The Mercury News
August 6, 2003
 
County must cut millions more

By Karen de Sá

The Santa Clara County supervisors have “used a meat cleaver” and “bled a turnip,” and there is more hacking and wringing ahead of them. Tens of millions of dollars still need to be cut from programs providing health care, public safety and parklands, following passage of the state budget.

Acting county executive Pete Kutras delivered the discouraging news Tuesday that an additional $30 million will have to be removed from this year's budget, which already reflects $156 million in cuts.

At the same time they are trying to keep from drowning in red ink, the supervisors are searching for a permanent county executive who may, or may not, be Kutras.

The former assistant executive is among five candidates vying to manage Northern California's most populous county on a permanent basis. The board will narrow the field to two or three people after daylong interviews Tuesday. County officials say two of the five are from out of state, and one candidate is a woman. Their identities are being tightly protected.

“We're looking for someone who knows how to manage us out of the tightest fiscal situation I've seen since 1983,” Supervisor Liz Kniss said. With spending this restricted, she added, “we're talking about wringing the last vestiges out of departments, services and right out of our employees.”

The county passed its $3.3 billion budget in June. Kutras is now recommending that additional cuts be considered before an Oct. 7 final vote. But he acknowledged the difficulty of figuring out exactly what part of the bone to shave. In addition to state cuts, a “sluggish local economy” and disappointing income from property taxes have contributed to the problem.

While some departments and programs such as in-home health care, child support and crime lab services face no reductions, others are getting hit hard. County managers propose that public health programs be reduced by an additional 8 percent and social services by 7 percent. Other departments, like planning, have been “debilitated” due to attrition, hiring freezes and layoffs.

Although decisions have to be made in a hurry to brace for further shortfalls predicted for 2004 and 2005, some alternatives to the meat cleaver approach are circulating.

Supervisor Jim Beall proposes asking departments to absorb the cost of grant money that dries up, rather than relying on county funds as a replacement. And Patricia Gardner, director of the Silicon Valley Council of Nonprofits, recommends that core human services be shared by several county departments in order to maximize resources.

But even prudent planning can't account for unpredictable expenses.

In further action Tuesday, the board reluctantly allocated $5 million for the upcoming gubernatorial recall election. The unbudgeted expense will cover poll workers, ballot printing and postage.