County Board of Supervisors · Tuesday, September 29, 2026, 9:00 AM · Item 18 · CONSENT AGENDA
Adopting the 2026-27 budget for County funds and special districts
In plain English
This is the final adoption of Santa Cruz County's budget for the fiscal year that runs from July 2026 through June 2027. The Board would approve a spending plan of $1.4 billion covering the General Fund, road, housing, library and County Fire funds, capital projects, internal service and enterprise funds, and the special districts the Board governs. The same action sets the legal limits on how much the county and those districts may spend, accepts revenue received late in the prior year, moves money between accounts to reflect decisions already made during budget hearings, and approves the updated list of county positions and ongoing contracts. A yes vote makes the budget official.
This spending plan funds county services for the year, sets the number of county jobs at 2,678.3 authorized positions, and locks in the reserves and contingency the county can fall back on if costs rise or revenue falls short.
Key facts
- Total adopted plan: a structurally balanced operating and expenditure plan of $1.4 billion
- $154.75 million is reserved (obligated) in the General Fund for specific purposes; Committed and Assigned Obligations of $104.8 million equal 12.02% of General Fund operating expenditures, above the county policy minimum of 10%
- General Fund appropriations include a contingency of $9 million
- Total authorized positions: 2,678.3
- State law (California Government Code § 29088) requires the Board to approve the final budget by resolution no later than October 2 each year
- Preliminary FY 2025-26 year-end available General Fund balance was $40,181; after a net decrease of $30.5 million in restrictions, commitments and assignments, net available fund balance was $30.5 million, which was appropriated per the Board's Recommended, Supplemental, Last Day and Concluding direction
Reasons to support
- State law requires the Board to adopt the final budget by October 2, and this item is the required resolution.
- The plan is described as structurally balanced, meaning ongoing revenue covers ongoing spending, and it keeps a $9 million contingency for unexpected costs.
- Reserves at 12.02% of General Fund operating spending exceed the county's own 10% minimum fund balance policy.
- The adoption simply finalizes the May 2026 proposed budget with year-end closing results and the changes the Board already approved during budget hearings and in its Concluding and Last Day actions.
Reasons to oppose or change it
- Because this sits on the consent agenda, the entire $1.4 billion plan, the position count and the continuing contracts list would be approved in a single vote without separate discussion of individual items.
- The $30.5 million in freed-up prior-year fund balance is being committed here to uses set during earlier hearings; anyone who wanted that one-time money spent differently would have to reopen those decisions.
- The item also approves transfers of appropriations for "late additions that were not reflected in the Adopted Budget book," so some changes being ratified are not visible in the published budget document.
- The year-end General Fund balance figures are preliminary; the audited numbers will not be reported until the Annual Comprehensive Financial Report in January 2027.
Official wording
Adopt resolution approving the Fiscal Year (FY) 2026-27 Budget for County Funds and Special Districts governed by the Board of Supervisors, adopt resolution establishing FY 2026-27 appropriation limitations for the County and Special Districts governed by the Board of Supervisors, adopt resolution accepting unanticipated revenue related to the prior fiscal year, and take related actions (Auditor-Controller-Treasurer-Tax Collector)
Summary written by claude-opus-5 from the agenda and the Staff Report. It can contain mistakes. The official documents govern.