Alameda County Health Committee Meeting - June 8, 2026: PFAS Update and AHS Budget
Alameda County Health Committee Meeting - June 8, 2026
The Health Committee convened on June 8, 2026, to receive an update on PFAS (per- and polyfluoroalkyl substances) contamination in drinking water and to review the Alameda Health System (AHS) preliminary budget for fiscal year 2026-27. Presentations covered health effects, regulatory actions, water district responses, and community concerns. The AHS budget showed a $42.8 million net loss, driven by $66.5 million in labor CPI costs and $17.8 million in HR1 state impacts. Public comment focused on the proposed closure of the Fairmont Intensive Outpatient Program (IOP) and alleged inaccuracies in AHS budget figures.
Public Comments & Testimony
- Fairmont IOP clinicians and manager (Drew Scott, Craig Metz, Chelsea DeMardi, Parisa Farrohe, Dr. Peter Freed, Sandra Marshall, Michael McAdoo) opposed the closure of the IOP, arguing that AHS budget numbers are inaccurate, that a 4.5 million overhead was added without basis, and that the program is nearly budget neutral. They stated that the program serves severely chronically mentally ill patients who cannot be transitioned to outpatient care and that closure would lead to increased hospitalizations. They urged the committee to require an independent audit and to fund the program for another year.
Discussion Items
1. PFAS Update
- Dr. Nicholas Moss (County Health Officer) opened the session, noting the purpose was to provide additional information on PFAS impacts and response, following a June 2025 presentation.
- Dr. Chris Banks (OEHHA) presented health effects: PFOA and PFOS are associated with kidney cancer and other toxicities; public health goals are set at very low parts-per-trillion levels. He confirmed PFAS is a definitive health concern.
- Stefan Kehina (State Water Board) and Kimberly West (Regional Water Board) described state rulemaking: federal MCLs for PFOA and PFOS at 4 ppt; California will pursue broader rulemaking, including a mass-based approach. They noted over 40% of California water sources have PFAS detections, with hot spots in Pleasanton/Livermore and Fremont.
- Ken Min (Zone 7 Water Agency) reported that Zone 7 has invested over $50 million in ion exchange treatment facilities, providing PFAS-free water since 2023. They monitor 260+ wells and use blending and treatment to meet MCLs. Sources of contamination include Livermore Airport and a fire training center.
- Michelle Walden (Alameda County Water District) described proactive voluntary sampling since 2020, with low-level detections; a $26 million treatment facility (6 MGD, expandable to 15 MGD) using ion exchange has been in operation since 2024. Ratepayers fund treatment.
- Jill Buck (Go Green Initiative) provided a community perspective, highlighting that while water is now treated, residents still have PFAS in their bodies. She asked the county to make testing accessible, monitor health of exposed communities, and educate clinicians per National Academies of Science 2022 recommendations. She noted that two state bills supporting PFAS mitigation were not enacted.
- Dr. Moss summarized that the county is drafting a comment letter opposing EPA’s proposed rescission of PFAS regulations, is developing a webpage for residents and providers, and is evaluating wastewater monitoring for PFAS.
2. Alameda Health System (AHS) Preliminary Budget FY 2026-27
- Mark Fratsky (COO) and Kim Fratsky (Budget Director) presented the draft budget showing a $42.8 million net loss and negative EBITDA of $8.9 million. The deficit is driven by $66.5 million in labor CPI, $17.8 million in state impacts (HR1, AP-MAP drop, Managed Care Organization tax, EAPC cap, 1115 waiver expiration), and $3.4 million in insurance/legal costs. Performance improvement initiatives of $28.4 million (revenue and expense) are included, with a remaining gap of $72 million (excluding the deferred RIF of 187 FTEs estimated at $35.3 million). Long-term projections show increasing deficits without action.
- Discussion focused on the Fairmont IOP program, budgeted to close. Supervisors Miley and Tam expressed commitment to keeping IOP open while a study determines its future. The ad hoc committee has directed AHS and labor to negotiate a plan to reduce the $72 million gap, with options including a freeze on cost-of-living adjustments, increased medical premium contributions, furloughs, and partial layoffs. The county has not committed additional funds pending consensus. Supervisor Miley noted the county’s Measure A reserve and potential use of Measure W funds, but emphasized that all parties must demonstrate maximum effort before seeking new revenue.
- Supervisor Miley reported that the ad hoc committee will meet again on June 17, 2026, to review progress. AHS will seek legal counsel regarding the RIF notices.
Key Outcomes
- PFAS: The committee directed staff to return with a menu of best practices for PFAS testing, community health monitoring, and clinician education, using the National Academies guidelines. Staff will draft and submit comment letters to the EPA and state water board supporting strong PFAS regulation. The next PFAS update is expected in 6–12 months.
- AHS Budget: The ad hoc committee will meet June 17 to receive updates from labor negotiations. The IOP program will remain open while a study is conducted. No additional county funding was committed; the county will consider options after consensus on the budget gap is reached.
- The committee adjourned to its next scheduled meeting on June 22, 2026 (budget session) or July 13, 2026.
Meeting Transcript
Okay, so good morning, everyone. Like to call the health committee to order for June 8th. Clerk, take the roll. Supervisor Tam. Present. Supervisor Miley. Present. All right. Any instructions? For in-person participation, the meeting site is open to the public. If you'd like to speak on an item, please fill out a speaker's card in the front of the room and hand it to the clerk. And for remote participation, follow the teleconferencing guidelines posted at www.acgo.org and use the raise your hand function. So if you can just join me in the Pledge of Allegiance. Pledge of allegiance to the flag of the United States of America to the public for just undergoing indivisible with every day at Justice Floor. Okay. So the our first item today. And I know they're going to be pretty lengthy, but our first item is something that I've been waiting to have a follow-up update on county staff when we first when we first discussed this months and months ago. So I'm really pleased that we're having this today. An update on PFAST and how we might consider approaching this concern. So I think we're gonna be starting. I guess Dr. Moss, you're you're kicking things off, and I guess we've got a whole line up here. All right, let's do this. Thank you. Good morning, supervisors. I'm Dr. Nicholas Moss, Alameda County Health Officer, and I'll be leading off the PFAS update. Thank you for having this session. While we're um just getting set up here, the purpose of this presentation is to share additional information with the committee and county residents on PFAS with a focus on drinking water. We last presented in June of 2025 on considerations for possible county actions related to PFAS. Fostering partnerships, education and outreach, and policy advocacy emerged as potential areas of focus. We're returning today to provide additional information about PFAS impacts and response, having engaged several of the experts on the front lines dealing with PFAS and drinking water here in Alameda County. And then we'll hear about PFAS health effects. And then we'll hear from two of our local impacted water districts, Zone 7 and the Alameda County Water District, and then we will get a community perspective on PFAS and health, and then I'll close out with just a few more county health updates. I'll introduce each speaker as we go, and we'll do our best to move quickly because I know it's a full agenda today. So just um a brief refresher on PFAS. PFAS are PER and polyfluoroalkyl substances. I'm on slide five here. And they are a family of molecules characterized by carbon chains with multiple bound fluorine atoms. They are uh human-made and they are very resistant to decomposition regardless of heat, uh water, oil exposure. Um, and they have been in wide use since uh they were uh synthesized in in um uh around about uh 1940. Because they are resistant to decomposition they accumulate in our environment and foods and in our bodies. Next slide, please. Oh, that's me. Apologies. So this slide shows a uh a list of examples of uh common products that contain uh some of the many thousands of man-made PFAS or human-made PFAS chemicals. And from these products, they find their way into our environment, into our water, into our landfills, farms, and our food. And as I mentioned, our bodies. So on that note, I'm going to introduce our first guest speaker, Dr. Chris Banks.
openpublica.com