OC Public Budget Workshop Slides FY 2006-2007 - ADA Screen Reader Version

RETURN TO THE PRESENTATION VERSION OF THE OC PUBLIC BUDGET WORKSHOP SLIDES FY 2006-07

County of Orange Fiscal Year 2006-2007 Public Budget Workshop
Board Hearing Room
May 25, 2006

Welcoming Remarks
Speaker Rob Richardson, Assistant to the County Executive Officer
No text available
OC Public Budget Workshop Slides FY 2006-07 ADA Screen Reader Version
Welcoming Remarks
- Prudent
- Stable
- Forward focused

Budget Highlights
Speaker Steve Dunivent, Manager, CEO/Budget Office
No text available

Budget Highlights
The FY 2006-07 Budget Recommended by the CEO includes:
- Improved General Purpose Revenues
- Less Debt
- Infrastructure and Capital
- Strategic Enhancement of Services
- Reduced and absorbed pension costs
- Replenished Reserves

Resources
- Budget Workbook
- Volume I
- Volume II
- Augmentation Book
- CD
- Line-Item Budget
- Internet www.oc.ca.gov
- Key Terms
- Department Contacts
- Survey Form
Budget Highlights
State Budget Impacts
- State budget includes a two-year increase of $7.5 billion ($4.8 current year, $2.7 next year).
- The Governor proposes to use increased funding for
  - $2.9 b Prop 98 education funding guarantee
  - $1.6 b additional debt pre-payments and repayments
  - $1.6 b increased reserves
  - $0.4 b for public health disaster preparedness
  - $0.5 b for corrections (inmate pop. & health care)
  - $0.5 b for flood control
- Some of the increased funding is being shared with local governments.

Budget Highlights
- Revenues
- Appropriations
- Positions
- Augmentations
- Reserves

Budget Highlights
A pie chart of Total County Revenues by Source, FY 2006-07 Total = $5.53 Billion ($ in millions)

Budget Highlights
A pie chart of Total County Revenue Budget, FY 2006-07 Total = $5.53 Billion ($ in millions)

Budget Highlights
A bar chart depicting the General Purpose Revenues ($ in millions)

Budget Highlights
A bar chart depicting the Fund Balance Available ($ in millions)

Budget Highlights
A table depicting the Component of FBA ($ in millions)

Components of FBA

(millions)

SFP

2nd AFR

Budget

GPR variance

30.0

71.9

71.9

Dept Variance

65.0

41.9

31.8

Enc. Reversals/Reserve Changes

10.0

9.5

9.5

Unbudgeted FBA

0

5.3

5.3

Total FBA

105.0

128.6

118.5

Budget Highlights Comparison to Nov. 2005 SFP

Comparison to Nov. 2005 SFP

(millions)

SFP

Budget

Variance

FBA

105.0

118.5

13.5

GPR

526.7

558.7

32.0

Other

5.0

0

(5.0)

Available

636.70

677.2

40.5

Budget Highlights
A pie chart of Total County Appropriations by Program, FY 2006-07 Total = $5.53 Billion ($ in millions)

Budget Highlights
Appropriations
- Pension Cost
- Infrastructure and Capital
- Debt

Budget Highlights
A bar chart depicting Pension Costs ($ in millions)
Excluding Pick-up and Reverse Pick-up
Sources: Segal May 5,2006 letter; Bartel March 30, 2006 letter

Budget Highlights
Pension Cost Reduction
- One-year vs. three-year phase in
- Prepayment in FY 05-06
- Short-term pension obligation bond for FY 06-07
- Consideration of other options

Budget Highlights
Infrastructure and Capital
- Harbors, Beaches & Parks Strategic Plan
- IWMD landfill equipment
- John Wayne Airport Capital Improvement Plan
- Central Utility Facility Co-generation
- Dana Point Harbor revitalization
- Information Technology initiatives

Budget Highlights
Debt
- July 2005 Recovery debt refinancing
  - $200m Recovery Bonds
  - $485m Lease Revenue Bonds
- $4.7m annual savings for the General Fund
- $102.5m Net Present Value Total Savings
- Shortened repayment period by 10 years

Budget Highlights
Augmentations
- Three categories
  - Rolled into base budget
  - Restore level of service
  - Expand level of service
- By Program and Department
- Multi-year format
- Outcome indicators

Budget Highlights
Augmentations
- District Attorney High-tech Crime Unit
  - 8 position and $700,000 NCC
- Probation Youth & Family Resource Centers
  - 15 positions and $1.5m NCC
- Probation Field Services
  - 12 positions and $998,000 NCC
- Theo Lacy Jail Building B
  - 26 positions and $3.5m PSST

Budget Highlights
Augmentations
- Child Family Services
  - 21 positions and $578,440 NCC
- Cold weather shelter armory
  - $500,000 and 150 more nights
- Disaster Preparedness and Recovery
  - About $1m for SSA, HCS, and Information Technology
- Watershed & Water Quality
  - One-time $1.5m NCC

Budget Highlights
Augmentations—all programs ($ in millions) 

Augentations - all programs

Positions

Total

NCC

Request

276

84.0m

61.3m

Recommended

183

75.1m

56.6m

Budget Highlights
Reserves
- Budget Workbook, page 50
- Line-Item Budget Schedule 3
- End of two year State Revenue Shift
- $16m General Fund Contingency
- $10.1m Countywide Accounting and Personnel System
- $5m Criminal Justice Facilities
- $5m County Facilities Master Plan

Youth & Family Resource Centers
Orange County Probation Department
No additional text available

Probation
Cover slide, no text available

Probation
The Youth and Family Resource Center (YFRC) is an early intervention, multidisciplinary day treatment program developed to prevent chronic recidivism among juvenile offenders.

Probation
The YFRCs serve Young juvenile offenders….placed on formal probation who have significant problems in many areas including family, school, substance abuse, and involvement in delinquent behavior…and their families.

Probation
In studies conducted by Orange County Probation, this group of juvenile offenders was identified as being at the greatest risk of becoming repeat offenders. Findings of these studies revealed that a small proportion (8%) of juvenile offenders accounted for over half of the recidivism.

Probation
Referred to as the 8% Population, characteristics of these 8%ers included
· 15 or younger at their first referral to probation
· More likely to be declared a ward on lst referral
· Presence of at least 3 of the following Risk Factors
  · Significant Family Problems (Abuse, neglect, criminal family members, and/or lack of parental supervision or control)
  · Significant Problems at School
  · Drug/Alcohol Abuse Problems
  · Delinquency Problems (gang association, runaway pattern, stealing pattern)

Probation
The YFRCs provide services to these 8%ers and their families using a team approach in a One-Stop Center.

Probation
Orange County Probation
- Case Management
- Site Supervision
- Transportation
- Activities
- Probation

Mental Health Services
- HCA Children & Youth Services

Substance Abuse Services
- HCA Alcohol & Drug Abuse Services
- Providence

Orange County Dept. of Ed.
- Full Academic Program
- Remedial Education

Community Service Programs (CSP)
- Parenting, Enrichment, & Restorative Justice Activities
- In-home Family Services

Employment Services
- Providence

Probation
Each YFRC serves 60 to 75 8% participants at any given time…and over a one year time period, a Center provides services for up to 150 8% youth & their families

Probation
The long-term goal of the YFRC program is to intervene successfully in the lives of these high-risk youth to reduce the number that go on to become repeat offenders.

Probation
Research results show the YFRCs to be most effective with the younger 8%er (15 years or under) in the following areas
- Reducing new law violation behavior and holding youth accountable
- Fewer days spent in custody
- Improving school outcomes (attendance, academic)
- Reducing substance abuse problems and other risk factors.

Probation
8% ROPP Study: Change in Risk Factors Program Entry to Exit

Probation
Less crimes committed = fewer victims, greater public safety and ultimately less cost to society.

The YFRC program model has gained national recognition as a “best practice” early intervention program.

Probation
Probation implemented the first one-stop YFRC center in 1996 in North Orange County with state demonstration grant funds.

With funding from state and federal sources, five additional sites were up and running by 2002, serving every major region in the county (2 North, 1 West, 1 Central, 2 South)

Probation
County map with initial 6 YFRC sites, no additional text available

Probation
Over the last decade, YFRC’s have provided services to over 1,300 high-risk juvenile offenders. For every youth participant, it is estimated that an average of three individuals -- the 8% youth & 2 family members -- receive YFRC services.

Probation
Why are we making this presentation?

Budget reductions at the state and federal level reduced the available funding stream for prevention and treatment type programs.

By mid 2004, four of the six YFRC program sites had been closed due to lack of funding.

Probation
County map with remaining 2 YFRC sites, no additional text available

Probation
Recognizing the importance of the YFRCs in providing intensive early intervention, the Probation Department included the restoration of these sites as the top strategic priority in the Department’s financial plan.

Included in the Department’s Fiscal Year 2006-07 budget is the $1.5 million to restore the Central YFRC (Santa Ana).

Probation
First implemented in mid-1998, the Central YFRC served over 350 8%ers before its closure in June 2004.

With the restoration of funds, the Probation Department and its partners will once again be able to provide YFRC services to 8% youthful offenders and their families from Santa Ana and nearby communities.

Probation
One-Stop collaborative programs like the Youth and Family Resource Center targeting high-risk juvenile offenders are expensive.

However, YFRC costs must be considered against the social costs of crime to society.

Probation
Recent estimates of those social costs support that dollars invested early on with these high-risk juvenile offenders have the potential to save between $1.7 to 2.3 million per offender if we can successfully keep them from a lifetime of crime and drug abuse.

Health Care Agency
Proposition 63 Mental Health Services Act

Presented By:
Mark Refowitz, Deputy Agency Director
Health Care Agency, Behavioral Health Services

Health Care Agency
Background
- Voters of California approved Prop. 63 in Nov. 2004
- Mental Health Services Act provides funding for new and expanded mental health services and supports
- Funding may not supplant existing services or fund involuntary treatment
- Planning for Components of Act will be Phased-in.
- In 2005, Planning for the Community Services and Supports Component was Initiated

Health Care Agency
Community Services & Supports Target Populations
- Adults and Older Adults with Serious Mental Illness
- Children and Youth with Serious Emotional Disturbance
- Unserved and underserved
- Homeless Mentally Ill

Health Care Agency
Community Services & Supports Planning Process
- Community Services and Supports funding: Orange County will receive approx. $25 million per year for three years
- Open, participatory planning process
- More than 4,000 attendees at a variety of public meetings and stakeholder groups
- Priority issues and outcomes identified for each age group
- Homeless Documentary Film

Health Care Agency
Community Services & Supports Planning Process (continued)
- Community Outreach
- Training Workshops
- Workgroups
- Steering Committee
- Focus & Stakeholder groups
- Public Hearing on December 8, 2005
- Unanimous approval by the Board of Supervisors on December 13, 2005
- Approval by Department of Mental Health, effective April 1, 2006

Health Care Agency
Long Terms Goals
- No longer a “fail first system,” rather a “treat early approach”
- Early identification and treatment
- A future where everyone with mental illness will have the opportunity to recover
- Stigma will be eliminated
- A future where everyone with mental illness has access to effective treatment and supports: essentials for living, working, learning, and participating fully in their community

Health Care Agency
Program Requirements
More than 50% of funding must go to Full Service Partnerships
- Flexible wraparound program and funding
- Available 24/7/365
- “Whatever it takes” to assist clients and families

The Remainder may go to System Development and Outreach & Engagement Programs
- Mobile Crisis Response
- Crisis Residential
- Family Stabilization
- Treating Co-occurring disorders

Health Care Agency
Community Services & Supports Total Annual Funding and Education & Training and Housing One-Time Funding

Health Care Agency
Service Providers

- Most services will be contracted out
- Health Care Agency is using an Request for Proposals process
- To expedite start date, most Requests for Proposals are already in process
- Health Care Agency will select appropriate community providers
- Some services will be provided by the Agency
- Anticipate services to start June or July 2006

Health Care Agency
Types of Services to be Provided

- Sixteen New Programs
- Full Service Partnerships
- Outreach and Engagement
- Centralized Assessment Team and Psychiatric Emergency Response Team
- Crisis Residential
- Children’s In-home Stabilization
- Adult Supported Employment
- Older Adult Intensive Case Management Services
- Housing Trust Fund
- Education and Training

Health Care Agency
Orange County Community Services & Supports Annual Allocation by Age Group
Piechart of Annual Allocation=$21.675m

Health Care Agency
Next Steps
- Reconvene Steering Committee and Stakeholder Groups
- Community Outreach
- Roll Out Orange County Network of Care
- Start Process for Plan Update
- Program Implementation
- Department of Mental Health Statewide Needs Assessment for Education & Training and component rollout

Health Care Agency
Orange County Network of Care
The Orange County Network of Care for Mental Health is an online information place for individuals, families, service providers and agencies concerned with mental and emotional wellness. This online community provides critical information, communication and advocacy tools with a single point of entry.

Service: Search by category, program/agency name, keyword and more
Library: Access current behavioral health legislation: State & Federal
Insurance: Various types of health care insurance information available
Links: Access to Private and Public Agencies
My Folder: Create a personalized health folder
Languages: English, Spanish, Cantonese, Russian, Tagalog, Vietnamese, Cambodian

Health Care Agency
Orange County Network of Care
· Find Services
· Gain Knowledge
· Remain Independent
· Be Heard
· Empower Yourself

Visit the OC Network of Care Today!
www.OCNetworkofcare.org

Visit the OC MHSA Website
www.OCHealthInfo.com/Prop63

Health Care Agency
Contact Information
Mental Health Services Act Office
405 W. 5th St. Suite 502
Santa Ana, CA 92701
(714) 834-2907
Prop63@ochca.com
www.OCHealthInfo.com/Prop63

Resources & Development Management
Orange County Central Utility Facility (CUF) Cogeneration Conversion Project \br>Speaker: Bob Wilson, Director, RDMD/Internal Services

Resources & Development Management
What is Cogeneration (Cogen)?
· Simultaneous Generation of Power and Heat
· In Cogeneration, Heat Recovery Systems are Utilized with Electrical Generators to Produce Electricity, Heat and Cooling

Why Cogeneration?
Solo Generation of Electricity or Steam is Inefficient (50% or less efficiency)

Resources & Development Management
Flow Diagram of Cogeneration Process
Overall Efficiency Approx. 80%

Resources & Development Management
Orange County Central Utility Facility (CUF)
- Currently Uses Natural Gas to Generate Steam and Chilled Water for Heating and Cooling for Most Public Facilities in the Civic Center
- Electricity for those Facilities is Purchased from Southern California Edison and Distributed Through the CUF
- Current Annual Costs for Electricity: $9.8 M
- Current Annual Costs for Natural Gas: $5.1 M

Resources & Development Management
Cogeneration Conversion Project
- Conversion Project will Install:
  - Electric Generators (Powered by Natural Gas),
  - Heat Recovery Equipment for Steam
  - Distribution Network for Steam & Electricity
- Provides Electricity, Heating and Cooling
- Projected Annual Costs for Electricity from SCE: $1.3 million
- Projected Annual Costs for Natural Gas: $7.0 million

Resources & Development Management
Cogeneration Conversion Project Background
- 2001 - BOS Approved County’s Strategic Energy Policy
- Policy Goals: Reliability, Cost Containment, Stability, Self-sufficiency, Conservation
- 2001/02 Feasibility Study for Cogen at CUF Complete
- 2003 CEO Gives OK to Proceed
- 2003 County issued RFP to Select Design A-E
- 2004 (May) - BOS Awards Cogen Design Contract to Syska Hennessy
- 2005 (Dec) - Major Design Work Completed
- 2006 (planned) - Construction Drawings, Equipment Purchases, & Initial Construction

Resources & Development Management
Map of Civic Center area

Resources & Development Management
Map of Cogen Electric Power Distribution

Resources & Development Management
Map of Cogen Chilled Water/Steam Distribution

Resources & Development Management
- Estimated Project Cost: $34,400,000
- $16,100,000 - Construction Cost
- $10,300,000 - Equipment Cost
- $ 2,200,000 - Distribution Network Construction Cost
- $ 2,900,000 - Architectural/Engineering Fees
- $ 2,900,000 - Construction Management & Project Administration Costs

Resources & Development Management
First Year Operating Cost Comparison
Annual Savings: $ 5,869,000
First Year Operating Cost Comparison

Item

Conventional

Cogeneration

Electricity Cost

$9,823,700

$236,800

Natural Gas Cost

$5,067,500

6,949,900

Operations & Maintenance Cost

$200,000

$677,900

Staffing Cost

$1,048,6000

$1,310,700

Standby Electricity Cost

-

$1,095,500

Total Operating Cost

$16,139,800

$10,270,800

Resources & Development Management
Project Life Cycle Total Cost Comparison

Resources & Development Management
Return on Investment - Payback Period -
NPV Savings - $42,178,066
Simple payback - 7.86 Years
Internal Rate of Return - 17.5%
-- Simple Payback Computation -- Interest and Financing Costs not Included

Resources & Development Management
Diagram of Project Schedule

Resources & Development Management
Questions?

Next Steps
- June 13-14 Budget Hearings
- June 27 Budget Adoption
- November 7 First Quarter Report

Questions and Answers


Thank you for Participating in the FY 2006-07 Public Budget Workshop