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Chief Administrative Office and Human Resources Department recommending the Board:
1) Find that a public benefit is derived by expanding an opportunity for employee attrition through a voluntary separation monetary incentive to achieve General Fund and other fund savings;
2) Approve an expansion of the Retirement Incentive Plan (Plan) for Fiscal Year (FY) 2025-26 to allow for all eligible applicants to participate in the program beyond the original $2,000,000 cap; and
3) Approve and authorize the Chair to sign a FY 2025-26 Budget Transfer Request to increase Special Department Expense appropriations and decrease Appropriation for Contingency in the Retiree Health Fund by $2,000,000 to provide for additional funding for the Plan, including to cover approved employee separation incentive payments, any employer fees related to setting up the Health Reimbursement Arrangement accounts, and the Patient-Centered Outcomes Research Institute Fee. (4/5 vote required)
FUNDING: Retiree Health Fund.
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DISCUSSION / BACKGROUND
On November 5, 2024, with Legistar file 24-1916, the Board directed staff to explore options for potential General Fund savings. The County has previously used separation incentives, including most recently in 2015, to achieve General Fund savings in an effort to mitigate the need for reductions to the workforce. On April 8, 2025, with Legistar file 25-0654, the Board directed staff to develop a Retirement Incentive Plan.
On September 16, 2025, with Legistar file 25-1498, the Board approved the Retirement Incentive Plan (Plan). The Plan aims to reduce salary and benefits expenditures by offering an opportunity for attrition through a voluntary separation incentive. The Plan in its simplest form provides as follows for those approved participants:
-If the participant retires from County service no later than December 31, 2025, they will receive $2,500 per year of full-time equivalent service, not to exceed $50,000 deposited into a Health R...
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