To: Board of Supervisors
From: County Administrative Office
Agenda Section: Departmental
SUBJECT:
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Supplemental Budget and Carry Forward of Measure Z Funding from Fiscal Year (FY) 2019-20 into FY 2020-21 (4/5 Votes Required)
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RECOMMENDATION(S):
Recommendation
That the Board of Supervisors:
1. Approve a supplemental budget (Attachment 1) for requests for carry forward funding and additional Measure Z allocations approved at the Jan. 26, 2021, Board of Supervisors meeting (4/5 vote required); and
2. Discuss the 2-1-1 request for additional funding and supplemental budget and provide direction to staff (4/5 vote required).
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SOURCE OF FUNDING:
General Fund - Measure Z
DISCUSSION:
On Jan. 26, your Board reviewed updated Measure Z revenue and expenditure estimates for FY 2020-21. As presented, the FY 2020-21 budget was adopted with the use of $1.6 million in fund balance due to budgeted reductions in Measure Z revenues following COVID-19. Measure Z revenue is now estimated at $11 million for FY 2020-21, exceeding budget estimates by $1.6 million. Due to increased revenues and expenditure savings anticipated in FY 2019-20, the FY 2020-21 beginning Measure Z fund balance is estimated to be $1,013,388, of which $527,504 was approved by your Board on Jan. 26 to be carried forward into FY 2020-21. In addition, your Board approved the allocation of additional funding for new Measure Z projects totaling $799,330. These additional allocations are funded through Measure Z revenue that has come in higher than estimated and estimated expenditure savings in FY 2020-21. This agenda item effectuates those decisions, and also recommends that your Board discuss whether the 2-1-1 request approved during the aforementioned meeting should still be funded in light of new information. The following details the approved allocations:
Carry Forward and Additional Allocations
The carry forward requests approved by your Board are as follows, and are included in the supplemental budget documentation as Attachment 1:
• $18,259 for KMUD
• $17,155 Measure Z audit
• $364,208 Humboldt County Fire Chiefs
• $127,882 Orleans Volunteer Fire Department
Total carry forward amount is $527,504.
The additional allocations approved are as follows, and are also included in Attachment 1:
• $200,000 for Public Works Harrison Ave project
• $353,996 Public Works Roads
• $80,000 Public Works Illegal Dumping
• $7,600 Garberville Town Square
• $1,748 Access Humboldt
• $10,000 The People of New Directions
• $7,900 College of the Redwoods - CERT Coalition
• $33,488 City of Rio Dell Police Department
• $58,498 City of Fortuna Police Department
Total additional allocations as a result of increased Measure Z revenue, not including the 2-1-1 project is $753,230.
2-1-1 Funding Request
On Feb. 3 while staff worked to develop a contract with 2-1-1, staff received a correspondence from 2-1-1 (Attachment 2) that indicated funds would not be used for the purchase of goods and services included in the original application (Attachment 3), which impacts staff’s ability to develop a contract for this application. Instead, 2-1-1 is planning on using funding for “day to day work of 2-1-1,” as opposed to the after-hours call center, computer equipment, information technology services and generator as stated in the application. As it pertains to spending, 2-1-1 has resubmitted a budget (Attachment 4) indicating that the funding will be used to support salaries for two of the organization’s staff members. It was not clear during the Jan. 26 meeting that this new focus was going to be the purpose of the funding award, and no documentation was available for the agenda item or to reference during contract development.
In an effort to ensure transparency around Measure Z, staff requests direction from your Board on whether to approve funding for 2-1-1’s new funding request and supplemental budget (Attachment 5).
FINANCIAL IMPACT:
The total amount of carry forward funding in Recommendation 1 for Measure Z is $527,504. There is sufficient funding in the General Fund Measure Z fund balance for this appropriation. The amount of additional allocations included in Recommendation 1 totals $753,230. Due to increased Measure Z revenue and expenditure savings in the current year, there is sufficient funding available for these approved expenditures. The requested amount of funding contained in Recommendation 2 regarding the 2-1-1 application totals $46,100. Should your Board choose to allocate funding to this project, there would be sufficient funding available for this request due to increased revenue in the current year.
STRATEGIC FRAMEWORK:
This action supports your Board’s Strategic Framework by enforcing laws and regulations to protect residents , creating opportunities for improved health and safety, and protecting vulnerable populations.
OTHER AGENCY INVOLVEMENT:
Citizens’ Advisory Committee on Measure Z Expenditures
ALTERNATIVES TO STAFF RECOMMENDATIONS:
The Board could choose not to approve the supplemental budget in Recommendation 1, however this is not recommended as the Board previously directed staff to take this action. Regarding Recommendation 2, the Board could choose to reallocate $46,100 in funding previously allocated to 2-1-1.
ATTACHMENTS:
Attachment 1 - Measure Z Carry Forward and Supplemental Budget
Attachment 2 - Message Regarding 2-1-1
Attachment 3 - 2-1-1 Application
Attachment 4 - 2-1-1 Revised Budget
Attachment 5 - 2-1-1 Supplemental Budget
PREVIOUS ACTION/REFERRAL:
Board Order No.: K-1, F-1
Meeting of: 1/26/21, 4/16/19
File No.: 21-110, 19-521