The proposed $43 billion budget for 2023-24 is more than $1.5 billion less than the current year's budget.
The spending proposal also realizes the goal set by voter passage of Measure J in 2020, mandating that at least 10% of the county's locally generated "unrestricted revenues" be dedicated to community service programs and alternatives to incarceration.
The budget proposal, which will be presented to the Board of Supervisors for initial adoption Tuesday but will be subject to months of public hearings and review before being finally adopted in October, also dedicates $692 million toward efforts to combat homelessness. The amount includes more than $60 million for mental health services and 168 positions to provide them; a $100 million pot of money for development and preservation of affordable housing; and $25.
"The recommended budget — the first step in the county's multi-phase budget process — was developed against a backdrop of growing fiscal uncertainty, including a looming state budget deficit, a significant slowdown in local real estate transactions, and an unsettled economic environment in which recession remains a very real possibility," Davenport wrote in her budget-transmittal letter to the Board of Supervisors.
In a briefing Monday morning, Davenport said that level of potential liability from lawsuits and damage claims entering a fiscal year is unprecedented. She said that while the exact amount of liability the county might face is unclear, officials are already exploring ways the costs might be covered.
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