Santa Cruz Board of Supervisors 06/10/2026 Budget Hearing

The Santa Cruz County Board of Supervisors held a budget hearing on June 10, 2026, focusing extensively on the proposed 2026-27 county budget, with detailed presentations from the Health Services Agency (HSA), Human Services Department (HSD), and the Public Defender's Office. Key procurement-related discussions included budget allocations for critical county services, contract reductions, and staffing adjustments amid fiscal challenges. The HSA highlighted efforts to increase revenue through a prospective payment system rate increase and operational efficiencies, while addressing rising personnel costs and state and federal funding risks. The HSD presented a challenging budget scenario driven by federal and state policy changes, including HR1 impacts, with significant reliance on intergovernmental funding and a need to reduce vacant positions to balance the budget. The board discussed contract reductions affecting community-based organizations, including Second Harvest Food Bank's CalFresh outreach program, with concerns about potential service impacts and contract funding timelines. The Public Defender's Office proposed restructuring to create an in-house Alternate Public Defender's Office, ending the long-standing contract with Paige and Dudley law firm, aiming to reduce costs by approximately $1.1 million while maintaining holistic defense services. Public comments strongly supported preserving holistic defense and community services, emphasizing the importance of social workers and advocates. The board voted to approve the budgets with motions to defer some contract decisions for further review, and a motion to maintain the Paige and Dudley contract temporarily to allow for a smoother transition and further budget discussions. The meeting underscored the county's fiscal constraints, the need for strategic budget balancing, and the importance of maintaining essential services and community partnerships.