Welcome
to the Coalition of Labor Agriculture & Business of
San Luis Obispo County.
COLAB’s
mission is to promote the common business interests of
its members by providing information and education on
issues which have or may have an impact on its membership.
To achieve its mission, COLAB will engage in policy analysis and recommendations which promote those common business interests and in doing so foster a positive image for agriculture, business and labor in the community.
COLAB shall represent its members before the San Luis
Obispo Board of Supervisors and any other local or national
governing body and if necessary take legal or administrative
action for the mutual benefit of the members.
For more information about COLAB, please "CLICK
HERE"
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COUNTY UPDATES OCCUR MONDAY’S AT 4:30 PM
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This
Weeks SLO County Weekly Update
May 18th thru May 24th 2025
This Weeks Highlights
SLO County Budget – A Lot To Swallow
Singing the Trump Cut Blues
Bucks for the Bang
Just Another few $Million
Happy Trails
Third Quarter Financial Report |
The San Luis Obispo County Board of Supervisors is meeting on May 20. The following are highlights of their 30 item agenda.
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SLO County Budget –It’s a Lot To Swallow
The biggest single item of significance before the Board of Supervisors for quite a while is the San Luis Obispo County budget, After months of speculation, the proposed budget, which is being refered to as a “rebalencing effort” will be submitted to the Board at the Tuesday, May 20 meeting. It appears to be balanced, and the cuts we all anticipated seem to have come mostly in restrained growth rather than reductions from current levels.
On June 9-11, the Board will hold budget hearings to go through a programatic review, with each department head and staff presenting and justifying their budgetary requests. This, after a “comprehensive review of all County programs across departments, assessing impacts along with performance and efficacy to our community”, has already been undertaken in development of the proposal. The surprisingly responsible and common sense process is new to our county, being ushered in by the recently appointed County Administrative Officer Matthew Pontes and newly elected County Supervisor Heather Moreno (who is a CPA).
According to Pontes, “this approach recommended a budget that adjusts the County’s current spending, preventing historical recurring deficits and the need for annual departmental budget cuts”. He goes on to say “The upcoming Fiscal Year marks a pivotal moment for the County of San Luis Obispo. The challenges faced during this budget cycle, marked by flattening revenues, rising service costs, and significant economic uncertainty at the state and federal levels, required difficult decisions and a comprehensive evaluation of how we allocate all our mandatory and discretionary resources. Through the launch of the Financial Rebalancing and Resilience Initiative, we have taken proactive steps to close a significant budget gap while maintaining our commitment to essential services and investments in the workforce, toward long-term fiscal sustainability.
” Prior to this new approach, the County’s multi-year financial forecast showed a potential $67 million budget deficit by FY 2028-29 highlighting the need for long-term structural reductions through strategic rebalancing aligned with the Board’s adopted policies.
Readers should keep in mind that the current document is the starting place proposal, not the final budget. It is possible that the forthcomming budget hearings could bring about cuts (or even increases) not currently reflected in this proposal.
The final budget (after adjustments made at the June 9-11 hearings) could be presented for approval as early as the June 17 Board of Supervisors meeting. The following charts are taken directly from the budget proposal and illistrate some of the general spending details in the document. The Recommended Budget authorizes a Governmental Funds (core government services and programs funded by specific revenue sources) spending level of $949.9 million, which is a $78.2 million increase (9%) compared to the FY 2024-25 Adopted Budget. The document in its entirety can be found at: https://www.slocounty.ca.gov/Departments/Administrative-Office/Forms-Documents/Budget-Documents/Current-Year-County-Special-District-Budgets.aspx |



These budget figures were a result of prioritization directives from the Board of Supervisors. Below is a graph illistrating those priorities that guided staff in the preperation of this budget proposal: |

Its hard to argue with the Ongoing Priorities category as long as they mean what they say. To most of us, Public Safety means law enforcement and fire services, but to some it could mean homeless services, dedicated bike lanes or even environmental regulations. Fiscal stability might mean wise spending, but it could also be higher revenue streams. Debt Service is a bit ironic seing as it’s in many cases the debt they created in the first place with things like pensions that we couldn’t afford.
The two tiers are where things get pretty dicey. Top of the list is homelessness, which we continue to spend enormous amounts of money to fix, while the problem worsens. Housing gets lots of attention, but is anybody at the county working hard to find ways to reduce the cost of housing? Economic Development is critical to keeping revenues up to expendature levels, but how hard is the county working on it?
The second tier is where the eyebrow raising really occurs. Resieliency and Organizational Effectiveness should go without saying. Its like making honesty or basic aptitude a priority. And how does one measure such efforts? This leaves Emergency Preparedness and Water on the second tier and there is nothing good to say about that placement.
These priorities say a lot about our Board of Supervisors. Certainly, if the politics of a couple Board Members were different, we would see a far different set of priorities, and likely a different budget with other spending priorities.
This budget document is “hot off the press” and has yet to face public scrutany. Certainly over the next month, members of the public, representatives of service organizations and recipients of county aid efforts will weigh in with specific preferences for changes that they feel are important. COLAB will take a deep dive with the details of the budget inorder to keep members apprised of the important points. In the meantime, while we question some of the Boards priorities, we salute the County for finally adopting this new accountability process – something Mike Brown urged the Board to do for many years. |
Singing the “Trump Cut Blues”
A few weeks ago we reported that Supervisor Gibson requested county staff to gather and record federally funded programmatic cuts that were impacting San Luis Obispo County. He was insistent that any cut in federal funding was important to note and claimed that it would be valuable information to have in the future.
Now, Governor Newsom is blaming the $12 Billion California state budget shortfall on President Trump’s budgeting programs and what he calls the “Trump Slump”. We know that San Luis Obispo County is experiencing a significant budget shortfall as well, so we wonder if/when Supervisor Gibson will attempt to foist blame for our local budget issues on to President Trump. This, when in fact much of our funding comes from the state.
To be sure, reduced federal funding will impact every state. The Federal government was spending far more than it could afford – just like California and just like San Luis Obispo County. Now, with reality and the heavy dose of fiscal responsibility that the new administration is bringing to the budget process, the big spenders are becoming desperate to deflect blame. Of course, the Trump administration is an ideal target for their consternation. With willing partners in the media, we can expect the blame game to kick into high gear anytime now.
You will be expected to ignore the fact that the federal government was going dangerously deep in debt (causing the recent downgrading of our nation’s credit rating). Ignore the fact that California was wasting obscene amounts of taxpayer funds on ineffective and unaccountable programs that it couldn’t afford. Imagine that San Luis Obispo County has been careful, wise and prudent in its spending of taxpayer money.
Most of all, you will be asked to take a stroll through Fiscal Fantasyland and pretend that if it wasn’t for the Trump administration, everything would be just groovy, and spending could otherwise continue along on its death spiral like it has been for far too long with no implications whatsoever.
So, consider this fair warning that at least one or more of our County Supervisors will probably be singing the “Trump Cut Blues” in the Newsom Choir, and at least one of our local news outlets will likely be sympathetically providing the backup beat and dance routines all in an attempt to keep the non-thinkers from, well, thinking.
In addition to the budget proposal presentation, the Board has plenty of other business to keep it busy for what promises to be a long day. |
Bucks for the Bang
As covered last week, the County is preparing to put enforcement measures in place to back up its county-wide ban on fireworks. Item 2 on the agenda seeks to approve the measures outlined in the proposal presented at the last Board meeting. This probably sounds like good news for most property owners who resent the “hold my beer” cowboys firing off illeagel rockets and explosive devises.
However, the proposed regulations reach pretty far in some cases. As an example, the fines are set at $1,000 per violation and include a misdemeaner arrest. The enforcement extends to the host of a gathering where any fireworks are used, and simply being a spectator gets you the same deal. We completely understand the need for strong enforcement, especially regarding the above mentioned practitioners. But, the regulations do not appear to distinguish between the wild party animals with seriously illegal fireworks and the family lighting off Safe and Sane sparklers (fully legal in several cities throughout SLO County) for their kids in the driveway. This is a program that is hoped to pay for its enforcement costs through fine revenue.
Some fireworks violations are serious and should be dealt with using a stiff punishment, but we shudder to think a small impact violation could garner the same punishment as a serious one, or that a spectator would be punished at the same level as the true offender. And how about piling a whole lot of hurt on anyone who causes a fire or injury due to the use of ilegal fireworks? |
Just Another Few $ Million for a Simple Consent Item
Item 14 is yet another mental health program expendiature similar to the one we saw at the last meeting for a little over $1 million, or the one at the meeting before that for $8.3 million. This one is for a bit over $5 million. They are similar because they involve requests for huge amounts of taxpayer money and don’t seem to offer up much in the way of accountability - and they all appear on the consent calender.
These kind of programs are often mandated and frequently come with some sort of funding mechanism provided by or required by the State of California. They serve a purpose for a segment of our population that otherwise has little support, explaining the need for mandates. This leaves the County little manuvering room, but it certainly does not preclude some form of oversight or assurance that the program is functioning well and delivering good value for the many millions of dollars it receives in taxpayer funding. The measure reads:
Request to 1) approve an increase to the FY 2024-25 Institutions for Mental Disease (IMD) pool budget to increase the cumulative maximum compensation amount by $1,064,000, for a new cumulative budgeted amount not to exceed $5,077,298; 2) waive the terms of the County Contracting for Services Policy and approve a FY 2024-25 contract with California Psychiatric Transitions in a cumulative budgeted pool amount not to exceed $5,077,298, to provide residential and intensive mental health services in locked facilities called IMD beds for adults who cannot care for themselves due to their mental health disorder and/or severe substance use disorder; and 3) delegate authority to the Health Agency Director or their designee to sign any future amendments that do not increase the level of General Fund support required by the Health Agency. |
Happy Trails – An Expensive Bike Ride
Item 20 on the agenda deals with the attempt at “gap closure” on the $45 + million Bob Jones trail. The level of determination and County resources that has been dedicated to this project is seemingly unmatched by any other single endevour. If only we saw the same commitment to improving road conditions… The measure reads:
Request to 1) accept and execute a Certificate of Acceptance for a Perpetual and 4- year Temporary Construction Easement Agreement No. 22-12.16 with Avila Pismo RV Resort & Campground, LLC in the amount of $108,000 for necessary right of way and easement access for the Bob Jones Pathway “Gap Closure” Project; and 2) authorize the Director of Public Works, or designee, to execute any remaining escrow and payment related documents or instructions necessary to close the transactions associated with the acquisition of these real property interests. Below is the map illistrating the project location: |

Third Quarter Report With Adjustments
Item 26 is the submittal of the FY 2024-25 Third Quarter Financial Status Report and request to approve various financial actions (one or more actions require 4/5 votes).
In terms of overall budgetary performance, the numbers look pretty good. The following is a graph prepared by the County Administrative Office comparing third quarter ’24-25 to last years performance over the same period. |

As is often the case, the devil is in the details. There are a few Notible Issues in the report, including the following: The County Court System was $257,338 over budget due to decreased fines, penalties and forfeitures. The Sheriff-Coroner was $2.7 over budget due to unbudgeted saleries and overtime. Human Services was over budget by $459,706 due to unexpected increases in insurance premiums and our Board of Supervisors was over budget by $124,610 because of unbudgeted saleries and benefits.
In all, the figures in the following graph account for all of the third quarter budget adjustments being requested by the County Administrative office: |

The May 6, 2025 San Luis Obispo Coounty Board of Supervisors meeting was one of the shortest in recent months, finishing all but closed session business before noon. The agenda appeared to have little of significant consequence, but several items inspired discussion.
See Highlights online.
The Air Pollution District Control Board
Meeting on May 21 for Consideration of Appointment of Public Employee – Air Pollution Control Officer pursuant to Government Code section 54957 This individual could be instrumental in the way San Luis Obispo County addresses issues such as the Pismo Dunes, as well as the implementation of state mandates regarding various forms of emissions and particulate matter. |
The next Board of Supervisors Meeting is scheduled for May 20
EMERGENT TRENDS
SEE PAGE 17 |
Budget Bloat and Blame Games: Inside Newsom’s May Revision
Newsom picks more housing over CEQA in backing two bills
meant to speed construction
COLAB IN DEPTH
SEE PAGE 24 |
The U.S. Needs More Nuclear Power To Fuel the AI Boom


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CLICK HERE To DownloadThis Weeks Report PDF
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