This week, the Shasta County Health and Human Services Agency asked commissioners for guidance as officials grapple with a difficult financial outlook that they said could worsen with the implementation of Trump’s One Big Beautiful Bill.
The department currently faces a $4.2 million shortfall, which director Christy Coleman blamed on low reimbursement rates and rising costs. She said federal legislation will shift more costs to counties.
“H.R. 1 is expected to have far-reaching, catastrophic impacts across all California counties,” Coleman told the board. “Up and down the state, counties are scrambling to figure out how to pay for the changes that are coming.”
Around 1.5 million Californians could lose Medi-Cal coverage, according to the California State Association of Counties, while local governments would still be legally required to provide certain services. Coleman also said new eligibility verification requirements are expected to increase administrative costs.
She said some other California counties have started cutting costs.
“They're reducing their staff, they're reducing their lease space,” Coleman said. “Some are still trying to figure out what they're going to do because they have a budget deficit.”
Kevin Crye, meanwhile, blamed illegal immigration on the county’s financial woes.
“This is really a blue state issue, because when you continue to pay for every Tom, Dick, and Harry — that don't even pay taxes in this country and come across the borders — this is why we're in this situation,” he said.
Coleman said the health agency has saved around $1.4 million per month through a hiring freeze passed last year. She said a voluntary staff furlough of one day per month could save the county $1.5 million per month, while a mandatory furlough could cut $3.7 million per month.
The board directed Coleman to return with more information on potential furlough options after discussions with labor unions.
Commissioners also approved a general fund loan of up to $10 million for the agency.
