FY 2026-27 Proposed Midcycle Budget

Elizabeth Lake, Acting City Administrator Subject: FY 2026-27 Mayor’s Proposed Midcycle Budget Date: June 5, 2026 Page 4 Special City Council June 12, 2026 However, current funding limitations continue to impact: • Emergency and temporary shelter bed availability, reducing the City’s ability to offer immediate shelter placements and adequately address homelessness response in the short term • Long-term sustainability of programs supported by limited-term grant funding • Overall capacity to expand homelessness response services and shelter resources We are currently facing an estimated $5 million CoC budget gap needed to sustain six critical programs. • Two of these programs are at immediate risk of closure, as their current contracts expire on July 31, 2026, and no replacement funding has been identified. • Without additional financial support, approximately 190 shelter and housing beds would be taken offline between the 6 programs • A significant portion of these beds serve Transition-Age Youth (TAY) and families, populations that are particularly vulnerable and in critical need of stable housing and supportive services. • The loss of these programs would have a substantial impact on the community’s homelessness response capacity and continuity of care. • State HHAP Funding likely cut in half next year Quality of Life This budget continues investments in neighborhood services, recreation programs, libraries, workforce development, and community-based programs that contribute to Oakland’s quality of life. In this important service category, the midcycle budget will: • Fund special activities permitting enforcement officers to improve cleanliness and reduce public disorder for largescale public events at parks and in city streets. • Slightly extend senior center open hours from three to four days per week. • Restore the Mayor’s Summer Jobs Program to provide paid work experience and career exposure for Oakland youth. • Maintain existing staffing levels at our recreation centers, libraries, and housing, & rental assistance program • Restore branch library staffing and funding for materials to the required match amounts under Measures C and D, while also investing in safety support services at the Main Library and Martin Luther King Jr. branch through the presence of “peer navigators.” These individuals would help support patrons, connect people with services and resources, and maintain a safe and welcoming environment in library spaces. • Restore staffing at Oakland Animal Services to improve veterinary care and animal control response