County Travel, Overtime Costs Soaring

Spending on travel for county employees rose 83% in the last two years and overtime costs nearly doubled since Orange County’s historic bankruptcy in 1994, according to documents obtained this week under the California Public Records Act.

The county’s 15,000-person work force received $31.5 million in overtime during the fiscal year ending last month, compared to $26.8 million the year before and $17.3 million in 1995.

Travel costs to conferences, government meetings and other events totaled $1.3 million, compared to $715,000 for the 1997-1998 fiscal year.

To some critics, the numbers suggest that county officials have loosened up on the austere spending habits established during the financial crisis.

But leaders defended the expenditures, explaining that it’s often cheaper to pay overtime than to hire more workers. They also said the bills are rising in part because employees have received pay increases for the first time since the bankruptcy. With higher hourly wages, overtime wages also rise.

As for the travel bills, officials said they consider additional lobbying trips to Sacramento and professional training wise investments.

“Our spending has never been this high before. But if we don’t make the trips to talk to politicians, you don’t get your 2 cents in,” said Larry Leaman, director of the Social Services Agency, which increased spending this year by 80%. “We paid some dear prices when travel spending was frozen. We had some legislation passed that drove us nuts.”

At the Social Services Agency, travel spending rose from $155,000 in 1997-98 to $279,000. The Health Care Agency spent $147,000, up from $85,000 the previous year. Officials attributed the travel primarily to employee training conferences.

Even with those increases, total county travel spending was still slightly less than in the mid-1990s.

The Sheriff’s Department saw the biggest jump in overtime, from $15.7 million in fiscal year 1997-1998 to $19.8 million the following year.

Assistant Sheriff Doug Storm said there are several reasons for the change, including increased workload and new labor contracts that allow deputies based in the jails to work more hours.

“There were good reasons for the increase,” Storm said.

Other departments to see bigger overtime bills include John Wayne Airport, the marshal’s office and the district attorney’s office.

The $31.5-million overtime fund amounts to $2,100 per employee, though not all workers performed extra work.

Gary Burton, the county’s chief financial officer, stressed that the county doesn’t hand out overtime liberally and that managers must approve it beforehand.

“We’re aware of every dollar we’re spending,” he said.

After the bankruptcy, the county cut jobs and some public services to balance its budget. But in recent years, the county’s budget picture has improved, thanks in part to the strong local economy.

“You can’t live in bankruptcy,” Burton said. “You have to come out and live.”

But some community activists, who have long been critical of the way county government spends money, express concern at the jump in overtime and travel costs.

“I guess they think the residents have forgotten about the bankruptcy,” said Carole Walters, with the Committees of Correspondence, an anti-tax group formed in the wake of the 1994 financial collapse.

Bruce Whitaker, another member of the watchdog group, said such extensive use of overtime is avoided in the private sector because it’s costly and sometimes inefficient.

Board of Supervisors Chairman Charles V. Smith said the county needs to carefully monitor such spending.

“It’s hard to say if they’re at an acceptable level,” he said. “I think it’s something that needs to be watched, and questioned, but I don’t think we need to run up the red flag.”

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Overtime Costs Rising

County spending for employee overtime has nearly doubled in three years, to more than $30 million in the last fiscal year.