Board accepts $13.7 million mid‑year budget adjustments as county workers press for pay; CAO disputes $532M underinvestment claim

Kern County supervisors on Feb. 25 received their mid‑year status report for the fiscal year 2024–25 budget and approved a package of adjustments to recognize roughly $13.7 million in additional discretionary revenue and about $6.5 million in newly identified restricted sources.

County Administrative Office staff told the board the mid‑year increase is primarily from unexpected sales and use tax receipts and reassessments in property tax and realignment receipts. CAO staff proposed a set of mid‑year actions to allocate the funds to maintenance and one‑time needs, to increase appropriations for payroll adjustments and utilities in several departments, and to set aside monies for known future costs such as Heart Flat fire station and an animal services facility.

“ The county budget was adopted on 08/27/2024 and totals 4,400,000,000.0,” CAO staff said in the presentation, and staff later summarized the mid‑year discretionary adjustment as approximately $13.7 million to be applied to projects and contingencies.

Specific mid‑year additions cited in the staff report included: - Establishment of several major‑maintenance projects with capped authorizations: veteran services payment improvements (not to exceed $110,000), Panorama erosion‑control design (not to exceed $121,000), and Jameson Children’s Center improvements (not to exceed $100,000). - Human Services Flower Street improvements (not to exceed $500,000). - Recognition of approximately $6.5 million in additional restricted state funding for departmental operations. - Increases in services and supplies appropriations (largely utilities and program costs) and contingency adjustments for personnel matters and hearing officers.

CAO staff emphasized that some unobligated or unspent appropriations are capital projects that will carry forward to the next fiscal year; unused budget authority from one year is commonly carried forward to finish multi‑year projects.

Public comment: dozens of employees press for pay, warn of strike

The mid‑year presentation was followed by an extended public comment period in which many county employees — including social workers, behavioral health staff, in‑home supportive services workers and other departmental employees — urged the board to prioritize pay and staffing. Tanya Salinas, president of SEIU Local 521, said the Central Labor Council had granted a strike sanction to SEIU 521; county staff and multiple speakers said SEIU‑represented employees are prepared to strike on March 5.

“ SEIU 521 has been a long champion for the rights and dignity of workers,” Tanya Salinas said, announcing the union action. Multiple county employees described unfilled vacancies, caseloads that have grown to unsafe levels and departures of experienced staff because wages are not competitive. A number of speakers said the county had failed to deploy previously budgeted or reserved funds for services and cited figures in a union white paper alleging more than $532 million in underinvestment over three years.

CAO response and board exchange

CAO staff responded directly to the $532 million claim during the meeting. Elsa (CAO staff) told the board and the public that the $532 million figure appears to be drawn from backward‑looking financial statements (the county’s Annual Comprehensive Financial Report for earlier fiscal years) and that the figure does not represent a simple pool of discretionary budget money available for immediate use. Elsa stressed that financial statements are annual snapshots; some line items cited by the union reflect timing differences, refunds, transfers, capital carry‑forwards and other accounting items that do not translate to unused discretionary cash available for payroll purposes.

“ What was not included is a shortfall of revenue. So if you don't have revenue, you spend less,” CAO staff said, explaining timing and accounting distinctions. CAO staff offered to provide a layperson summary and to return with more detail on how the figures were compiled.

Board action

After discussion the board voted to receive and file the mid‑year budget status report and the proposed adjustments. The CAO and department staff said they will continue to monitor revenues, federal and state budget actions that could affect the county and return to the board if further adjustments are needed before the fiscal year ends.

Ending

Supervisors pressed staff for further detail and analysis about the balance between maintaining reserves and accelerating hiring or pay. Several supervisors and department directors said the county faces structural constraints — including restricted state funding for many programs and uncertainty about future state or federal changes — and that mid‑year actions were tailored to known one‑time needs and obligations while departments continue to press for staff and competitive pay.