Shasta County 2024/2025 Budget Hearings: Day 1

6.6.24 9:48 pm: We have updated the article to clarify that the Assistant CEO position is currently funded.

The Shasta County Board of Supervisors began budget hearings today.

But first, the Board heard reports from supervisors and the chief executive officers as part of its regular Board meeting. After intense discussion, the board also approved a resolution directing county counsel to hire an outside investigator, at a cost of up to $30,000, to look into Supervisor Patrick Jones’ destruction of a letter from the Attorney General.

Around 10:30, the County’s annual annual budget hearing began with an overview by Deputy County Executive Officer Erin Bertain. The County currently has a staff vacancy rate of 16.5%. Some of those vacant positions will be eliminated if the county approves the draft budget. Staff is recommending a “substantial” reduction of staffing this year. Most of the 127 positions which may be eliminated will come from Shasta County’s Health and Human Services Agency, which cannot afford to keep the positions, Bertain said.

The main areas of concern when it comes to the county’s budget this year, Bertain said, include a jail upgrade, increased litigation and insurance costs, and state budget cuts which will likely exacerbate known issues with funding HHSA services. Supervisor Kevin Crye also explained that CEO David Rickert has asked all departments to be prepared to make a 5% reduction in budgets.

A number of department’s presented overviews of their budgets to the board during the first day of budget hearings. We have summarized some of the highlights of their reports below.

County Administrative Office/ Clerk of the Board/Board of Supervisors

The Board struggled to find a place to make 5% cuts within the County department dedicated to county administration, where that reduction equals about $600,000, Deputy CEO Bertain explained. Supevisor Mary Rickert pointed out that a 2.5% cut to the budget could be mostly accomplished by cutting the newly-approved supervisor raises because those total about $200,000 annually. Bertain carefully avoided suggesting that change, saying instead that she saw room for savings by renegotiating library services. CEO Rickert offered his own solution to the problem, saying he expects to eliminate a position that will result in a cost savings of about 2.5% later this year. Rickert declined to comment further on what position this would be. No one brought up the cost of Assistant CEO Eric Magrini’s position. Magrini has been on administrative leave for unknown reasons for about a year.

County Counsel

New County Counsel Joseph Larmour said increases in staffing levels recently have helped the department keep up with its basic functions of supporting the board and county departments. Filling two more staffing positions this coming year, including the assistant county counsel position, will help even more, Larmour said. He explained that some workplace conflict and toxicity had developed at the County Counsel’s office over past years, due to tight deadlines without the necessary staffing.

County Counsel services are mandated and intended to prevent the loss of funds through litigation. Larmour suggested that cutting costs at the Counsel’s office would be shortsighted, as the department’s function is essentially cost-saving to the rest of the county. He said he is open to eliminating one vacant attorney position because he doesn’t have physical office space to house an additional attorney, or the capitol funds needed to expand his physical space.

County Counsel is funded by the General Fund, Larmour said, but can recoup some of those costs through cost plan billing to other departments. He said a lack of strong leadership and good staffing services has prevented the County Counsel’s office from appropriately recouping those costs over the last few years, leading to a heavier reliance on the county’s general funds.

In response to a question from Supervisor Rickert, Larmour said the implementation of a state-established CARE Court in Shasta County will create additional workload, but should not require a full-time attorney.

The cost of the county’s outside counsel is not billed through this department.

Assessor/Recorder

Leslie Morgan, the elected head of the Assessor/Recorder’s office, said her department has been functioning at its bare minimum for years and cannot implement a 5% budget cut without affecting staffing and impacting property tax revenue. She reminded the Board that most of her office’s functions are state-mandated and that property taxes, which are based on assessed valuations by her department, are the Board’s largest source of discretionary income.

Morgan explained that variations in the economy, including interest rates, impact her staff’s workload as more or fewer properties change hands or are refinanced. Currently, she said, her department is working hard on getting ahead on all the other departmental functions so that when properties and refinances begin moving quickly again they are prepared to keep up with the demand without requiring additional staff.

Auditor

Elected Auditor Nolda Short said the only aspect of her office’s role that is not state-mandated is conducting internal audits. So if 5% budget cuts are required, Short said, those internal audits will be the first thing to go. Short explained that her department has implemented a very successful alternate work schedule program that has helped with recruitment and retention. Supervisors expressed interest in this program.

Clerk and Elections

The combined general fund impact of the Clerk and Elections Department is about $4 million. A 5% reduction in costs, if required, will result in a $25,000 decrease in available funds for the department, Assistant County Clerk and Registrar of Voters Joanna Francescut said.

Francescut said she predicts that the November 2024 election “will be the most pivotal election in our lifetime,” and she has budgeted to ensure a smooth process and good customer service throughout the process. Otherwise, she said, she has cut costs so tight that if a copier breaks she will need to return to the Board for funding. Francescut also explained that the new Shasta County Elections Commission has inadvertently affected her department’s staffing costs. Elections Commission’s business has necessitated either her attendance at meetings or significant research after the meetings to ensure she’s prepared to respond to the issues discussed. She recommended reducing the number of Elections Commission meetings to assist with cost savings for her department, but also said she’s looking forward to working with the Commission as it seeks to serve the people of Shasta County.

At Supervisor Crye’s direction, Francescut will be looking into whether the new state law (AB 969) regarding ballot counting could result in the state reimbursing some of the county’s election costs.

Tax Collection and Public Administration

Lori Scott is the County’s elected Tax Collector and Public Administrator. She emphasized that of all property taxes levied, the county general fund only keeps about 12%; with the vast majority going to county schools. Scott is also the county’s Public Administrator, meaning she administers estates after individuals’ deaths. Scott said her department’s costs are rising due to postage rate increases by USPS and public record notice publication rate increases by the Record Searchlight. Scott is working on an electronic billing process for tax collection to meet public needs.

Child Support

Department head Genna Richardson explained that Child Support does not use any county general fund monies. She said her department has seven open positions out of about fifty-six. Child Support currently subleases space to Health and Human Services, but is looking to move to a smaller dedicated space for cost savings and efficiency.

Information Technology

The County’s Information Technology department does not receive any direct contributions from the General Fund. County Information Officer Thomas Schreiber said IT doesn’t run its own programs, instead the department responds to the needs and requests of other County departments and is paid for services provided. After his brief report, Schreiber faced a number of questions from the Board. Supervisors questioned some of his costs, including overtime and special projects.

Support Services

The Support Services Department includes Personnel, Purchasing, Risk Management and Mail services. It receives no direct General Fund monies. Over the last year the Department integrated 6 staff members who moved to Support Services from HHSA. This year the Support Services Department will reduce staffing by three, Director Monica Fugitt said.

Fugitt said the risk management budget is increasing by more than a million dollars this year which is the result of a variety of insurance increases. Legal costs are also rising, she said, as a function of both legal rates and the complexity of some of the county’s claims which are often related to law enforcement services. “I’d like us to see us do whatever we can to mitigate (those) rates,” Fugitt said.

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