Yolo County supervisors approve recommended 2025-26 budget relying on one-time funds, reserves and unfunding of positions

The Yolo County Board of Supervisors on June 10 approved a recommended fiscal year 2025-26 budget that uses one-time revenues, targeted reserve draws and the unfunding of dozens of positions to bridge a roughly $40 million baseline shortfall.

County Chief Administrative Officer Mike Webb said the county’s financial outlook is tied closely to state decisions: “as the state goes, so does the county,” and that the recommended budget is intended to buy time while staff and the board develop longer-term options.

Chief Financial Officer Tom Haines told the board the county began the budget process with “an initial base budget gap of nearly $40,000,000” and described addressing the county’s structural budget deficit as a multiyear effort. “Addressing the county’s structural budget deficit will be a multiyear process. Today is step 1,” Haines said.

Nut graf: Why this matters — The recommendation balances a $723 million net operating budget with a mix of temporary solutions that protect most services in the short term but leave open hard choices later. The package reduces staffing levels, taps policy reserves and relies on one-time sources while asking staff to return with reduction principles and revenue-generation options ahead of the final adopted budget in September.

What the board approved and how it balances the books

- Size and balance: Staff presented a recommended net operating budget of about $723 million and an initial base gap near $40 million. The proposed package uses carryover fund balance (about $9 million), other one-time sources ($7.6 million), reserve draws (about $4.1 million total), departmental reductions (about $13 million), and salary savings (about $5.2 million) to reach balance.

- Positions: The recommended budget shows a net reduction of 55 full‑time equivalent positions. The document adds two non‑general‑fund positions (a child support specialist and a clinician) and recommends eliminating 10 currently vacant positions and unfunding roughly 47 others across departments. Haines said staff recommended unfunding rather than immediate elimination for many vacancies so the board and departments can complete a strategic review before permanent cuts are made.

- Reserves and…