County leaders look for funds to pay for services

By Christine Souza

California counties, key to delivering services for public safety, emergency response and protecting human health, are bracing for state revenue cuts as California faces a historic budget deficit.

The fiscal crisis creates concerns in rural agricultural counties, as local governments look for ways to fund core needs such as fire services.

“The big concern is what happens with the state budget this year, because whenever we have a big deficit like this, there’s always a major trickle-down to the counties,” said Staci Heaton, senior policy advocate for the Rural County Representatives of California.

Merced County is already struggling to fund public safety services, including fire, sheriff’s department and ambulance services. At its board meeting last week, the Merced County board of supervisors delayed acting on hiring new firefighters.

Due to the county’s contract with CalFire, it has a deadline of Nov. 1 to increase staffing at 19 stations. To meet state mandates to increase firefighter staffing, the county estimates it needs to spend an additional $6.9 million for 27 new firefighter positions.

CalFire requires firefighter staffing of two fire personnel on duty 24 hours a day, with at least six personnel available for any given shift. Last year, to prepare for the requirements, the county spent $2 million from its general fund to hire 12 new firefighters but needs to hire more to comply.

Merced County Assistant Fire Chief Mark Pimentel said it is unacceptable that the county is the last jurisdiction in the state operating below minimum staffing requirements.

“We serve 286,000 residents and average about 11,950 calls per year,” Pimentel said. “Those calls are increasing annually, and I don’t think it is going to stop.”

For the county to reach required staffing, Pimentel presented one alternative that involves spending $3.8 million to add 15 firefighter positions. The option consolidates two stations, eliminates one station and redirects staff. Another alternative costs the county $760,000 to hire three firefighters. This option consolidates four stations to two, eliminates two stations and redirects staff.

Public commentors said closing and/or consolidating fire stations would reduce service, increase response times and impact remaining stations.

Merced County farmer Eric Harcksen, a fourth-generation firefighter at the Ballico Fire Department, said he is concerned about cuts to emergency services.

“Nobody is going to win,” Harcksen said. “A lot of these problems are at the state level and are impacting us locally. This isn’t sustainable. Like the Jenga game, if you start pulling pieces out, the whole thing is going to fall.”

Merced County Supervisor Scott Silveira, whose district includes Los Banos and Dos Palos, explained that the decision is not easy, especially because the county has limited funding under its discretion.

“To fund the status quo and come up with the additional $6.9 million, that means that we’re cutting other places,” Silveira said. “The pie is only so big, so no matter how we slice that pie, it’s still the same amount of pie.”

The county’s budget challenges are also felt in other areas of public safety, including the sheriff’s department and ambulance services, plus other county departments.

“Healthcare rates are going through the roof. We’re trying to figure out solutions on how we address those healthcare issues,” Silveira said. “It’s all coming and hitting us at the same time. We (supervisors) don’t take these decisions lightly, but we’re also trying to still survive as a county.”

In Stanislaus County, Westley farmer Daniel Bays, a volunteer firefighter with the West Stanislaus Fire District, said his district also faces budget challenges. He said, “Like everything else, costs in the fire service have skyrocketed.”

“Even in a volunteer department, there is still insurance and workers’ compensation that has to be carried for the volunteers,” Bays said. “Plus, the amount of paperwork and compliance with state requirements continues to grow.”

In Merced County, Silveira said county revenue from property and sales taxes is growing but costs are outpacing revenue.

“Every county is facing these challenges,” Silveira said. “Counties and cities are stuck with what they have, and if you don’t have the money, then you cut services.”

Budgetary constraints hit smaller, rural counties particularly hard because they do not have a large tax base but are required to provide county services.

“This is going to be a really challenging few years for local governments,” Heaton said. “If you are talking about a smaller county like Lake, Alpine, Sierra or Modoc, it’s going to be a struggle.”

In Modoc County, which has a population of 9,000, Supervisor Ned Coe said, “I don’t know of any counties with a pot of money or even spare change to pay for increased costs.”

“I have fire districts that have had the cost of insurance get to the point that it is now consuming more than is brought in in property assessments,” Coe said.

Speaking before the county supervisors last week, Breanne Vandenberg, executive director for the Merced County Farm Bureau, said, “Emergency services are facing issues, and all county departments are hurting.”

Heaton of the Rural County Representatives of California said many local governments are looking to the federal government for grant funding opportunities. Merced County applied for a Staffing for Adequate Fire and Emergency Response Grants, or SAFER grant, in hopes of securing funds.

In the meantime, the California Legislature approved a bill last week that seeks to reduce the state budget deficit by about $17 billion. Gov. Gavin Newsom said the deficit is about $38 billion. In February, the Legislative Analyst’s Office estimated the deficit at $73 billion.

When the state has a deficit, this typically impacts county services such as public safety and emergency management, Heaton said.

As a result, local leaders are taking a careful look at county revenues, which consist of state and federal dollars and locally generated funds from property tax and other assessments and fees. Counties may increase revenue to fund local services if approved by voters.

“Your (county) budget is what it is unless you can get voter approval for a new assessment,” Heaton said. “There’s not that much appetite for that right now.”

This year, counties are concerned, Heaton said, about a $6.4 billion mental health and housing bond approved by state voters in March, which shifts about $140 million annually of existing tax revenue from counties to the state for mental health, drug and alcohol treatment.

“It is taking away from our local coffers for programs that we run,” she said. “Counties have to make their budget cuts, and that’s where it affects our public services like public safety and emergency management.”

(Christine Souza is an assistant editor of Ag Alert. She may be contacted at csouza@cfbf.com.)