State and County Budgets Dependencies and Consequences Peggy Jensen San Mateo County CSDA 2008 Annual Conference

San Mateo County Funding Sources

San Mateo Revenue

Counties are required by State law to adopt a balanced budget not later than August 30th of each year. California Government Code Section 29088

Budget Cycles County Jan/Feb – Mid-year Report February - Instructions April – Dept. Budgets May – CMO Rec. Budget June – Budget Hearings July 1 – New Fiscal Year September – Final budget State January – Governor’s budget May – Governor’s revise June – hopefully a budget….

County Layoff Timeline Early April: –Identify positions –Meet with HR to determine bumping rights –Meet with Unions May –Official notices to staff to be laid off –Meetings with staff on options Termination date: TBD - July 1 st or later

Dealing with Uncertainty Budget Reduction Scenarios Expenditure Limitations –No new expenses without offsetting revenue –Absorb all state funding reductions Reserves –Increased reserve requirements –Limit use of excess reserves Hiring Freeze

Consequences of Fiscal Uncertainty Operations –Inability to start new initiatives –Possible mid-year cuts Staffing –Vacancies in the wrong places –Difficulty filling approved positions –Staff anxiety and union inquiries

Questions? Peggy Jensen San Mateo County