Budget & Taxes

What's happening

• The city approved a $1,000,000 settlement of a personal‑injury lawsuit filed by Robert Blaisdell and David Portales.
• The ordinance was passed on first reading.

Why it matters

Pays compensation for injuries alleged to have occurred on a city street and closes the case.

Who is affected

How to act

What's happening

• The city approved a $65,000 settlement of an employment dispute lawsuit filed by Pauline Silva‑Re.
• The ordinance was passed on first reading.

Why it matters

Resolves the legal case and limits further court costs for the city.

Who is affected

How to act

What's happening

• The city approved an $80,000 settlement of a breach‑of‑contract lawsuit against Alfred Martinez Engineering.
• The ordinance was passed on first reading.

Why it matters

Ends the legal dispute and limits further legal expenses.

Who is affected

How to act

What's happening

• The Fire and Public Works Codes are amended to waive application review and processing fees for permits that address violations under the Building Inspection’s Internal Quality Control Audit Amnesty Program.

Why it matters

Encourages property owners to correct code violations without paying extra fees, improving building safety.

Who is affected

How to act

What's happening

• The Public Works Code is amended to eliminate banner and inspection fees for certain nonprofit organizations in Neighborhood Commercial, Neighborhood Commercial Transit, and Residential Transit‑Oriented Commercial districts.

Why it matters

Reduces costs for nonprofits, helping them allocate more resources to community programs.

Who is affected

How to act

What's happening

• The city appropriated $1,926,125 of Boarding of Prisoners revenue to overtime salaries.
• The city appropriated $14,043,516 to overtime salaries for the Sheriff’s Office.
• The city de‑appropriated $12,117,391 from retirement fringe benefits, vehicles, capital projects, and work orders.

Why it matters

Shifting funds supports projected overtime needs while reducing spending on other Sheriff’s Office programs, affecting public safety budgeting.

Who is affected

How to act

What's happening

• The ordinance raises fees for certain utility meters and authorizes the Controller to adjust weights‑and‑measures and utility meter device fees each year up to the state‑allowed maximum.
• The Board of Supervisors approved the ordinance on first reading.

Why it matters

Higher fees generate additional revenue for the city and affect the cost of utility services for customers.

Who is affected

How to act

What's happening

• The ordinance authorizes the City Administrator to pause, reduce, or return annual contributions by departments that contract for Public Works to the Self‑Insurance Surety Bond Fund.
• The Board of Supervisors approved the ordinance on first reading.

Why it matters

It changes how city funds are allocated for public‑works projects, potentially freeing money for other services.

Who is affected

How to act

What's happening

• The resolution concurs with the Controller’s establishment of the 2026 Consumer Price Index.
• It adjusts the Access Line Tax by the same rate as the CPI.

Why it matters

It changes the Access Line Tax, which appears on utility bills, affecting households and businesses.

Who is affected

How to act

What's happening

• The ordinance changes baseline funding requirements for early care and education programs for FY 2026‑27 and 2027‑28.
• It allows the city to use interest earned from the Early Care and Education Commercial Rents Tax to fund those baseline programs.

Why it matters

It creates additional funding for child‑care services without raising taxes, helping families and providers.

Who is affected

How to act

What's happening

• The ordinance updates the Health Code to establish patient fees for Department of Public Health services for FY 2026‑27 and 2027‑28.
• The Board of Supervisors approved the ordinance on first reading.

Why it matters

It determines the amount residents will pay for certain public health services, affecting affordability and city revenue.

Who is affected

How to act

What's happening

• The ordinance adopts the Health Service System plans for calendar year 2027.
• It sets the contribution rates that will fund the system in 2027.

Why it matters

It determines how health services are financed, affecting the availability and quality of care for residents.

Who is affected

How to act

What's happening

• The ordinance extends the waiver of first‑year permit, license, and business‑registration fees for newly formed or newly located small businesses.
• The waiver lasts until July 1, 2027 or until all reimbursed funds are exhausted, whichever occurs first.
• It applies to specified small businesses as defined in the ordinance.

Why it matters

It reduces startup costs for small businesses, encouraging entrepreneurship and supporting the local economy.

Who is affected

How to act

What's happening

• The ordinance raises the minimum grant award requiring Board approval from $100,000 to the greater of $1,000,000 or the federal single‑audit threshold.
• The new threshold takes effect on October 1, 2026.
• Board approval is required only when a grant first reaches the threshold or when a grant increase exceeds 110% of the prior amount or $200,000.

Why it matters

It adds oversight for large grant funds, ensuring the Board reviews significant money before the city spends it.

Who is affected

How to act

What's happening

• The resolution approves the FY 2026‑2027 budget for the Office of Community Investment and Infrastructure.
• It authorizes issuance of bonds up to $275,000,000 to fund the agency’s obligations.

Why it matters

It funds community investment projects and infrastructure, while the bond issuance creates debt that will be repaid by taxpayers.

Who is affected

How to act

What's happening

• The ordinance temporarily suspends the cap on using Homelessness Gross Receipts Tax revenues for short‑term rental subsidies.
• It finds that allowing increased expenditures on these subsidies furthers the goals of the Our City, Our Home Fund.
• The Board of Supervisors approved the ordinance on first reading.

Why it matters

It permits more tax‑derived money to be spent on short‑term rental subsidies, influencing housing availability and homelessness‑relief efforts.

Who is affected

How to act

What's happening

• The ordinance was passed on first reading.
• It establishes a tax ceiling for the Neighborhood Beautification and Graffiti Clean‑up Fund for tax year 2026.

Why it matters

It provides dedicated funding to keep neighborhoods clean and attractive, benefiting residents, businesses, and visitors.

Who is affected

How to act

What's happening

• The ordinance enumerates positions included in the annual budget for fiscal years ending June 30, 2027 and June 30, 2028.
• It covers positions created by charter or state law that are funded by city and county funds.
• The measure authorizes appointments, sets compensation, and fixes work schedules.

Why it matters

It determines staffing levels and salaries for city government, affecting how services are delivered and how public funds are spent.

Who is affected

How to act

What's happening

• The committee tabled a motion to call a public hearing on an initiative to impose an excise tax on owners of vacant or repurposed former grocery or pharmacy sites.
• The hearing had been scheduled for July 21, 2026 at 3:00 p.m.

Why it matters

The tax would generate revenue and encourage use of empty retail spaces, affecting neighborhoods and local businesses.

Who is affected

How to act

What's happening

• The city will settle the lawsuit filed by Anne Liao for $40,000.
• The settlement is authorized through an ordinance.

Why it matters

It resolves a personal‑injury claim against the city and avoids further court costs.

Who is affected

How to act

What's happening

• The city approves a settlement paying $89,946.50 to Eastern Investment Management for a commercial rents tax refund.

Why it matters

The payment resolves an unlitigated tax claim and finalizes the city’s tax liability for the claimant.

Who is affected

How to act

What's happening

• The city approves a settlement of $609,369.91 with TIH Insurance Holdings.
• $307,774 will satisfy a lien for 2024 gross receipts taxes, and $301,595.91 will be refunded.

Why it matters

The settlement clears tax‑related claims, satisfies a lien, and returns excess funds to the claimant.

Who is affected

How to act