County supervisors approved a budget that balances a $273
million deficit and leaves some reserves to fund expected cuts by
the state in the coming months.
County supervisors approved a budget that balances a $273 million deficit and leaves some reserves to fund expected cuts by the state in the coming months.
The Santa Clara County board of supervisors avoided some of the more controversial proposed service cuts in the last few days prior to the budget’s approval Friday, but axed the South County Public Nursing office in San Martin and more than 200 positions in various county departments. The budget takes effect July 1, the start of the next fiscal year. Supervisors covered the projected deficit with one-time funds, reserves set aside in previous years for the Santa Clara Valley Medical Center, and service cuts, according to Supervisor Don Gage.
Most county departments supported by the $2.2 billion general fund will see at least minor funding cuts, with the largest reductions falling on the Social Services and the Mental Health, Drug and Alcohol Abuse departments. Some departments, such as the offices of the Sheriff, District Attorney, and Public Defender were already “bare bones” and couldn’t be cut anymore, Gage said.
“The impact goes to the low-income folks who use county health-care, the probation department, and so forth,” he said.
Supervisors spared 10 employees in the Public Health Regional Services, reducing the number of positions cut from 53 – as recommended in the original proposed budget – to 43. Cuts in that department also include the closing of its South County office in San Martin, which currently employs eight people including four nurses. It is unclear yet if those employees will be demoted or laid off due to the cuts.
As public health nurses typically visit clients at homes and businesses, the closing of the local office will not affect the current level of service, County Budget Director Leslie Crowell said. Staff will work out of the existing North County nurses’ office and travel to South County to see patients. While that adds travel expenses, the county will still save on overhead costs for maintaining an office.
“The impact is on the nurses, not on the clients,” Crowell said.
In a statement, the local public health staff said they are grateful the county restored 10 positions slated for elimination, but taking nurses out of the community could affect service in ways that expense spreadsheets can’t foretell.
“The workers currently staffing the office will now be commuting from San Jose every time there is a South County need,” said Jimmie Sue Clark, a public health nurse at the South County office. “By being in a local community, public health staff is able to find and serve cases that might be otherwise overlooked. Also, public health staff is able to collaborate with other community leaders to help promote the health and safety needs in the community. Being part of a local community means understanding the needs of that community.”
The budget reaches the goal of a 95 percent public health service level in relation to last year’s program, Crowell said.
The use of one-time funds to help balance the budget concerned Gage. He said the largest source of one-time funds this year was a deal with employee unions that agreed to accept no cost-of-living salary increases for the next two years.
“‘One-time’ means they are one-time funds. They may not be there next year,” Gage said.
Crowell could not estimate how much was saved by the salary agreements because the original deficit projection of $273 million assumed there would be no increases. Normally, cost-of-living adjustments for county employees occur annually, and last year’s COLA was 3 percent.
Supervisors also used $41 million in one-time federal stimulus funds to balance the budget.
Next year is shaping up to be even more difficult, Gage added. The state is likely to short Santa Clara County by up to an additional $283 million when it passes its budget this summer. The county was able to shore up about $63 million in reserves in the 2009-10 budget to cover some of that loss, but further cuts and layoffs could be on the table by October, Gage said.
“We’re looking at a really bad year next year,” he said. “We’re still in a very critical position.”
The 2009-10 budget will eliminate a total of 211 positions and Crowell said as many as 272 employees will be affected by those cuts. Many employees whose current positions face elimination will be eligible to “bump” employees below them if those junior positions were not directly cut in the budget, she said.
About 70 employees will see a pay reduction as a result of these demotions and transfers, and an additional 70 employees will be affected by the county’s in-placement program, which seeks to fill vacant positions with existing employees, Crowell said. Not all of those in the latter category have a new county job secured, and these are the people who face a potential job loss.
Supervisors restored a proposed 24 percent cut in the Social Services Agency that would have reduced services for domestic violence victims and mental health patients provided by local organizations, such as Community Solutions. Those programs will be funded at the same level as in this year’s budget.
The total budget, including reserves and capital improvements, is $4 billion.
