WHEREAS, the City and County of San Francisco is facing a $102 million dollar shortfall for fiscal year 2005-06 and the Mayor’s Budget Office has required that the Department absorb all but $13 million of its projected net increases in costs, after taking $17.3 increased revenues into account; and,
WHEREAS, the Mayor’s Budget Office has also required the Department to develop a contingency plan that will decrease the Department’s utilization of General Fund by an additional $10 million; and,
WHEREAS, the Mayor’s Budget Office has further advised the Department that it can utilize approximately $10 million towards one-time efficiency investments in infrastructure that will provide long-term savings to the Department; and,
WHEREAS, the consequence of these instructions is that Department must absorb $14.7 million dollars in unavoidable increases in its base budget, and decrease its General Fund usage by an additional $10 million in the contingency budget for a total of $24.7 million in combined cuts should cuts in the contingency plan be taken; and,
WHEREAS, the Health Commission finds it unacceptable that City departments must absorb the cost of structural inflationary increases, given that annual increases in the cost of doing business are expected and normal; and
WHEREAS, the Department has identified $12.7 million in one-time efficiencies that would provide long- term savings in excess of $21.6 million over a four-year period; and,
WHEREAS, despite the size of the fiscal shortfall, the Department has preserved all prevention and promotion activities and all children’s programs; and,
WHEREAS, the Department has allocated new General Fund resources to maintain and expand methadone maintenance services; and,
WHEREAS, the proposed budget reflects enhanced safety and resident care services at Laguna Honda Hospital and enhanced nursing services at San Francisco General Hospital; and,
WHEREAS, the Department used the principles recommended by the Strategic Plan for planning in times of fiscal constraints to construct the least harmful budget cuts possible; and,
WHEREAS, the base budget does not contain a Cost of Living Adjustment (COLA) to contractors or to the University of California for providing health services, which, if not added at a later date, will result in the reduction of services to the Department’s clients and patients; and,
WHEREAS, the base budget does not include funding to offset potential State or Federal budget reductions; and,
WHEREAS, the Health Commission has a responsibility to maintain safety net health and public health services for San Francisco’s most vulnerable residents; and,
WHEREAS, the Health Commission remains strongly opposed to service cuts that reduce safety net services; and,
WHEREAS, the Health Commission has prioritized the proposed budget reductions and has specified budget reductions that, if implemented, would have an adverse effect on the public health safety net, and these priorities are listed in Attachment A; and,
WHEREAS, the Health Commission has identified those reductions that would have the least impact on the safety net, and these are also listed in Attachment A; now, therefore, be it,
RESOLVED, that the Health Commission approves submission of the Department of Health’s base and contingency budget for fiscal year 2005-2006 to the Mayor’s Office; and, be it
FURTHER RESOLVED, that the Health Commission strongly urges the Mayor and the Board of Supervisors to identify new revenues, fees or taxes that could close the City’s budget shortfall without reducing vitally needed safety net services; and, be it
FURTHER RESOLVED, that the Health Commission also urges the Mayor and the Board of Supervisors to identify new revenues, fees or taxes to enable the Department to provide needed COLAs to contractors or to the University of California; and be it
FURTHER RESOLVED, that the Health Commission urges the Mayor to adopt the budget principle of funding, for each City Department, annual structural inflationary increases; and be it
FURTHER RESOLVED, that the Health Commission is deeply concerned about the extent of reductions proposed and the potential impact on the Department’s ability to provide the wide range of services critical to fulfilling the mission of the Department; and, be it
FURTHER RESOLVED, that the Health Commission urges the Mayor and the Board of Supervisors to consider the Health Commission priorities listed in Attachment A of this resolution when approving the budget; and be it
FURTHER RESOLVED, that if the City cannot identify enough new revenue to prevent reductions, the Health Commission strongly urges the Mayor and the Board of Supervisors to preferentially protect health and human services over other services funded by the City and County; and, be it
FURTHER RESOLVED, that when the FY 2005-2006 budget is finally adopted, the Department report to the Commission on the impact of the budget on health safety net services.
I hereby certify that the San Francisco Health Commission at its meeting of April 7, 2005 adopted the foregoing resolution.
Michele M. Seaton, Executive Secretary to the Health Commission
Attachment (1): Budget Priorities
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Cuts The Health Commission Could Accept If Necessary
The Cuts The Health Commission Cannot Accept
HIV Prevention