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Supervisors delay nonprofit cuts, continue midyear budget ordinance after hours of testimony

Government Audit and Oversight Committee · December 15, 2008
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Summary

The Government Audit and Oversight Committee agreed to continue consideration of the mayor—s midyear supplemental appropriation ordinance, won—t implement community-based organization cuts until Feb. 20 and asked for further review of other proposed reductions after hours of public testimony highlighting health and social-services impacts.

The Government Audit and Oversight Committee voted on Dec. 16 to continue consideration of the mayor—s midyear supplemental appropriation ordinance (AAO) and to seek alternatives to immediate nonprofit and frontline staff cuts, after more than three hours of public comment from health-care workers, unions and community-based organizations.

Chair Supervisor Aaron Peskin opened the discussion by proposing the committee sever sections of the ordinance tied to a proposed wage freeze and to delay cuts to community-based organizations (CBOs) until Feb. 20 to allow further bargaining with labor and additional review. "These cuts will go into effect if we take action or we do not take action," Peskin said, urging a careful, transparent process that buys time for negotiation.

The nut of the debate centered on whether the board should act quickly to prevent the mayor from unilaterally implementing reductions or instead allow more time for analysis and public input. City Controller Ben Rosenfield told the committee the charter allows the mayor to implement spending reductions but that the board could either adopt amendments to the AAO or request targeted actions, including delaying specific reductions and reappropriating identified savings. "You could take just that action in an ordinance form," Rosenfield said, describing options to reappropriate savings to CBOs.

Health-care professionals and nonprofit leaders told the committee the proposed cuts to the Department of Public Health (DPH) and to CBOs would harm vulnerable San Franciscans and could increase demand on emergency services. "We're looking at a 50% reduction in our RN staff," said Claire Horton, associate medical director at San Francisco General Hospital's general medicine clinic, describing what she called a "real calamity" if clinical staffing were cut. Nurses, physicians and service providers urged supervisors to preserve primary care, outreach and case management programs that they say prevent costlier hospitalizations.

Supervisors raised procedural and equity concerns. Several members asked staff for more precise breakdowns of layoffs by classification and for a review of management hiring in recent years as potential alternative savings. Visiting Supervisor (referenced in discussion) and others also noted the political and timing challenges of acting just before a new board is seated.

The committee agreed to continue the AAO "to the call of the chair," effectively giving staff, the administration and the incoming board additional time to negotiate and review alternatives. The chair thanked the mayor—s budget office for agreeing to push back the scheduled CBO reductions until Feb. 20 to give the board time to consider options.

The action leaves the core AAO unresolved but establishes two clear near-term outcomes: the committee will press for more data on the human impact of specific cuts and the mayor's office has agreed to delay community-based organization reductions until Feb. 20 while negotiations continue. The committee adjourned with the item continued to the call of the chair.