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Health and Human Services Agency recommending the Board approve and authorize the Chair to sign a Budget Transfer specific to the Public Health Division for Fiscal Year 2025-26, to allow for the statutory 10% 1991 Realignment transfer provision, in the amount of up to $743,000 from the Health Sub-Account to the Social Services Sub-Account. (4/5 vote required)
FUNDING: 100% 1991 Realignment.
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DISCUSSION / BACKGROUND:
In Fiscal Year (FY) 1991-92, the State Legislature enacted Assembly Bill (AB) 1491, known as the 1991 Realignment, to provide counties with a funding source for their public health and mental health programs.
The California Welfare and Institutions Code (WIC) Section 17600 established the Local Revenue Fund, through which each county receives realignment funds. According to WIC Section 17600.20(a), every county is required to establish a Local Health and Welfare Trust fund composed of three distinct sub-accounts: the Mental Health Sub-Account, the Social Services Sub-account, and the Health Sub-Account.
WIC Section 17600.20(a) allows counties or cities, or a city and county, to reallocate funds among the accounts within the Local Health and Welfare Trust fund not to exceed 10% of the amount deposited in the account from which the funds are reallocated for that FY. Additionally, a county may reallocate up to an additional 10% of the money from the Health Sub-Account to the SS Sub-Account in the 1992-93 FY and FYs thereafter, for caseload increases for mandated Social Services programs listed in paragraph (2) of subdivision (b) of Section 17605 in excess of revenue growth in the Social Services Sub-Account.
HHSA exercised the transfer authority from the Social Services Sub-Account account to the Mental Health Sub-Account account in FYs 2020-21 and 2021-22, and from the Health Sub-Account to the Mental Health Sub-Account/SS Sub-Account in FYs 2020-21, 2021-22, 2022-23, and 2023-24. Public Health is requesting the Board approve a Budget...
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