STOCKTON – On June 21, the San Joaquin County Board of Supervisors unanimously approved a $2.59 billion structurally-balanced budget for Fiscal Year 2023-2024. This reflects an increase of $370.8 million when compared to the 2022-2023 adjusted budget. The estimated general fund year-end balance for June 30, 2023 is estimated at $180 million, most of which will be transferred to reserves for future costs.
"The Board of Supervisors is pleased to announce the approval of the 2023-2024 Budget, which is structurally balanced and provides resources for the Board’s top priorities,” said San Joaquin County Board of Supervisors Chair, Robert Rickman. “After three years of coping with the personal and financial impacts of a devastating pandemic, the County is finally on the other side. We have great news to share from Departments countywide which will ultimately strengthen communities and benefit the lives of San Joaquin County residents.”
2023-2024 APPROVED BUDGET HIGHLIGHTS
The 2023-2024 Approved Budget is a structurally balanced budget totaling $2,591,302,580. This represents an increase of $370.8 million from the 2022-2023 Adjusted Budget. Appropriations by functional area include:
Health Services: $986.6 million, an increase of $87.4 million.
Human Services: $567.6 million, an increase of $80 million.
General Government: $220.9 million which is an increase of $54.9 million.
Law and Justice: $492 million, an increase of $51.4 million.
Roads and Facilities: $129.8 million, an increase of $4.5 million.
Capital Maintenance and Improvement: $145.1 million, an increase of $87.6 million.
Environmental Protection: $29.8 million, an increase of $1.8 million.
Parks and Recreation: $10.8 million, an increase of $3.5 million.
Education: $8.7 million, a slight decrease of $350,992.
OTHER NOTABLE 2023-2024 APPROVED BUDGET ITEMS
American Rescue Plan Act (ARPA) Funds Deployment: The County continues to deploy $148 million in ARPA funds received to offset the economic effects of COVID-19. The County has committed nearly all of these funds for a variety of projects including: transitional and supportive housing; expanding behavioral health workforce in the County; improvements to Veterans’ facilities; mitigation of illegal dumping; and numerous projects within County departments and fire agencies which benefit local residents.
Registrar of Voters: With its commitment to increase election integrity and transparency, the Board has established an Elections Advisory Committee to increase voter confidence, public trust, and voter engagement in the County. The ROV Office has also been restructured and expanded to provide more capacity and oversight over elections activity.
San Joaquin General Hospital (SJGH) Management Services Agreement (MSA): Beginning July 1, 2022, the County entered into a MSA between SJGH and Dignity Health to leverage on the expertise and resources of Dignity Health to enhance the clinical and financial operations of SJGH. The new management team has been implementing clinical, operational, and fiscal best practices, and streamlining functions to optimize efficiency and effectiveness. The County is currently exploring extending the MSA and moving into a second phase.
Investment in Public Improvement Projects: Several projects will enter the construction phase during 2023-2024 including: $19.6 million to provide a replacement facility for the District Attorney’s Office; $27.5 million for classroom, training, and evidence facilities on the Sheriff’s Campus; $9.8 million for an Emergency Medical Services warehouse and office replacement facility; $37 million for a County Detention and Program facility; and $18.2 million for the Morgue/Medical Examiner facility replacement.
Labor Costs: Employee salary and benefit costs comprise approximately 46 percent of the County’s Approved Budget. While the County has current labor agreements with 100 percent of the County labor force, 10 percent of the represented labor force works under an agreement that is set to expire during 2023-2024. Costs from these negotiations are unknown at this time; therefore, no cost increases are included in the Approved Budget.
Reserve for Contingencies: The Approved Budget maintains the Reserve for Contingencies balance at $129.6 million to comply with the Board’s policy of setting the balance at five percent of total appropriations.
Unfunded Retirement Liability: Funds the full five percent contribution toward the unfunded retirement liability at a cost of $30.5 million, with a net County cost of $10.4 million, financed from ongoing funding sources.
Staff Positions: Includes a net addition of 80.3 new full-time equivalent positions that will bring the total number of county positions to 8,046.7.
Non-County Organization Funding: Allocates $2.7 million to 26 Non-County community-based organizations.
“The 2023-2024 Adopted Budget has been carefully designed to serve the public interest, while at the same time remain fiscally sound. Many hours of hard work and collaboration were spent by the County’s dedicated employees and executives to develop this spending plan. It is their talent, creative thinking, understanding, and commitment to public service that help make San Joaquin County such a thriving community,” concluded San Joaquin County Administrator Jay Wilverding.
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