HomeMy WebLinkAboutMINUTES - 11182008 - D.3 TO: BOARD OF SUPERVISORS sE L''° Contra
FROM: DAVID TWA •` — Costa
County Administrator
�. •~~4
CountyDATE: NOVEMBER 18, 2008 °STA you
SUBJECT: FY 2008/09 BUDGET REBALANCING — STATE CUT WORKSHOP
SPECIFIC REQUEST(S)OR RECOMMENDATION($)&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 veryclose 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 ❑ OTR
SIGNATURE(s,.,,A, 7 7�
ACTION OF BOARD ON P0
❑APPROVED AS RECOMMENDED OTHER
VOTE OF SUPERVISORS: I HEREBY CERTIFY THAT THIS IS A TRUE AND
CORRECT COPY OF AN ACTION TAKEN AND
UNANIMOUS(ABSENT S � f��a'►� ) ENTERED ON THE MINUTES OF THE BOARD OF..
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
y: Deputy
i .
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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 Wom'en'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.
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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 forthese 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.
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* 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 $ County $ FTEs
Non-Labor Administrative Costs $ 1,110,941 $ 622,126 N/A
Contracts....................._........................................ _.._.........._._....------ -..._._..__�--6,209,356....,................_ 2,687,005.....---._.....__...........N/A-
................................................................................................_._........................_....._._..._..........__...._......_.........-............_........_........._....._................................................,. -._...---._...._........................................_........._......__..........._......._.........._...._......_....
Administrative Positions $ 12,218,140. $ 5,921,344 51.0
........................................................_...................................._.._...._.._........................._..._......_._...---.....................,_................---..__....---...._....._....................._................,......._.___.................._.................__................................................_...............__...................
Case Carrying Positions $ 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
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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 trainingfor 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
m
support staff who perforemergency 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 ChildWelfare 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.
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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 CalWORKS 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.
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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 County $ Reduction
Administration 54.0 4,658,806 : 3,597,512 : $8,256,318
............................_..._....._.._.._......_............__......_............_........_._.........._......---..__........................__._..._..................._............_....._...;..._......_............._........._..__._.........__.........__...._....__......--.........._.__._._._...._........._.....; --- ...__........----...
1 268 725
A9.n.9.._&Adult Services....._._......_. 74.2 _ ........................._4,648,.1.07 .................._..__3,620,6......_8........_...._..._._$8�_....... --
............... ....._ ................. ..
Children & Family Services......................... --............79.0....__._e................_........_1,060,265 ._.._......._.. -6.,.459,918...._;.... -$10,650,183
Workforce Services 30.0 4,186,087 2,582,238 : $6,768,325
..............._....._..__...._........._._...._.....---.._.............................................................._...................................................._................................................................................................_.........................................................._._..._................_........_..._..._............_._,................._..__..........__.......---
Community Services 1.0 45,727 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 abetter 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.
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DISCRETIONARY PROGRAMS PROPOSED FOR ELIMINATION
Program 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:
Program 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
leveraging 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.
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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.
CaIWORKS 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 Service's 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.
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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 $984,000.1 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
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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 Camp's 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.
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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
Sheriff's 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.
CONTINGENCY APPROPR/A'TION-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
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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
11
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 Childreni 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.
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.
Mary Piepho/BOS/CCC To Jane Pennington <JPenn@cob.cccounty.us>
11/17/2008 01:50 PM ; cc "David Twa"<dtwa@cao.cccounty.us>
bcc
Subject Fw:
For the record.M
Mary Nejedly Piepho
County Supervisor,Dist.3
From: Alicia Samuel
Sent: 11/17/2008 01:41 PM PST
To: John Gioia; Gayle U;Gayle Uilkema;Mary Piepho;Federal Glover
Cc: dist4@bos.cccounty.us@SMTP@Exchange
Supervisors,
Tomorrow you will be presented with a plan to balance the county budget. While I understand
the need for this, I do strongly disagree with some of the options that are being presented. Early
Fraud Investigators may not be "case carrying" workers per se, but the need for them in our
department is undeniable. Fraud in Contra Costa County is alive and well and considering the
state of the economy and history, it will only get worse. Our investigators, like the case carrying
workers, are past their limit in taking on new investigations and now you want to take 2 of them
away and make a bad situation worse. Fraud investigators SAVE the county money in the long
run, and would save even more if we had more than one part time prosecutor for welfare fraud
cases.
Due to the economy, we have•seen an increase of about 30% in new applications (mostly people
who have never been in our system before which means interviews are more time consuming as
every detail must be inputted into the system versus just updating information that is already
there). This in itself has overwhelmed the staff we already have. For months in our
Medi-cal/Food stamp intake units, we have been able to do little more than process the food
stamp applications & deny the mail in medi-cal applications (600-700 mail in's received monthly
county wide) that don't provide requested verifications while the medi-cal cases where applicants
have provided verifications sit as we have no time to process them. Medi-cal is supposed to be
processed within 45 days. We averaging over 100 days. The surge in applications has caused
us to schedule overtime on Saturdays to get clients in for food stamps and to ask for overtime
volunteers every Monday& Friday to meet the Emergency processing guidelines for food stamps
of 3 days. However neither of these band-aid approaches have been enough.. We have averaging
2 overbooks per time slot everyday. These are appointments that are set even though all
appointment slots for the day�have been filled. This means that workers who are scheduled to be
at their desks for the day to process their cases are being pulled to interview the clients and
k
therefore their paperwork sits;unprocessed. By law, we must process food stamp applications
within 30 day from their application date, however as of last Friday, we are scheduling non
emergency appointments out 29 days. We have been treading water for months and now it seems
you want to take our life preservers away& sail off into the sunset while we who work on the
front lines drown. And in turn, the people we serve are drowning too. Cutting workers is truly
not the answer.
Lastly, we have asked the county for years to get rid of temp clerks &hire permanent.clerks.for
years. And now with this budget, all of our temp clerks are going with the expiration of the
contract on 12/31/08. What this translates to in the case carrying units is that now the workers
will have to pickup that slack as well. Something else to keep us from being able to do our jobs
and help the people of the community who need it most.
Alicia J Samuel
MPA
4545 Delta Fair Blvd
Antioch, CA 94509
925-706-4812
asamuel@ehsd.cccounty.us