DATE: August 11, 2026
TO: Board of Supervisors
SUBMITTED BY: Sanja Bugay, Director, Department of Social Services
SUBJECT: Retroactive FY 2026-27 Subvention Program and Medi-Cal Cost Avoidance Fund Certificates of Compliance
RECOMMENDED ACTION(S):
TITLE
1. Approve and authorize the Chairman to execute retroactive California Department of Veterans Affairs Annual Subvention Certificate of Compliance FY 2026-27, for the Fresno County Department of Social Services - Veterans Services Office (Org 7110), effective July 1, 2026 to June 30, 2027 ($245,475); and
2. Approve and authorize the Chairman to execute retroactive California Department of Veterans Affairs Annual Medi-Cal Cost Avoidance Program Certificate of Compliance FY 2026-27, for the Fresno County Department of Social Services - Veterans Services Office (Org 7110), effective July 1, 2026 to June 30, 2027 ($6,633).
REPORT
There is no additional Net County Cost associated with the recommended actions. Approval of the recommended actions will allow the Department of Social Services to receive annual subvention funding and Medi-Cal cost avoidance funding for FY 2026-27 to offset expenses incurred in the operation of the County Veterans Service Office (VSO). This item is countywide.
ALTERNATIVE ACTION(S):
There is no viable alternative action. Annual approval of the County Subvention Program and Medi-Cal Cost Avoidance Compliance Certificates are required in order to receive the funding from the California Department of Veterans Affairs (CDVA).
RETROACTIVE AGREEMENT:
The recommended actions are retroactive to July 1, 2026 as CDVA made the Certificates of Compliance available to counties on June 2, 2026.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended actions. The County VSO is eligible to receive an estimated $245,475 under the CDVA FY 2026-27 County Subvention Program and $6,633 from the Medi-Cal Cost Avoidance fund. Sufficient appropriations and estimated revenues are included in the Department’s VSO Org 7110 FY 2026-27 Recommended Budget.
DISCUSSION:
Each year, CDVA authorizes an allocation of funds through a subvention program for a portion of the cost of the local VSO operations so long as the County meets the eligibility requirement, which includes gaining and maintaining accreditation by the County VSO and Veteran Services Representatives. The total allocation is retroactive to July 1, 2026 and is based on a combination of available State funds and each County’s proportional share of workload units and mandated activities.
With your Board’s approval of the FY 2026-27 County Subvention Program Certificate of Compliance, the County will receive an estimated $245,475 to be used to offset a portion of the County VSO expenses. The Subvention Program is administered under the provisions of the Military and Veterans (M&V) Code, Sections 972, 972.1, and 972.2. The projected revenues are based on current State estimates and subject to change once allocations are finalized.
In addition, the County meets the requirements of the Medi-Cal Cost Avoidance program as stated in the Medi-Cal Certificate of Compliance for FY 2026-27 and is eligible to receive an allocation from the Medi-Cal Cost Avoidance fund. Through this program, administered under the provisions of the M&V Code, Section 972.5, the County will receive an estimated $6,633 in FY 2026-27. Approval of the recommended FY 2026-27 Medi-Cal Certificate of Compliance will enable the County to receive this allocation from the State.
The signed statements are necessary to receive funding and must be submitted to the CDVA immediately following Board approval, in order to be eligible for receipt of FY 2026-27 funds. As stated in both certificates of compliance, funds received can only be used to support VSO program operations. The related services are provided through assigned Department staff.
REFERENCE MATERIAL:
BAI #53, September 23, 2025
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Certificate of Compliance, Subvention
On file with Clerk - Certificate of Compliance, Medi-Cal
CAO ANALYST:
Ronald Alexander