted that the elimination of adoption and foster parent services is proposed because those services can be turned over to the State. He said in that way the services will still be provided, but we will be indicating to the State that we cannot continue to provide services under the current cuts. Mr. Twa also noted for the record a typographical correction: on page 7 of the staff report, he said the figure in the Children and Family Services "Revenue" column should be $4,190,000 rather than $1,060,265. He said the total figures on that page remain correct. Supervisor Bonilla asked what the County's costs for foster licensing and adoption services are compared to the State and Federal match. a Joe Valentine, Director of the Employment and Human Services Department (EHSD), said that the total cost of the foster program is $1.3 million and the County's share is $500,000. For adoption services, he said the total cost is $3.3 million of which the County pays $300,000. He said that once the Board takes an action to turn these services over to the State, the County will give the State 30 days' notice and then there will be a 90 day transition period. Supervisor Bonilla asked if other counties do this, could it cause capacity problems for the State. Mr. Valentine said yes. The Chair called for public comment and the following people spoke: Odessa Caton, Aspira Net, said that if the Antioch station is closed, 214 children will be underserved; Nina Rudolff, EHSD, said investigators are not just useful for finding welfare fraud but are the County's eyes and ears in the field and often notify Child Protective Services about things they see; Alicia.Samuel, EHSD, expressed concern about the proposed cuts; George Walsh, Richmond, expressed concern about cutting Welfare Fraud Investigators; William Chan, Richmond resident, said that with current economic difficulties we need to eliminate welfare fraud now more than ever; Mary Jensen, Walnut Creek resident, said that currently the County is able to offer"one- stop shopping" for licensing and adoption services, which she said is a great program for Contra Costa's children. She said we are a model county because of the way we offer services and she said to cut these programs would be a mistake; November 18, 2008, Agenda Item D.3 Page 2 of 2 Lisa Sweet, Concord resident, said not serving children now will have a societal cost in the future; Colleen Smith, Children and Family Services and Homefinding, spoke in opposition to the proposed cuts; Nancy DeWeese, Foster Family Network, said many of the children in foster care were drug exposed and/or medically fragile, and she urged the Board not to cut the County's programs; Wendy Beaty, Adult Protective Services, said we need frontline services and said the positions being considered cannot be cut; Lisa Simmons-Slater, Children and Family Services and Homefinder, said that if the cuts are implemented she would be concerned about finding children homes; Alma Williams, Welcome Home Baby, said Welcome Home Baby provides vital services to the community; Grace Hagopian, Adult Protective Services, spoke in opposition to the proposed cuts; Elaine Welch, Contra Costa for Every Generation, said that if the transportation manager is cut, seniors affected by it could be institutionalized. She recommended transferring the position to Aging and Adult Services in order to save it; Naheed Zafir, EHSD, spoke in opposition to cuts to EHSD's Information Technology (IT) department; Ivan Suchel, EHSD, said EHSD's IT department is already grossly understaffed by national standards; Kristina Gery, Martinez resident, spoke in opposition to cuts and said special needs babies need these services; Rollie Katz, Public Employees Union, Local 1, said the State cuts are the result of failed national economic policies; Robin Nanni, SEIU 1021, said she wanted to work with the Board to think outside of the box to minimize layoffs; Suzie Griffith, AFSCME 2700, expressed concern at the number of proposed reductions and urged the Board to reconsider; Mariana Moore, Contractors' Alliance of Contra Costa, noted that the State has higher fees for adoption services. She added that most families currently served by the County cannot afford higher adoption fees and she expressed concern that the result could be children who remain in foster care rather than being placed in adoptive homes. The Chair returned the matter to the Board for discussion. Supervisor Bonilla asked if the cuts are not made, would the State's matching funds remain constant. Mr. Valentine replied that it is unlikely. November 18, 2008, Agenda Item D.3 Page 3 of 3 Supervisor Gioia expressed concern about losing such a large match of State and Federal funds. He suggested looking at the issue of how much our dollars leverage for us in matching funds. He also asked if, should the proposed cuts be made to foster care,the County would.still be responsible for placement and supervision. Mr. Valentine said yes, that only the licensing would be transferred to the State. Supervisor Gioia then asked if the cuts are made to adoption, would that take the County out of the program entirely. Mr. Valentine said yes it would. Supervisor Gioia expressed concern that transferring these programs to the State, given the State's current fiscal standing, could place stresses on the programs. He suggested looking to January 2009's Measure J as a funding source for transportation for seniors. He said he would rather find ways to keep programs if possible. Supervisor Uilkema said she was inclined to support staff s recommendations because the Board can consider alternatives but the result will inevitably still be a cut to valuable programs and services. She said the Board's policy is to take into consideration the recommendation of the County Administrator, department heads, and the County's financial people, which is what the Board is doing today. She asked if the matter could be returned to the Board at its next meeting with a report on the consequences of the proposed cuts and an analysis of the cost leveraging ratios so the Board can better evaluate alternatives and consequences. Mr. Valentine said there aren't many places to go for cuts where we wouldn't lose State and Federal dollars. Supervisor Gioia reiterated that he would like to look at Contra Costa Transportation Authority Measure J funds as a source for some transit funding options. Mr. Twa clarified that when these requested reports come back to the Board at its next meeting, staff will also be asking the Board to approve a plan in order to meet timeline requirements. By a unanimous vote of 4-0 with Supervisor Glover absent, the Board of Supervisors took the following actions: DIRECTED the County Administrator to return to the Board at its December 9, 2008 meeting with a report on the consequences of the proposed cuts and an analysis of cost leveraging ratios so the Board can better evaluate alternatives and consequences; and DIRECTED staff to report on the possibility of utilizing Contra Costa Transportation Authority Measure J funds as a source for some transit funding options.