Title
Chief Administrative Office recommending the Board:
1) Receive and file a presentation on the Fiscal Year (FY) 2025-26 Recommended Budget development including the items the Board directed staff on April 8, 2025 to return to the Board to discuss;
2) Approve and revise Board of Supervisors Policy B-16 Budget Policies;
3) Direct staff to incorporate combining the Senior Day Care sites by closing the El Dorado Hills location and retaining the Placerville location into the FY 2025-26 Recommended Budget; and
4) Incorporate Board direction for Forebay Park into the FY 2025-26 Recommended Budget.
FUNDING: Countywide Budget.
Body
DISCUSSION / BACKGROUND
The Chief Administrative Office in cooperation with all County departments develops the countywide budget over an eleven-month process starting in November, with the Recommended Budget approved in June and budget adoption in September.
On November 5, 2024, with Legistar file 24-1916, the Board directed staff to explore options for potential General Fund savings. On January 28, 2025, with Legistar file 25-0217, the Board directed staff to include a discussion during the Budget regarding future funding for non-mandated programs. On February 11, 2025, with Legistar 25-0236, the Board received an update on the Budget development process. During that discussion, the Board directed staff to work with the Budget Ad Hoc Committee to research increasing fees to reflect the actual costs to provide the services and explore revenue generating ideas that focus on tourists rather than residents and return to the Board with a recommendation; directed staff to analyze the disaster designation goal and include code enforcement and public safety in County operations examples in Discretionary Transient Occupancy Tax (DTOT) Policy in Board Budget Policy B-16 to be incorporated into changes for Board approval on April 22, 2025; and provided the following direction to staff: a) Include DTOT in the County Budget General Fund; b) Pursue Option 1 excluding Outside Agencies Tourism Impacts (public safety component) to maintain at the 2024-25 funding level; and c) Fund DTOT County Operations with the following exceptions: 1) Reduce special funding Road Fund to $2 million; and 2) Reduce Planning Economic Development Division to $546,000.
Pursuant to Board direction on January 28, 2025, on March 11, 2025, with Legistar file 25-0449, the Board reviewed a list of all programs with a Net County Cost and their levels of discretion to be taken into consideration while creating and providing direction on the Fiscal Year 2025-26 Budget. During this discussion, the Board provided direction to staff on the following Net County Cost programs or contributions that the Board would like to further consider at a Board meeting on or before April 8, 2025: a) Juvenile Treatment Center (JTC); b) Community Service Programs; c) Possible consolidations, including Records Center; d) Office of Wildfire Preparedness & Resilience (OWPR); e) MC&FP annual contribution; and f) Outside agency discretionary contributions (from slide 6 of the presentation). The Board also directed staff to return with a list of current facilities projects to receive direction from the Board on potential modifications to scope, schedule, or cost, on or before April 8, 2025. Lastly, the Board directed staff to return to the Board with a draft plan to spread the budget gap across departments in proportion to their Net County Cost on or before April 8, 2025.
On April 8, 2025, with Legistar file 25-0654, the Board directed staff to return to the Board on April 22, 2025 for consideration of the reallocation of Forebay Park funding for the bathroom and parking lot and for consideration of combining the Senior Day Care sites by closing the El Dorado Hills location and retaining the Placerville location.
The Chief Administrative Office has prepared a presentation (Attachment A) for the Board in response to the direction provided in February and April 2025. Staff are seeking direction from the Board to aid in the development of the FY 2025-26 Budget.
Based on direction from the Board on February 11, 2025, with Legistar file 25-0236, staff are recommending revisions to Board Policy B-16 Budget Policies. The following changes are proposed:
- The Board directed staff to include DTOT in the County Budget General Fund. Therefore, the Budget Policy for DTOT is no longer necessary and can be removed from Board Policy B-16.
- The Board directed staff to analyze the disaster designation goal and through that analysis it has been determined the appropriate goal is recommended to be updated to $1.25 million.
The Chief Administrative Office will return to the Board on June 10, 2025, for the approval of the Recommended Budget with the Budget Hearing.
ALTERNATIVES
The Board could opt not to provide direction or receive the presentation.
PRIOR BOARD ACTION
See above.
OTHER DEPARTMENT / AGENCY INVOLVEMENT
All departments.
FINANCIAL IMPACT
There is no financial impact to receiving the presentation and any direction on the Fiscal Year 2025-26 Recommended Budget will be brought back to the Board for approval at the June 10, 2025, Budget Hearing.
CLERK OF THE BOARD FOLLOW UP ACTIONS
N/A
STRATEGIC PLAN COMPONENT
This presentation and Board direction enhances the County’s alignment with the Fiscal Responsibility Value outlined in the County’s Strategic Plan.
CONTACT
Tiffany Schmid, Chief Administrative Officer
Sue Hennike, Assistant Chief Administrative Officer