DATE: May 20, 2025
TO: Board of Supervisors
SUBMITTED BY: Lisa A. Smittcamp, District Attorney
SUBJECT: Adopt Budget Resolution increasing available appropriations for the Workers’ Compensation Insurance Fraud Grant Program
RECOMMENDED ACTION(S):
TITLE
1. Adopt Budget Resolution increasing FY 2024-25 appropriations and estimated revenues in the District Attorney’s Special Revenue Fund 0060, DOI Workers’ Compensation Insurance Fraud Program, Org 1107 in the amount of $20,453 (4/5 vote); and
2. Adopt Budget Resolution increasing FY 2024-25 appropriations and estimated revenues in the District Attorney-Grants Org 2862 in the amount of $20,453 (4/5 vote).
REPORT
There is no increase in Net County Cost associated with these actions, which are necessary to facilitate the transfer of the California Department of Insurance (CDI) grant funds from the Special Revenue Fund to the General Fund. This item is countywide.
ALTERNATIVE ACTION(S):
If the recommended actions are not approved, the department will not be able to transfer these additional restricted funds for FY 2024-25 qualified expenditures.
FISCAL IMPACT:
There is no increase in Net County Cost associated with these actions. On July 9, 2024, the CDI awarded to Fresno County $1,136,175 for the Workers’ Compensation Insurance Fraud Program. On March 19, 2025, the CDI awarded an additional grant award amount of $20,453. This amended grant award amount of $1,156,628 when combined with NCC of $20,689 provides $1,177,317 for the program. This amount is $20,453 more revenue than is included in the FY 2024-25 appropriations for the District Attorney - Grants Org 2862. Approval of the recommended actions will align appropriations and revenues with the funding amount received from CDI this fiscal year and allow the transfer of qualified expenditures.
DISCUSSION:
Senate Bill 1218 and Assembly Bill 1673, enacted in January of 1992, provided for a program to fund investigation and prosecution of Workers’ Compensation Insurance Fraud. This legislation provided assessments in Workers’ Compensation insurance premiums to fund enhanced prosecution and incarceration of individuals involved in Workers’ Compensation insurance fraud by District Attorneys in California, as defined in Insurance Code Section 1877 et seq. The CDI has approved Fresno County to receive funds pursuant to the program implemented by that legislation, and Fresno County’s Workers’ Compensation Insurance Fraud program has been in place since 1992.
On January 7, 2025, your Board approved the retroactive Grant Award Agreement, including any extensions or amendments, for continued funding of the Workers’ Compensation Insurance Fraud Program with the CDI. This program is currently staffed with one Deputy District Attorney, three Senior District Attorney Investigators, and one Legal Assistant to investigate and prosecute Workers’ Compensation fraud in Fresno County.
If grant funding for this program is discontinued, all associated positions will be deleted.
REFERENCE MATERIAL:
BAI #16, January 7, 2025
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Budget Resolution Org 1107
On file with Clerk - Budget Resolution Org 2862
CAO ANALYST:
Fine Nai