Madera County adopts $578.4 million FY2025‑26 budget with modest operating deficit

The Madera County Board of Supervisors voted 5-0 on June 9 to adopt the county'wide fiscal year 2025‑26 operating and special district budgets following a presentation by County Administrative Officer Jay Varney and County Administrative Office staff.

County administration presented a proposed operating budget of $578,436,287 and said it reflects a net increase of just over $47 million across all county operating funds. Jay Varney and Joel Begay told the board the county expects modest revenue growth — about $5.1 million (4.6%) over the current year — but that revenues remain constrained compared with past years, especially in sales and agricultural property tax receipts.

Varney and Begay said the proposed budget funds 1,754.75 positions, a net decrease of 22.25 funded positions from the current year. The CAO's office said it recommended unfunding 41 currently vacant positions to achieve that net reduction; some unfunded jobs were anticipated to be filled through grant or subvented funding. The presentation said no layoffs would be triggered because the positions being unfunded are vacant.

The administration projected an operating deficit of about $1.2 million for FY2025‑26. With conservative assumptions on salary savings (1%), the office said the projected year-end deficit would be about $748,000 and that, under current assumptions, the county's reserve (fund balance) would fall to approximately $319,000 at year end. "We still have work to do," Begay said, noting the county had cut a previously adopted $6.8 million deficit to a much smaller shortfall through hiring freezes and other measures.

The CAO highlighted several cost pressures: an estimated $1.1 million increase in retiree health premiums driven in part by federal prescription drug changes and higher Medicare premiums; a roughly $700,000 increase in the CAL FIRE cooperative agreement (reverting from a one-time state infusion the prior year); and timing differences in election reimbursement revenue. Begay said discretionary funding remains heavily weighted toward public safety, with about 73% of discretionary dollars allocated to those functions.

The CAO presentation noted the county holds $4.1 million in LATCF (Local Assistance and Tribal Consistency Funding) dollars, which Begay identified as flexible funding the county could use for governmental purposes other than lobbying. "Those funds can be used for any governmental purpose other than lobbying," Begay said. He and Varney said administration would likely bring recommendations later about whether or how to use LATCF to help stabilize reserves but did not propose a specific use at the hearing.

Public comment and several supervisors emphasized transparency and follow-up work. Supervisor Rogers said public discussion of the LATCF dollars was important; Rogers and other board members asked staff to continue working with departments to identify further efficiencies and to pursue targeted hiring freezes and strategic position fills.

After public comment was closed, a supervisor moved to adopt the budgets and the board approved the fiscal year 2025‑26 county operating and special districts budgets by roll call: Supervisors Rogers, Porteous, Warmbo, McCauley and Chair Gonzales voting yes.

Votes at a glance

- Motion: "Adopt resolution approving the county budgets, including special revenue budgets and special districts budgets for fiscal year 2025‑26." Mover/second: not specified on the record. Outcome: approved by roll call, 5-0 (Rogers, Porteous, Warmbo, McCauley, Chair Gonzales).

Why it matters

County officials described progress in narrowing a multi-million dollar structural gap, but they warned the remaining shortfall and very low projected fund balance leave little margin for error. The board's adoption authorizes departments to begin operating under the proposed appropriations while staff continues quarterly revenue monitoring and follow-up reporting.

What comes next

Administration said it will return with more detailed recommendations on use of LATCF funds and with quarterly budget updates. Departments flagged for further work include public safety, where several vacant positions were unfunded, and service areas with high contract spending.

Sources and attribution

This article is based on the June 9, 2025 Madera County Board of Supervisors budget presentation by County Administrative Officer Jay Varney and County Administrative Office staff (Joel Begay), public comment from members of the public, and the board's roll-call vote recorded at the meeting.