By Robert Haugh
Santa Clara County will eliminate 365 positions after federal funding cuts blew a hole in its budget.
County leaders say it’s necessary even with a new sales tax increase approved by voters last November to cushion the impact.
Most of the positions being eliminated are tied to health care and other safety-net services.
The county said roughly 300 of the 365 positions were already vacant. Of the remaining 65 employees affected, the county said it avoided layoffs by shifting them into other open roles.
The cuts come despite a voter-approved measure expected to add roughly $300 million to $330 million a year in local revenue.
County leaders say that revenue helps, but it doesn’t replace the scale of the federal dollars lost. They have cited an estimated $470 million reduction tied to cuts in federal spending.
County officials are also warning that this round of reductions may not be the last.
Deeper cuts could arrive in June, when the Board of Supervisors approves the next fiscal-year budget. Avoiding layoffs now, they say, doesn’t guarantee layoffs won’t be on the table later.
The county is also dealing with higher labor costs while property tax revenue growth has slowed.
