The San Diego County Board of Supervisors has taken significant steps in response to the anticipated changes in the federal budget. On Tuesday, the board voted 3-1 to approve an amended proposal that directs county staff to prepare for the potential financial implications brought on by the proposed federal budget.
Supervisors Terra Lawson-Remer and Monica Montgomery Steppe presented a detailed board letter that outlines their concerns regarding the potential ramifications of the federal budget, which is currently pending approval in the U.S. Senate.
According to Lawson-Remer and Montgomery Steppe, if enacted, the federal budget could result in the shift of hundreds of millions of dollars in costs to counties like San Diego. This shift would necessitate the county assuming new responsibilities for essential programs aimed at keeping residents healthy, housed, and fed.
The vote saw support from Lawson-Remer, Montgomery Steppe, and Joel Anderson, while Jim Desmond opposed the measure. The board letter will also include a proposal for the county to reach out to its Congressional delegation and state representatives to express how potential budget cuts would impact local residents.
However, a motion that would have directed staff to inform constituents about the looming cuts was not included in the approved plan. Supervisors have left the door open to revisit this issue in future meetings.
On the same day, supervisors are scheduled to vote on the county’s recommended budget for 2025-26, which totals $8.62 billion.
Lawson-Remer and Montgomery Steppe highlighted components of the so-called One Big Beautiful Bill Act, a budget reconciliation initiative backed by President Donald Trump. The supervisors outlined several critical points, including:
– A reduction in the federal medical assistance percentage for the Medicaid Affordable Care Act expansion population, projecting a $10 million shortfall for behavioral health services.
– New eligibility requirements for Medi-Cal, including work status, which could disrupt coverage for nearly 900,000 residents in the San Diego area and increase administrative complexity.
– Additional burdens placed on states and counties for administering CalFresh food benefits, which could potentially cost San Diego County an extra $276 million and affect over 400,000 residents reliant on the program.
The supervisors noted that many of these changes could begin to phase in as early as January 2026, but the operational challenges would start much sooner, marked by increased workloads, system strain, and the necessity to hire and train more eligibility workers.
Furthermore, the proposed budget from the Trump administration for the Department of Housing and Urban Development includes cuts to fundamental programs such as Section 8 vouchers and emergency housing support. These cuts are estimated to lead to a $20 million annual funding loss for San Diego County, particularly affecting low-income families and HIV-positive residents.
Lawson-Remer, who serves as the board’s vice chair and acting chair, emphasized that while the county’s budget is balanced at present, it does not account for the scale of impending challenges. Montgomery Steppe remarked on the existing strain on local systems, stating that municipalities are too often reactive to such crises.
“If we do not act now, it is working families, seniors, and children who will bear the brunt of these decisions,” Montgomery Steppe warned.
To prepare for the imminent federal changes, Lawson-Remer and Montgomery Steppe have proposed that Chief Administrative Officer Ebony Shelton deliver a report by July 22. This report should include:
– An assessment of how many additional self-sufficiency workers may be necessary to process Medi-Cal and CalFresh applications under potential new federal rules while ensuring efficient wait times.
– Strategies to prevent coverage delays or losses in benefits.
Additionally, they have requested a financial analysis and funding options for necessary services by September 30.
Before the vote, Lawson-Remer expressed concern that federal budget cuts could turn into “death by red tape,” as the additional paperwork would complicate access to services for residents in need.
While commending her colleagues for their discussions, she acknowledged that the issues tied to the federal budget would be vast and complex, urging for proactive measures ahead of possible cuts.
Montgomery Steppe reiterated the importance of government programs in her own life, stating they often serve as vital supports for those seeking improved quality of life and meaningful contributions to society.
In contrast, Supervisor Desmond raised concerns about informing the public of uncertain budget cuts. He highlighted the challenge of managing expectations for the roughly 200,000 residents living in the unincorporated areas under his jurisdiction.
Desmond criticized both federal and state budget deficits, attributing them to the current funding challenges. He argued that the solution may involve raising taxes or making painful cuts to existing services.
After the vote, Desmond reaffirmed his commitment to safeguarding the county’s limited resources to ensure that they are directed toward American citizens who are struggling financially.
Desmond concluded by emphasizing the significance of fiscal responsibility, referencing California’s existing $12 billion deficit and Governor Gavin Newsom’s proposal to freeze Medi-Cal enrollment for undocumented immigrants.
The board’s decision illustrates a proactive approach to looming fiscal challenges, underscoring the need for preparedness amidst discussions surrounding the federal budget.
image source from:patch