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Board approves conceptual plan to split Health Agency into separate Behavioral Health and Public Health departments

San Luis Obispo County Board of Supervisors · March 10, 2026
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Summary

The board gave conceptual approval to realign the Health Agency into two standalone departments—Behavioral Health and Public Health—effective July 1, 2026; staff said the reorganization aims to clarify operational and fiscal accountability, create director roles and align programs, with ordinance and budget steps to follow.

The Board of Supervisors on March 10 conceptually approved a plan to restructure the county’s Health Agency into two standalone departments: the Department of Behavioral Health and the Department of Public Health, with the change slated to take effect July 1, 2026.

Sarah Hader of the county executive office presented the reorganization proposal, which staff said is intended to reduce organizational layering, clarify department‑level fiscal and operational accountability, and align program oversight (animal services and the public guardian would be assigned to an appropriate new department). Under the plan, new executive classifications (director of behavioral health, director of public health, and a separate county health officer classification) would be developed and recruitments would align with the new fiscal year. The health agency layer would sunset on June 30, 2026; current reporting relationships would remain in place until that date.

Supervisors sought clarification on reporting lines—particularly the county health officer, deputy county health officer and how clinical programs would be managed—and asked whether the reorganization would be cost‑neutral. Staff said initial budget reviews do not frame the restructuring as a cost‑savings measure and further ordinance, classification and budget adjustments will come back to the board for formal action.

Board action: the board voted to conceptually approve the recommended changes and directed staff to proceed with code amendments, classification development and recruitment steps tied to the FY26‑27 budget cycle.

What’s next: staff will draft county code amendments and position‑allocation changes, bring classifications and employment agreements to the board (one director recruitment was already underway), and include any necessary position changes in the FY26‑27 budget process.

Sources: Executive Office presentation and board discussion at the March 10 meeting.