Special Notice / Hearing: None__
Vote Required: Majority
To: Honorable Board of Supervisors
From: Michael P. Callagy, County Executive
Subject: Use of District-Discretionary Measure K Funds - Supervisorial District 1
RECOMMENDATION:
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Measure K: Adopt a resolution authorizing a one-time grant of district-discretionary Measure K funds, not to exceed $27,900, to First 5 San Mateo County to conduct additional spending data analysis for the Baby Bonus Pilot Program, and authorizing the County Executive, or designee, to execute the grant agreement.
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BACKGROUND:
Measure K is the half-cent general sales tax initially approved by San Mateo County voters in November 2012 and extended in November 2016 for a total of thirty years.
The Board of Supervisors (Board) held study sessions on Measure K expenditures and approved funds for the fiscal year (FY) 2025-26 budget cycle, divided equally among the five supervisorial districts, for one-time district-discretionary needs and projects. District 1 has submitted a request to use their district-discretionary Measure K funds as shown below and described in the Project Summary section of this memorandum:
|
District/Project |
Amount |
|
District 1 (Supervisor Jackie Speier) - First 5 San Mateo County: Contribute Funds Toward Baby Bonus Pilot Program To Conduct Additional Data Analysis |
$27,900 |
This item is consistent with the criteria for district-discretionary Measure K funds approved by the Board in December 2018. District 1 indicates that this organization is either a public agency operating within the County or a nonprofit organization registered and in good standing with the California Attorney General. District 1 indicates that the sponsoring Board member, member’s family, and member’s supervisorial staff do not serve as an officer, director, or play a policy role for the grantee organization.
PROJECT SUMMARY:
This is a request to authorize a grant to First 5 San Mateo County, and resulting grant agreement, in an amount not to exceed $27,900, to provide for additional data analysis of the Baby Bonus Program pilot. The County Executive’s Office will administer and manage the proposed agreement.
First 5 San Mateo County was created in 1999 after California voters passed the Children and Families First Act (Proposition 10), legislation that added a 50-cent tax on all tobacco products to fund services to enhance early childhood development and school readiness through First 5 County Commissions in each of the 58 California counties. Through this mechanism, millions of dollars have been invested in best practices and supports for more than 53,000 children ages 0-5 years old and their families.
This district-discretionary grant will be used to support the Baby Bonus Program pilot in San Mateo County. Despite its significant wealth and prosperity, San Mateo County grapples with the persistent issue of child poverty. The cost of living is one of the highest in the nation, requiring a minimum household income of over $500,000 to afford the purchase of a median priced home according to the California Association of Realtors, creating unique challenges for families to meet basic needs.
An estimated 133,000 deaths a year in the U.S. are attributable to poverty, and recent financial difficulties are one of the top 10 predictors of mortality. Households with lower incomes report poorer health, including mental health outcomes, where financial hardship can lead to higher rates of depression and stress, subsequently leading to poor birth and child outcomes. Children from households with fewer resources are three times as likely to have substantiated cases of abuse and seven times more likely to have substantiated cases of neglect than other children (Duncan and Magnuson, 2011). Parents in low-income communities face financial and social challenges that can make it difficult to adhere to evidence-based maternal and child health guidelines, such as following vaccination guidelines and pediatric follow-up visits (Lopez-Class et al. 2016; Bennett et al. 2013).
The Baby Bonus Program is a demonstration project that aims to impact the health and well-being of Medi-Cal eligible newborn children and mothers in San Mateo County, and to gather data on the impacts of cash assistance on health outcomes. The program is providing a monthly unconditional payment of $300 for three years to 400 families that currently receive Medi-Cal benefits, live in San Mateo County, and have given birth during the 18-month program enrollment period. The $300 monthly payment matches the per child payment families received from the expanded Child Tax Credit ($3,600 per year), a program the federal government established to support families during the pandemic that lifted half the children living in poverty in the United States out of poverty. It ended in 2021.
The pilot program differs from other basic income programs and from programs that condition cash payments on the use of certain services because the program intentionally aligns social services and health care services in conjunction with basic income, integrates an evaluation process to provide continuous analysis and action based on findings, and evaluates the added value of basic income over the value of existing aligned services on their own.
First 5 San Mateo County promotes positive outcomes for young children and their families through strategic investments, community leadership, and effective partnerships.
The Board of Supervisors previously approved a Measure K district-discretionary grant of $350,000 in May 2024 (sponsored by Districts 2 and 3) to support the Baby Bonus pilot program.
Moreover - among many agencies involved in implementation of the Baby Bonus pilot program, such as Health Plan of San Mateo, San Mateo County Health, San Mateo County Human Services Agency, and Stanford University - the Jackie Speier Foundation is also involved in implementation and has provided funds toward this pilot program. Supervisor Jackie Speier is the founder of the Jackie Speier Foundation but no longer serves as its executive director. She has no formal role on the Foundation’s advisory board and does not have any fiscal authority over the Foundation.
District 1 wishes to contribute $27,900 of its district-discretionary funds toward the Baby Bonus pilot program, for the specific purpose of having grantee First 5 produce additional spending data analysis for the Baby Bonus Program, using its contractor FII National d/b/a UpTogether.
This district-discretionary grant will be used to fund the following project or services:
This grant is conditioned on First 5 San Mateo County amending its existing contract with its contractor FII National d/b/a UpTogether to include bi-annual reports of the percentage of virtual/physical card expenditures since program launch within the categories of: food/grocery, clothing, general retail, cash withdrawal, card to bank transfer, transportation, healthcare, education, and other. Data will be aggregated, with no individualized or identified data shared. This expenditure data would be from the Baby Bonus participants who are enrolled through HPSM’s Health Promotion program and who have virtual/physical card expenditures. As noted in the agreement, half of the grant funds ($13,950) will be awarded up-front. The second half ($13,950) will be provided to grantee following the County’s review of the first bi-annual report of percentages of virtual/physical card expenditures since program launch (said bi-annual report is expected to be received three months after First 5 amends its contract with FII National d/b/a UpTogether).
This district-discretionary grant will enable the organization to meet the following currently unmet need or service gap within the County: As a supplement to survey data, this analysis of expenditures will allow the County and its partners to further learn how families are choosing to use Baby Bonus funds and what their spending priorities are, to better understand the impact of the Baby Bonus program.
District 1 has informed the grantee organization that this grant is one-time only, and that the grantee organization will need to find other sources of funding going forward.
The project or services funded by this district-discretionary grant will be implemented or provided starting in 2026 and throughout 2029 and is estimated to be completed with a final report in 2030.
Total Measure K Request: Not to Exceed $27,900
The release of funds will be contingent on the execution of an agreement providing for the County’s confirmation of the expenditure of funds for the purposes stated herein. The County will disburse the funds to the following organization for the purposes described above:
First 5 San Mateo County
1700 S El Camino Real, San Mateo, CA 94402
Kitty Lopez, Executive Director
klopez@smcgov.org <mailto:klopez@smcgov.org>
(650) 372-9500
PERFORMANCE MEASURES:
|
Description |
Target |
|
9 bi-annual reports to be provided between 2026-2030 (addressing the percentage of virtual/physical card expenditures since program launch within the categories of: food/grocery, clothing, general retail, cash withdrawal, card to bank transfer, transportation, healthcare, education, and other) |
100% Complete |
The County Attorney’s Office has reviewed and approved the agreement and resolution as to form.
FISCAL IMPACT:
There are sufficient Measure K funds for this specific FY 2025-26 Measure K request. These funds are budgeted in the Non-Departmental Services FY 2025-26 Adopted Budget.