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We have read in this blog and elsewhere that the State budget this year deleted $48 million that had been earmarked to come to Orange County as part of a long-term state strategy associated with the County bankruptcy. In spite of the Supervisors’ attestations back in the 90’s when bankruptcy was filed and a work out plan was being developed that no state bailout finds would be sought, this $48 million per year was built into the annual State budget strategy to help the County, and the County has counted on that money each year.
But this year that money got cut out. County Supervisors and the Executive Office sounded an alarm of shock and dismay. The recently approved county budget had assumed that money would be there, and this State action blew a big hole in that budget. Efforts to crash through special legislation this summer to restore that money failed. Thus the hole remains.
So, how and why did this happen to our beloved County government? Here are a few of the possible reasons:
- The State’s overall dire budget situation forced the State to leave no stone unturned in a search for money.
- The fact that per news reports our county was handing out “lavish” raises of up to 30% to at least some of its top managers – communicating an attitude of imprudence and arrogance.
- The fact that after the June County budget hearings one or more Board members bragged publicly and was quoted in the press bragging about how well the county is run, how the budget did not have to tap reserves but actually increased County reserves. Again communicating a bit of arrogance.
- The reality that Orange County’s legislative delegation (our State Assemblymen and State Senators) in Sacramento have no clout and can be run over.
Will the Supervisors slash the County budget to cover this shortfall, or do they have enough reserves stashed away to handle it? What about next year? And, what about reports that the revenue flowing into Sacramento is below the level estimated in the State budget and that will trigger mid-year State budget cuts, some of which will trickle down to the counties, thereby making Orange County’s budget hole even bigger?
Then there is the shift of state prison inmates to the counties. Sure, there is a promise of funding to pay the counties for the increased cost, but no one should make a bet that funding will be adequate, much less there at all.
You can anticipate attempts at across-the-board budget cuts in County government, effort to get the labor unions to grant concessions to cover at least part of the budget hole, and perhaps even some smoke and mirrors. The Supervisors are in for some tough public policy making.
For those who don’t believe that the Supes were jangling their keys in front of the rest of the state just three months ago, here’s a link to [http://www.scpr.org/programs/patt-morrison/2011/06/28/19677/oc/ a summary from the archive page of the excellent Patt Morrison] (who was not having her most excellent journalistic moment) three months ago. The story is summarized:
It may be noted that one caller from Orange County (who shall remain unnamed) left effluvia in the punch bowl — even without knowing that the Supes were just livin’ large off of Daddy’s Money.
Assemblymen Jose Solorio and Tony Mendoza voted to take away the $48 million from Orange County.
Then Solorio authors a bill during the summer session to restore the money to the county but the bill fails to clear or even be brought up in the Senate. He claims a half-assed victory though, saying at least he “moved it”. He can give lessons in how to shoot yourself in the foot, twice! Obviously not the brightest bulb in the chandelier.