On November 1, 2019, the Community Corrections Partnership held a workshop, giving departments and funded agencies an opportunity to present and discuss budget proposals. Subsequently, a final vote of the CCP-Executive Committee was held on December 6, 2019. The budget approved by the CCP was submitted to the Public Protection Committee (PPC) for review and approval.

On February 3, 2020, the PPC reviewed and approved a FY 20/21 AB 109 Budget totaling $31,466,788. A summary of the approved budget is included as Attachment A.

On June 5, 2020, the CCP met to discuss the impacts of COVID-19 and the Governor's May Revise Budget. It was discussed that the economic impacts of COVID-19 are anticipated to result in significant reductions in Vehicle License Fee (VLF) and Sales and Use Tax revenue which funds the statewide 2011 Public Safety Realignment. FY 19/20 will be the first year-over-year decline in revenue for 2011 Realignment (See Attachment B for historical base and growth allocations). The updated revenue projections in the Govenor's May Revision were stark, indicating significant declines in 2011 Realignment revenue in the current year and out years. The CCP recieved updated revenue projections on 2011 Realignment at both the state and County level. For FY 2020/21, the statewide Community Corrections Subaccount projections total $1.174 billion, a reduction of $284.5 million compared to the January Governor's Budget projections and again short of reaching the $1.366 billion base. Addtionally, there will be no FY 2019/20 Growth revenue to be received in FY 2020/21. At the County-level, the County is projected to receive $22,077,678 which is a reduction of $7.2 million or 25% from the pre-COVID-19 revenue projection of $29,272,000. Due to these impacts to 2011 Realignment revenue, the County Administrator's Office informed the CCP that the budgets developed for FY 20/21 are no longer viable and a new AB 109 budget recommendation will need to developed.

For Fiscal Year 2019/2020, the County began the year with a fund balance of $25,146,371. Assuming full reimbursement of AB 109 expenses, there will be a net reduction in fund balance of approximately $8.2 million resulting in an ending fund balance of approximately $17 million.

For FY 2020/21, the County is projected to receive $22,077,678 which is a reduction of $7.2 million or 25% from the pre-COVID-19 revenue projection of $29,272,000. The expenditure budget approved by the CCP in December 2019 included a baseline budget of $30,631,245 and program modifications of $835,543 for a total budget of $31,466,788. To fully fund this appropriation level, would require using $9.4 million in fund balance, while funding just the baseline budget would require a $8.5 million draw on the fund balance. A 10% to 20% cut to the total baseline expenditure budget would result in a $5.5 million to $2.4 million draw on fund balance.