BOARD OF SUPERVISORS

Gloria Molina
First District

Yvonne Brathwaite Burke
Second District

Zev Yaroslavsky
Third District

Don Knabe
Fourth District

Michael D. Antonovich
Fifth District

MARK FINUCANE, Director

COUNTY OF LOS ANGELES
DEPARTMENT OF HEALTH SERVICES
313 N. Figueroa, Los Angeles, CA 90012
(213) 240-8101

August 31, 2000

Honorable Board of Supervisors
County of Los Angeles
383 Kenneth Hahn Hall of Administration
500 West Temple Street
Los Angeles, California 90012

Dear Supervisors:

FISCAL YEAR 1999-2000 YEAR-END BUDGET ADJUSTMENT (All Districts) (4 Votes)

IT IS RECOMMENDED THAT YOUR BOARD:

Approve the attached Fiscal Year 1999-2000 Year-End Budget Adjustment for the Department of Health Services (DHS).

PURPOSE OF RECOMMENDED ACTION:

Approval of the Fiscal Year 1999-2000 Year-End Budget Adjustment (BA - Attachment A) will:

1. Increase total DHS funds, as of June 30, 2000, to $262.3 million in the Hospital Enterprise Fund designation, comprised of a $214.0 million Fiscal Year 1999-2000 actual operating fund balance (see Attachment B) and an existing $48.3 million Hospital Enterprise Fund designation balance from prior periods.

1. Reallocate certain appropriations and revenues within DHS, to align them with Fiscal Year 1999-2000 final experience.

JUSTIFICATION:

As of book closing for FY 1999-2000, an additional fund balance of $33.3 million (Attachment C) was determined to be available beyond the estimate included in the Fiscal Year 2000-01 Final Adopted Budget, increasing the total fund balance as of June 30, 2000 to $262.3 million. The Fiscal Year 2000-01 Adopted Budget assumes the use of $172.8 million of the designated fund balance, with a remaining balance of $56.2 million.

FISCAL IMPACT:

This action adjusts the various DHS budgets to reflect the actual financial experience. It also increases the Hospital Enterprise Fund designation balance to $262.3 million, as of June 30, 2000.

Honorable Board of Supervisors
August 31, 2000
Page 2

FINANCING:

Not applicable.

FACTS AND PROVISIONS/LEGAL REQUIREMENTS:

In accordance with County practice, this BA transfers the DHS General Fund surplus of $64.6 million to the DHS Enterprise Fund, creating a Fiscal Year 1999-2000 ending balance of $262.3 million.

CONTRACTING PROCESS:

Not applicable.

IMPACT ON CURRENT SERVICES (OR PROJECTS):

This Year-End BA has no impact on services.

When approved, this Department requires three copies of the Board's action.

Respectfully submitted,

Mark Finucane
Director of Health Services

MF:em (M:\ACCRUAL\SCHED00\001BAYE2.wpd)

Attachments

c: Chief Administrative Officer
County Counsel
Executive Officer, Board of Supervisors
Auditor-Controller