FY 2026-27 Proposed Midcycle Budget

Measure E Spending Plan The FY 2025-27 Biennial Budget contemplated the placement of a revenue measure on the June 2026 Ballot as a possible mechanism to stabilize City finances and services.  This was outlined in the City's Road Map to Fiscal Health. While the City Council did not place a $40miilion measure on the ballot, a revenue measure for the June 2 ballot was developed for consideration via the initiative process. The proposal, Measure E, will be decided by voters at the June 2, 2026 election. If approve Measure E would raise roughly $34million for specific municipal services.   Prudent fiscal practice dictates that a budget should NOT consider revenue from a ballot measure that has not yet been approved. This proposed budget thus does not include resources from Measure E. The spending plan detailed below, does however reflect the Mayor's proposed plan for the usage of Measure E resources should it be approved.   The plan is consistent with the legal provisions of Measure E and would help to restore critical services and replace outdated equipment. This spending plan in conjunction with the Proposed Budget would also allow the City to fulfill the matching requirements provided in Measure Q (2020) related to parks maintenance and the minimum budgeted sworn police officer requirement under Measure NN (2024). Ballot Measure Spending Plan Ballot Measure Spending Plan F Y 2 0 2 6 - 2 7 P R O P O S E D P O L I C Y B U D G E T F Y 2 0 2 6 - 2 7 P R O P O S E D P O L I C Y B U D G E T 71