County Budget Would Freeze Pay, Cut Jobs : Government: Proposed $1.9-billion spending package for fiscal 1992-93 provides for opening of the East Mesa jail.

San Diego County officials unveiled a lean $1.9-billion budget Thursday that falls woefully short of funding existing programs and could get worse if the recession causes the state to cut funding for local government.

However, the gloomy budget for fiscal 1992-93 that was presented by Chief Administrative Officer David Janssen also contained a couple of surprises--county officials have decided to open the rest of the East Mesa Detention Facility and increase the number of jail beds in the county by 600.

Janssen said the budget situation may cause 100 jobs to be eliminated, but some of the affected employees could be shifted to other positions. However, 1,500 to 2,000 jobs remain vacant because of a hiring freeze put into effect to help balance the current budget.

In a report to the Board of Supervisors, Janssen warned that the proposed spending plan provides for county services “at a level that continues to erode.” The budget submitted for the board’s approval contains cutbacks in virtually every department and calls for no employee wage increases.

The main exception to the cutbacks is the Social Services Department, which would receive $891 million, or almost 47% of Janssen’s proposed budget. Overall, the proposal is $26 million less than the original recommendations for funding submitted by county department heads.

“I have cautioned all departments that additional cuts may be necessary,” Janssen said.

The cuts have already begun in Janssen’s office. He announced he is slashing his office budget by $1 million by eliminating about 12 positions. Some of the positions are being eliminated simply by not filling expected vacancies. Others are being eliminated by laying off employees.

Janssen said the five-year contracts of Deputy Chief Administrative Officer Bruce Boland and special assistant Bob Kleinschmidt will not be renewed when they expire this year. Former football player Rosey Grier, another special assistant and community liaison, will also be laid off from his $62,000-a-year job.

Additional cuts in program funding and employees may be necessary if state income continues to decline, Janssen said. State funding accounts for the largest share of county revenues.

The budget proposal anticipates almost $753 million in state revenue, which accounts for about 39% of the total budget. But the actual amount the county ultimately receives in state funds will not be known until October or November, when state legislators hammer out a new state budget.

Last year, a decrease in state funding helped cause a $66-million shortfall in the county’s current budget. County officials were forced to deal with this funding shortage by making massive across-the-board cuts.

County officials also expect to receive about $419 million in federal funds for next year’s budget. The federal government is the second biggest source of funding for the county, accounting for about 22% of revenues.

Janssen said that about 97% of the budgeted funds are earmarked for programs mandated by both the state and federal governments. According to Janssen, the county has discretion over only 1.6% of the budgeted funds.

County spokesman Robert Lerner said the proposed 1992-1993 budget represents a 1% decrease in spending from the current budget. He said it is the first time since the Great Depression that the county has offered a budget that is smaller than the previous one.

Officials said the new budget proposal was based primarily on pessimistic projections for the state’s and county’s economies. Janssen anticipates zero growth in the county’s employment base.

In addition, the county’s taxable sales in the past year fell 8.5%, the second greatest loss in the state. Added to this dismal statistic is what county officials call the state’s inequitable distribution of property tax revenues.

According to county figures, San Diego County gets only 24 cents from every property tax dollar, compared to the statewide average of 33 cents for other counties. Local officials said the county is losing almost $110 million in additional revenue each year because of the state’s inequitable distribution of property tax funds.

The county won a lawsuit against the state in February, when a San Diego Superior Court judge ruled that the state’s property tax allocation formula was unconstitutional. However, the state has until June 6 to appeal the decision. Meanwhile, the old formula remains in place.

On Thursday, Janssen used the news of the opening of the East Mesa jail to brighten an otherwise dark budget picture. The jail section that houses medium security prisoners was opened in November and currently holds 512 inmates.

Janssen said he expects the jail’s maximum security wing, which contains 1,500 beds, to open before the end of the year. In order to accomplish this, the county will close the men’s jails in Santee and El Cajon. Personnel who work at the two jails will be transferred to the East Mesa facility.

Janssen said the porous El Cajon Jail, with its foam walls and faulty sewage system, will be modernized and eventually reopened. Over the years, several prisoners have escaped from the jail simply by kicking holes in the exterior walls.

The union that represents about 10,000 of the county’s almost 17,000 employees reacted with expected opposition to Janssen’s call for a wage freeze. Eliseo Medina, executive director of the San Diego County Service Council, said the union is currently negotiating a new bargaining agreement with the county and has proposed a 5.5% wage increase.

Medina, who appeared with Janssen at a press conference where the new budget was presented, said that county officials have also asked some union employees to take a 25% cut in pay.

“They also want to shift responsibility for health coverage to the employees. You can’t balance the budget on the backs of employees. Our people have done their share in helping the county by taking $5 million in unpaid time off,” Medina said.

The current contract between the service council and the county expires on June 30. Medina said both sides have had several negotiating sessions since January.

“But there has been absolutely no progress so far. We’re in for some tough negotiations,” he said.