El Dorado County recommended budget is 12% over last year - $864.9 million

EL DORADO COUNTY, Calif. - El Dorado Chief Administrative Officer Don Ashton today released his Fiscal Year 2022-23 Recommended Budget to the Board of Supervisors. The total Recommended Budget is $864.9 million, which is a $93.1 million (12%) increase over the FY 2021-22 Adopted Budget of $771.8 million and includes all Governmental Funds, including the use of Special Revenue Funds.

The Recommended Budget fully funds the General Fund Contingency at $16 million and General Reserves at $10.75 million, in accordance with the Board’s budget policies. Additionally, this Recommended Budget meets the Board’s new policy goals of contributing $6 million to the Designation for Capital Projects as well as exceeds the policy goal of contributing $5 million of discretionary revenues to road maintenance by $2 million, for a total contribution to road maintenance and snow removal services of $7.95 million.

The increase in the total Recommended Budget can primarily be attributed to the Mosquito Bridge replacement project, Caldor Fire hazardous tree removal projects, the second allocation of American Rescue Plan Act (ARPA) funding, and increased state and federal grants and allocations in the Health and Human Services Agency, as well as compensation increases provided to county staff.

“Due to the Board’s constraints and adherence to fiscal and budget policies that have been developed over the past six years, as well as much higher than anticipated discretionary revenues and federal funding associated with the CARES Act and American Rescue Plan, the County’s General Fund is in a strong position,” Ashton said.

Total General Fund appropriations are recommended at $397.6 million, which is $27.1 million (7%) more than the FY 2021-22 Adopted Budget of $370.5 million approved by the Board in September 2021.

The budget also addresses the Board’s previous direction by including the following:

• $3.9 million for the Sheriff’s helicopter program including $800,000 in ongoing operational costs, funded by $400,000 from Transient Occupancy Tax revenue and $400,000 from the General Fund.
• $2.5 million to support one-time costs for local fire districts.
• $300,000 to establish the Office of Wildfire Preparedness & Resilience.
• $2.9 million set aside for future CalPERS cost increases.
• $2.15 million set aside for the FY 2023-24 Public Safety Facility loan payment.
• $1 million for the Diamond Springs Community Park and $250,000 for the Chili Bar park project.
• An additional $9.8 million is set aside in contingency to address future unknown cost increases relative to inflation and economic uncertainty.
• $20 million in federal revenue and expenditures to begin construction of the Mosquito Bridge.
• $95,600 to Arts & Culture El Dorado County.
• $76,500 to offset maintenance costs for the Placerville Pool.

“Although the County currently sits in a secure economic position due to previous Board decisions and diligent staff work, we cannot ignore the warnings of many experts who are predicting a recession and the impact it would have on our ability to provide goods and services at the current level,” Ashton said. “Therefore, the most prudent approach is for the
Board to maintain these reserves and contingency amounts, without authorizing any additional spending at this time.”

State law requires counties to have a budget in place no later than June 30th of each year. The Recommended Budget can be found here.

The Recommended Budget will be presented to the Board of Supervisors at its next meeting on June 7.