Washtenaw County Board has tough decisions to make; 181 county jobs on the line

“These aren't options we bring to you lightly,” he said. “These are valuable programs … but we're running out of options.”

County leaders first identified a $26 million structural deficit for the 2010-11 biennial budget cycle back in February. Last month, commissioners voted on $12.8 million in cuts for 2010 and an additional $800,000 for 2011.

Wednesday's meeting marked the beginning of Phase II of budget reduction talks. County officials now are taking a hard look at unmandated services the county funds.

Guenzel said his budget priorities are to preserve as many services and jobs as possible, but that will take concessions from labor unions.

“Counties are the most important government in Michigan because all we do is provide services to people,” Guenzel said. “And we can't provide those services without people that are here in jobs and positions, so that's been really at the top of our list.”

Wednesday's meeting drew a standing-room-only crowd of more than 100 people who spilled out of the board room, lined the hallways and filled chairs in the lobby. For more than an hour, commissioners listened to heartfelt pleas from the residents, community leaders and county employees who showed up to ask that the county find ways to maintain funding for the various programs now on the chopping block.

One budget option before commissioners involves eliminating county support for the Michigan State Unniversity Extension, which could save $424,220. But it also would hurt 4-H programs that develop life skills in Washtenaw County youths.

Cindy Strader, a 4-H club leader, appeared before commissioners with Marta Swenson and Riley Kent, two members from her club.

“I can't imagine this wonderful organization being cut, serving as many youth as it does in such positive ways,” Strader said. “We are asking that the commissioners look harder, get even more creative and find a way to continue this funding.”

No final decisions were made Wednesday. Guenzel said he'll be coming back to commissioners on Sept. 16 with final recommendations.

“We do hear you,” Commissioner Kristin Judge, D-7th District, assured Wednesday's speakers. “We are taking this very seriously and we understand the importance of all these programs,” she added, encouraging those who spoke to help the county come up with ways to keep programs alive.

“These are all great programs. If they weren't great programs, we wouldn't be doing them,” said Commissioner Jeff Irwin, D-11th District, who indicated he's not looking forward to the tough decisions the board must make.

Guenzel said the county continues to monitor and revise its budget assumptions. A revised forecast shows county revenues are projected to total $91.4 million in 2011, while expenditures reach $121.6 million - a $30 million shortfall unless cuts are made.

Officials also predict taxable values will continue to slide in the next two years - by 7.5 percent in 2010 and by 8.5 percent in 2011.

Commissioners Wednesday discussed implementing a Public Act 88 millage to fund economic development efforts in the county. A levy of 0.017 mills could be added to the tax rolls without voter approval to support the county's contribution to SPARK, which promotes economic development, and other eligible services, officials said. The tax could save the county $256,000, while costing homeowners $1.70 per $100,000 of taxable value. Public Act 88 allows counties to levy a millage of up to 5 cents per $100 of taxable value to promote economic activity.

Several unmandated services face potential elimination. Guenzel said the county could save $239,547 through the elimination of building inspection services, an unmandated program with little market demand at this time.

The county could realize up to $2.4 million in savings through reductions to mental health services, which would eliminate 91.4 full-time jobs. Another $586,000 in reductions are on the table for public and environmental health, and up to $1.1 million in cuts are being considered in strategic planning, including elimination of the the Planning Advisory Board and Planning Commission.

The support services department faces $750,000 in cuts, affecting six full-time employees.

Head Start is another unmandated program on the chopping block, which could free up $765,880 in the budget. About 35 full-time county employees would be affected.

County officials indicated Wednesday they may also consider eliminating the county's juvenile detention program and sending youth to other facilities to save $919,464. Doing so would eliminate about 24 full-time positions.

Guenzel said $1.7 million could be saved by eliminating human services funding, though some worry whether agencies that receive funding from the county would survive further reductions. Other options on the table include $205,586 in reductions in professional development and $1.9 million in cuts to retiree health care, which would affect more than 700 county retirees.

County officials also are considering saving $460,000 by eliminating funding of special initiatives, such as Eastern County Economic Development, the Supportive Housing Initiative and the Housing Contingency Fund, which supports foreclosure programs.

“There's a lot more work to do,” Guenzel said. “There may be other options but these are the ones we've been looking at pretty seriously.”

The board has a working session scheduled for 6:30 tonight at the County Administration Building, 220 N. Main St., to discuss a county health improvement plan, food safety regulation and next steps for a county land bank authority.

Photos by Ryan Stanton, AnnArbor.com: Top: Washtenaw County commissioners listen to pleas to save programs at Wednesday's meeting. Bottom: Youths from 4-H address the board about their desire to see support continue for 4-H.

Ryan Stanton covers government for AnnArbor.com. He can be reached at 734-623-2529 or ryanstanton@annarbor.com.