County avoids layoffs County avoids layoffs (June 25, 2004)

Voluntary retirement helps save $200 million to balance budget

The Santa Clara County Board of Supervisors approved a balanced budget of $3.4 billion last Friday for the 2005 fiscal year after a week of public hearings.

County officials had to make various adjustments to address a projected budget deficit of $200 million, a county spokesperson said.

The large budget deficit is mainly a result of the state's economic crisis, and the actual deficit won't be officially determined until the state legislature passes its new budget expected later this month.

To account for the impacts of potential state budget cuts, the board allocated a one-time reserve of $47.3 million, a county spokesperson said.

Among the adjustments made to account for the deficit are a series of fee increases.

Overdue fines at libraries will be raised from 25 cents to $1, park entrance fees will be raised an extra $1 per car, and fees for notary and passport services will also be raised.

In a move that will save an estimated $235,000, the county coroner's office will be reassigned under the sheriff's office.

Approximately 600 county employees have taken advantage of a new early retirement program that will help alleviate the budget deficit and prevent layoffs, according to the county executive's office.

The retirement program allows for the county to eliminate more than 500 jobs with only a few layoffs.

However, budget cuts will affect every department across the county including the elimination of a 24-hour hotline for domestic-violence victims, and an estimated 1,000 mental health patients will lose services.

A county spokesperson said that although there will be cuts to the mental health department, county officials set aside an extra $18.5 million to be used for future mental health and drug services.

The county deferred $35 million in a Public Employee Retirement System payment that will go towards preserving mental health and other "safety net'' services, the county spokesperson said.

-- Bay City News

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