With Inauguration Day approaching, let’s contemplate how promised (threatened?) cuts to the federal budget and workforce might impact Orange County.
Leading the charge are Elon Musk and Vivek Ramaswamy, co-heads of Department of Government Efficiency (DOGE), an organization with no legal authority but plenty of bully pulpit, as the pair have unleashed since shortly after Election Day. Promises to slash and burn whole federal agencies, programs and employees made headlines.
Calculating the precise amount of federal funding in Orange County isn’t possible in this article. We do know Social Security, Medicare and federal funding for healthcare to low income or poverty level individuals takes up well over half the entire federal budget, and has been declared off limits by President-Elect Donald Trump.
But we can provide an overview of some of the major federal facilities, one-time and ongoing grants and expenditures beyond those noted above as examples of how an aggressive DOGE targeting of the county might have an impact.
We begin with the massive Cleveland National Forest which stretches from Anaheim to the San Diego County line (and well beyond). The OC section includes Santiago Peak, where dozens of critical communications installations are located. There is little camping, but hiking and mountain biking trails abound. Reducing Forest Service employees and/or funding could impact maintenance and operations.
The county is home to two major military bases: Seal Beach Naval Weapons Station, and Joint Forces Training Base Los Alamitos. Giant Marine base Camp Pendleton abuts the southern county boundary. All the bases are micro-economies on their own but also impact the county economy. Reductions to the military budget are rare, but as that budget is so large, cuts are possible.
Also, the Department of the Navy has ongoing responsibility to clean up legacy toxic wastes at Irvine Great Park and recently spent more than $123 million to deal with the fire that destroyed one of the historic blimp hangars at Tustin Legacy. Additional funds will likely be needed to complete the cleanup at the remains of the burnt hangar.
As we are a coastal county, the US Coast Guard patrols local waters, providing rescue and immigration enforcement, among other duties. The Coast Guard cutter Narwal is based in Newport Harbor.
Like major urban counties, ours attracts federal funding for infrastructure. A recent example is the $304 million allocated to the Orange County Transportation Agency (OCTA) to shore up the cliffs adjacent to the Amtrak line in San Clemente. And San Clemente is due to receive funding from the US Army Corps of Engineers to replenish sand along its beaches. John Wayne Airport received $20 million this year to “enhance passenger experience” as well as for energy efficiency. And finally, while it is located in San Diego County, the closed San Onofre nuclear generating station is in line to receive $26 million for nuclear waste cleanup and removal.
These are just some of the best known examples of direct federal aid. In reality, federal funding for water and sewer improvements, law enforcement and dozens of other services add up to tens of millions of dollars for Orange County annually.
Three agencies frequently targeted by budget hawks are the Public Broadcasting System (PBS), the National Endowment for the Arts (NEA), and the National Endowment for the Humanities (NEH). Last year Orange County received $130,000 from the NEA, including $40,000 for the OC Philharmonic Society, $25,000 for the Pacific Symphony and $10,000 for the Frieda Cinema in Santa Ana. NEH grants of $400,000 went to UC Irvine, $132,000 to Cal State Fullerton. PBS is often threatened with loss of funding, but in the past has always escaped. PBS SoCal is our local station.
Planned Parenthood is another organization often targeted for reductions or complete non-funding by various members of Congress. In Orange County in 2023 it served more than 250,000 individuals for services–most for family planning, the rest for medical needs.
UC Irvine received more than $300 million in federal funding in 2024, most of it for medical research from the Dept. of Health and Human Services. Cal State Fullerton received about $19 million in federal funds for research in 2024. These funds are separate from financial aid provided to students at both UCI and CSUF, funds administered by the Dept. of Education, frequently mentioned as a prime target for complete elimination by DOGE and President-Elect Trump. (Trump says money from DOE will be sent to states to administer).
In all of California, about 5 million people are on food stamps, receiving an annual total of $16 billion in value. Assuming Orange County is roughly ten percent of the state population, we can estimate that 500,000 people here receive annual benefits of around $1.6 billion. Food stamps are regularly mentioned as a target for reduction.
Private sector entities benefit directly and indirectly from federal grants and policies. Many if not most of the electric vehicles seen around the OC likely received a $7,500 tax credit, often mentioned as on the list for elimination by the incoming administration. And Rivian, the maker of electric trucks, is awaiting a $6.6 billion loan to reopen a manufacturing plant in Georgia. Rivian headquarters is in Irvine, employing more than 2,000 people.
Whatever DOGE comes up with won’t take effect unless Congress takes action. And as the saying goes, all politics is local, meaning that when it comes time to act, most members of Congress carefully evaluate first what policy changes will mean to their constituents.
Finally, the DOGE boys have challenged the basic competency of the entire federal workforce. As a former bureaucrat myself (State of California, special districts in OC), I know that when any public employee is threatened, the first and most effective response is to build a wall of law, procedures, regulations, and timelines. A friend of mine once noted the private sector loves speed, the public sector loves process. And as one observer opined, Elon Musk will get to Mars faster than he is likely to achieve meaningful changes to the federal budget or workforce.
Michael Stockstill is retired. He is the author of a book on the history of the Irvine Ranch. He lives in Irvine.
Editor’s note: The day after Inauguration Vivek Ramaswany abruptly left the DOGE team. His announced reason was to run for governor of Ohio.
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