SAN MATEO COUNTY FLUSH WITH MONEY

Added Addiction Treatment, Hiring, Pay Raises Expected

Flush with swelling tax revenues, San Mateo County is expected to hire
more than 150 new employees and give overdue raises to government workers.

Officials begin carving up a record $904 million budget proposal today
that also calls for expanding addiction treatment.

"In the six years that I've been on the board, we've had very
difficult, lean years," Supervisor Mike Nevin said. "Our employees
were pretty darn understanding during those times. We owe them."

A key goal is to expand addiction treatment after a 1997 state report
showed the county's rate of 11 treatment slots per 10,000 population
was half the average for large California counties. The county is
boosting alcohol and drug recovery program services funding 43 percent
to $11 million, with a goal of having 16 slots per 10,000 population
this year and 22 slots by fiscal year 2003.

The county is also tapping state and federal funds for a "wrap-around
services" pilot project. The program uses teams of social, mental
health and probation workers to provide tailor-made support for
troubled kids and their families. Help can range from in-home
counseling to parenting classes or substance-abuse treatment.

"Typically these are kids facing some kind of physical or substance
abuse in the home," said Reyna Farrales, deputy county manager.
"Rather than taking them out of the home and putting them in foster
care or some other kind of out-of-home facility, we focus on
addressing all the issues that are causing the family to break down so
we can keep them together."

After enduring little or no raises during the recession of the early
1990s, county workers are expecting to be rewarded for years of
patience. Last month, the Deputy Sheriff's Association won a six-year
contract that will make them the highest paid sheriff's agency in the
Bay Area.

They received a 9 percent raise retroactive to February with a 3
percent increase effective Oct. 17 and a guarantee that their pay will
remain 1 percent above the region's highest-paid sheriff's agency for
the remainder of the pact.

The county now faces negotiations with six unions, comprising a
majority of its 4,706-person workforce, in the coming year.

County Manager John Maltbie noted that lagging salaries are making it
harder to recruit and retain workers in a competitive job market. But,
given that salaries and benefits comprise almost half the general fund
budget, Maltbie cautioned that boosting pay in some departments might
require layoffs in others.

Nevin said he wants to compensate skilled workers who stuck with the
county during tight times.

Urging fiscal restraint, Maltbie warned the board of supervisors in
his budget message: "We are in the longest sustained economic
expansion of the post-World War II era. It is not unreasonable to
anticipate a future recession." While the county has doubled its
reserves to $109 million in four years, Maltbie calls the proposed
fiscal year 2000 budget a "cautious" plan.

The county will hire 151 workers, including 59 in health services, 42
in criminal justice (mostly new jail staff) and 34 in human services.

The all-day budget hearings start this morning and continue until
Tuesdaywith anticipated adoption of the spending plan.