HomeMy WebLinkAbout081020_caba01 JEFFERSON COUNTY
BOARD OF COUNTY COMMISSIONERS
REGULAR AGENDA REQUEST
TO: Board of County Commissioners
FROM: Mark McCauley, Central Services Director
Philip Morley, County Administrator
Anne Sears, Budget Consultant
DATE: August 10,2020
SUBJECT: Budget Reduction Targets for 2021 in the Mid-Biennium Review
STATEMENT OF ISSUE: This is a continued update as the County begins its mid-biennium
review and modification process. On August 3, 2020, staff presented an updated Six-Year
General Fund Financial Model, reflecting current revenue projections under the COVID-19
pandemic, as well as likely potential COVID-19 response costs through the end of 2021. While
considerable uncertainties remain regarding the future trajectory of the COVID-19 pandemic and
attendant impacts to the economy, County revenues and County costs, under present conditions,
staff does not foresee the need for additional budget reductions in 2021 beyond the ongoing
budget reductions adopted earlier this year. This update details how the ongoing reductions
because of the economic impacts of the COVID pandemic that were adopted for the year 2020 in
our 2020-2021 Biennial Budget, should now be reflected as a change to the year 2021 in our
Biennial Budget.
ANALYSIS: In June of this year, the Board of County Commissioners responded to the
financial impacts of the COVID-19 pandemic by taking early action to adjust the trajectory of
General Fund expenditures over the next six years and beyond, by directing a 0.88 reduction in
the base budget allocations for most General Fund departments and similar reductions in
transfers from the General Fund to other funds. Departments were asked to make cuts that met or
exceeded that target. Because of short notice mid-year, departments were offered flexibility to
meet their goal using up to 50% of 1-time cuts in 2020, with the rest of the required cuts (50% or
more) coming from on-going base budget cuts. Direction was given that the full reduction goal
must continue to be met in 2021 and all years following, presumably, through 100% base budget
cuts. In cases where departments over-achieve their goal in one year, credit would be given in the
next.
Attached is a summary spreadsheet of how this plays out in 2021. The spreadsheet lists the
original 2021 Base Budget (as adopted in December 2019), and the net adjustment that must be
made in 2021 to meet the target set this year, after applying any credits for extra cuts that a
department volunteered in 2020. Target reductions are listed by department, and transfer
reductions are listed by fund.
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In reading the attached spreadsheet, the reader will note that the Total General Fund adjustment
for 2021 is $135,102, which is less than the $150,000 target set. This is because of the extra
cuts made in 2020, which have already helped the fund balance in 2021. Also, figures in the
table show changes from the original budget for 2021, and do not include any ongoing changes
from supplemental budget amendments in 2020, or other potential fixed cost increases the
County is likely to face in 2021 in Non-Departmental and elsewhere.
To meet their targets for 2021:
• Departments have flexibility in how they meet their target;
• One department or fund can help another, by absorbing some, or even all, of their cuts;
• All 2021 budget reductions should be permanent, on-going base budget reductions;
however departments facing special circumstances can work with Central Services to
request permission to meet a portion of their 2021 goal with one-time cuts.
FISCAL IMPACT: An expenditure reduction of$135,102 in 2021.
RECOMMENDATION: Staff recommends that the Board of County Commissioners adopt a
motion adopting the attached net COVID-19 budget adjustment targets for the 2021 as part of the
mid-biennium review, and directing that budgeting direction be provided to the departments
consistent with the bulleted list above.
RE +W D BY:
/1 ./7/(2/:e"2-C)
Philip Mo'rle , -aunty-Administrator Date
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2021 General Fund Budget Adjustments for 2020 COVID Cuts
Draft 8-7-20
Dep# Department 2021 Original Adjust 2021
Base Budget Target for
2020 cuts*
10 Assessor 972,944 (4,500)
20 Auditor 734,617 (6,542)
21 Elections 317,838 (2,800)
50 Clerk 507,736 (2,173)
59 CAO 444,681 (3,860)
60 Commissioners 589,448 (2,923)
61 Board of Equalization 27,563 (238)
62 Civil Service 2,519 -
63 Planning Commission 41,092 -
67 Emergency Management 215,009 (1,500)
68 Community Services 209,358 -
80 District Court 948,052 (4,084)
110 Juvenile 1,190,088 (10,772)
150 PAO 1,224,540 (10,908)
151 Coroner 42,754 -
180 Sheriff 6,590,203 (58,417)
240 Superior Court 374,140 (3,202)
250 Treasurer 489,535 (4,610)
261 Operating transfers (detail below**) 2,196,708 (18,573)
270 Non-departmental 3,966,182 -
Total General Fund 21,085,007 (135,102)
* Includes credits for cuts taken in 2020 exceeding requested cut
NOTE:This summary does not include ongoing appropriations added in
2020 or a 2021 increase in non-departmental budget for fixed costs
** Detail Operating Transfers _
0010 SUBSTANCE ABUSE 58,260 (498)
0050 COOPERATIVE EXTENSION 204,340 (1,745)
0099 PARKS & RECREATION 536,160 (4,581)
0109 TR TO NOX WEED -
0113 TR TO 4H AFTER SCHOOL 29,780 (254)
0127 TR TO HEALTH-CHIP EXE DIR -
0140 TR TO LAW LIBRARY
0155 TR TO VETERANS 18,400
0160 HEALTH DEPARTMENT 735,228 (6,281)
0162 HEALTH - PUBLIC HEALTH NURSE
0166 TR TO N/R-COUNTY LAKES 12,320 (105)
0171 TR TO HEALTH FOR GIS 4,260
0180 TR TO ROAD FUND -
0200 COMMUNITY DEVELOPMENT (DCD) 597,960 (5,109)
Total Operating Transfers 2,196,708 (18,573)