Health department projects modest shortfall, asks commissioners to backfill WIC and weigh transfers

The Davis County health department told the Budget Committee on Oct. 2 that it expects to end 2024 with a healthy fund balance but faces a structural shortfall next year that may require dipping into reserves.

Brian Hatch of the health department said projected revenues for 2025 total just over $21 million — roughly $12 million from health programs, nearly $3 million in senior services and about $6.0 million in property tax — while proposed expenditures are about $21.09 million. "In the 9 years I've been doing this budget, it's the first time I have not been able to balance my budget with just my revenues coming in," Hatch said.

Hatch and staff emphasized that the department's funding mix is volatile: "Approximately 25% of the budget comes from the county," he said, while the rest relies on fees, state contracts and federal grants that are phasing down as COVID-era funding ends. To date the department has used federal carryover and infrastructure grants to support positions and programs, but Hatch warned those pots are shrinking.

The presentation described personnel as the largest expenditure (about $14 million), operating costs of roughly $6 million and capital near $200,000. Hatch said the department cut roughly 11 positions this year (staff clarified later that total reductions across health and seniors were closer to 15) and has already signaled additional possible position eliminations for next year to manage costs.

Staff also told commissioners they transferred $4,000,000 from fund 15 (operating) to fund 46 (capital) earlier in the year to fund parking, landscaping and other projects. "We transferred $4,000,000 from fund 15 to fund 46," Hatch said, noting the move shifts money between county funds rather than spending it away.

A separate funding request centered on the Women, Infants and Children (WIC) program. Hatch said WIC's administrative budget is about $160,000 short, putting the program's ability to administer federal vouchers at risk if administration staff are cut. "We're about a hundred and $60,000 short," he said, and urged the committee to consider using unprogrammed county funds to backfill WIC for roughly one to 1.5 years as participation and reimbursements recover.

Commissioners reacted supportively and asked staff to prepare a formal application and obligation documents. One commissioner asked that the obligation be completed by Nov. 1 to ensure timely use of funds; another suggested Dec. 1 as an alternative timeline.

Hatch highlighted senior services impact: the department delivered about "18,000 home delivered meals last year," and staff valued volunteer contributions at roughly $1.3 million in volunteer-hour equivalents. He warned that cutting administrative staff risks losing federal program dollars that fund direct services.

On personnel policy items, the department included career-ladder increases for seven health employees and one senior-services employee in the proposed budget and requested a time-limited replacement position to cover an employee who will be deployed for about 15–18 months.

Looking at FY2024 results, Hatch said the department grew fund balance this year (chiefly by using federal funds effectively), but he cautioned that growth is unlikely to continue as federal pots end. He proposed a controlled, gradual spend-down of reserves rather than abrupt service cuts and suggested working with the auditor's office on a five-year spend plan for fund 15 and fund 46.

There were no formal votes at the session. Commissioners praised the health department's management and interdepartmental help on other county transitions, and directed staff to produce the WIC funding application and obligation paperwork for committee consideration by early November.