To: Board of Supervisors/Directors/Commissioners/Directors of the Sonoma Valley County Sanitation District of the County of Sonoma
Department or Agency Name(s): County Administrator’s Office
Staff Name and Phone Number: Peter Bruland 707-565-2431
Vote Requirement: Majority
Supervisorial District(s): Countywide
Title:
Title
Fiscal Year 2024-25 Budget Hearings
End
Recommended Action:
Recommended action
A) Adopt a Concurrent Resolution adopting the Fiscal Year 2024-25 Budget and Position Allocation Listing and final Board direction for all entities governed by the Board of Supervisors/Directors/Commissioners (Tab 14)
B) Adopt a Resolution approving the Fiscal Year 2023-24 Budget for the Sonoma Valley County Sanitation District (Tab 14)
C) Adopt a Concurrent Resolution establishing Fiscal Year 2024-25 appropriations limits for the County and Board of Supervisors-governed special districts, County Services Areas, and the Sonoma County Agricultural Preservation and Open Space District (Tab 12)
D) Adopt FY 2024-25 Supplemental Budget Adjustments (Tab 08)
E) Make a finding that any expenditures to community organizations that are receiving funding as a part of the Budget Deliberation process during these budget hearings are in compliance with Government Code Section 26227, and that these expenditures are “necessary to meet the social needs of the population of the County, and to authorize the County Executive to execute agreements to fund approved requests.”
F) Designate the County Executive or designee to execute agreements to implement any items funded as part of these Budget Hearings and included in the Budget Hearing Deliberation Tool (Tab 03)
G) Authorize Departments, in coordination with and oversight by the Human Resources Department, to administer layoff proceedings in accordance with Civil Service Rule 11: Layoffs, and authorize Human Resources to implement strategies to mitigate layoffs to the extent possible if necessary (Tab 09)
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Executive Summary:
Public hearings on the Fiscal Year (FY) 2024-25 Recommended Budget will begin on Tuesday, June 11, 2024, and will continue each day, not to exceed fourteen (14) calendar days, until the budget is adopted. In addition, the Board will establish appropriations limits in compliance with Article XIII B of the State Constitution for FY 2024-25.
The discussion in this memo highlights a few key elements of the Recommended Budget. The Recommended Budget book and additional materials for budget hearings, available online (<https://sonomacounty.ca.gov/administrative-support-and-fiscal-services/county-administrators-office/budget-and-operations/budget-reports>) since May 31, provide in-depth information and administrative details associated with the budget.
The schedule and a detailed description of the binder contents can be found in Tab 01 of the above-mentioned budget binder materials.
Discussion:
The total recommended uses (excluding operating transfers) for FY 2024-25 is $2.46 billion. This is financed by $2.18 billion in sources and $277 million in use of fund balance. Use of fund balance includes use of accumulated revenues or bond funding for capital projects and other one-time costs. Details regarding the overall recommended budget can be found in the Executive Overview of the FY 2024-25 Recommended Budget book (pages xiii - xviii). Details associated with departments’ budgets can be found within that book.
In addition to the Recommended Budget, the County Administrator’s Office compiles information for Budget Hearings for the Board of Supervisors and the public to explain staff recommendations to adjust the budget before final adoption. The information (commonly referred to as the “Budget Hearing Materials Binder”) can be found on the County’s Budget Reports webpage: <https://sonomacounty.ca.gov/administrative-support-and-fiscal-services/county-administrators-office/budget-and-operations/budget-reports>.
Budget Hearings were preceded by Spring Budget Workshops (April 22-24, 2024) in which departments presented an overview of their FY 2024-25 Preliminary Budgets. The workshop materials and departmental PowerPoint presentations are available here: <https://sonoma-county.legistar.com/LegislationDetail.aspx?ID=6641562&GUID=68D9429F-537B-44F2-99D1-5138B30AD06E&Options=&Search=>.
Information available in the Budget Hearing Materials includes:
1) A brief overview of the budget and an overview of materials in the Binder and schedule for budget hearings;
2) A memo outlining Available Revenue Sources that the Board may program at Budget Hearings;
3) The Budget Hearing Deliberation tool which illustrates various budget requests, as well as outlines County Administrator Recommendations;
4) A memo discussing the General Fund Reserves;
5) Reports providing details on Add-Back and Program Change Requests submitted by departments;
6) Requests for funding submitted by Board members;
7) Board requests for additional information on various topics related to the budget and responses from staff;
8) Supplemental Adjustments to the FY 2024-25 Recommended budget;
9) A summary of position changes from the FY 2023-24 Revised Budget to present;
10) A memo discussing fund balances in the various funds controlled by the County and special districts under the control of the Board of Supervisors/Directors;
11) County Financial Policies;
12) Recommendations for utilizing tribal mitigation funding;
13) Resolution updating the Proposition 4 Appropriations (Gann) Limit for FY 2024-25; and
14) Resolutions adopting the FY 2024-25 budget, which will establish the appropriations and positions approved for fiscal year starting on July 1, 2024.
Layoff Administration and Mitigation Strategies
The recommended budget includes potential layoffs of 3.0 full-time equivalent (FTE) Victim Witness Advocate in the District Attorney’s Office due to a reduction in State funding. The department has submitted a program change requesting General Fund support to retain these encumbered positions. If the adoption of the FY 2024-25 County budget results in the reduction of any allocated positions that are currently encumbered, Human Resources seeks authorization from the Board to work with departments to administer layoff proceedings, effective October 1, 2024, in accordance with the Sonoma County Civil Service Rules, specifically Rule 11: Layoffs. This includes the extension of any filled time-limited allocations set to expire on June 30, 2024, to the new date of September 30, 2024.
Further, Human Resources seeks approval to implement strategies, effective between now and October, to mitigate employee impacts and minimize the number of potential job losses to the extent reasonably possible.
Strategic Plan:
This item directly supports the County’s Five-year Strategic Plan and is aligned with the following pillar, goal, and objective.
Pillar: Organizational Excellence
Goal: Goal 1: Strengthen operational effectiveness, fiscal reliability, and accountability
Objective: Objective 3: Ensure County budget process and information are understandable, accessible, and in a format that enables the public to identify County investments and funding for major initiatives and services.
Racial Equity:
Was this item identified as an opportunity to apply the Racial Equity Toolkit?
No
Prior Board Actions:
Spring Budget Workshops were conducted from April 22-24, 2024. Workshops were informational only.
Fiscal Summary
Narrative Explanation of Fiscal Impacts:
Please refer to the Executive Summary Budget Overview (pages xiii - xviii) of the FY 2024-25 Recommended Budget book for financial details.
Narrative Explanation of Staffing Impacts (If Required):
Please refer to Exhibit D of the Sonoma County Budget Resolution (Tab 14) for position allocation details included in the Recommended Budget. Refer to the supplemental budget adjustments (Tab 08) position summary (Tab 09) memorandums for additional staffing impacts not factored in the Recommended Budget.
Attachments:
Budget Adoption Resolutions and Exhibits (Refer to above links to online materials tab 14)
Budget Hearings Materials (Refer to above links to online materials)
Budget Overview Presentations
Related Items “On File” with the Clerk of the Board:
FY 2024-25 Recommended Budget Book