Legislation Details

File #: 2026-00779    Version: 1
Type: Discussion Item Status: Agenda Ready
File created: 3/18/2026 In control: City Council - 5PM
On agenda: 5/12/2026 Final action:
Title: Fiscal Year 2026/27 Proposed Budget Deliberation and Council Direction
Attachments: 1. 2026-00779 STAFF REPORT, 2. 2026-00779 SUPPLEMENTAL MATERIAL [Updated 05/11/2026 @ 4:30 PM]
Date Ver.Action ByActionResultAction DetailsMeeting DetailsVideo
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Title
Fiscal Year 2026/27 Proposed Budget Deliberation and Council Direction
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FileID
File ID: 2025-00779
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Location
Location: Citywide
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Recommendation
Recommendation: Deliberate and pass a Motion to provide Council direction regarding the Fiscal Year (FY) 2026/27 Proposed Budget (Budget).
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Contact
Contact: Peter Coletto, Director, (916) 808-5416, pcoletto@cityofsacramento.org; Mirthala Santizo, Budget Manager, (916) 808-5078, msantizo@cityofsacramento.org; Department of Finance
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Presenter
Presenter: Peter Coletto, Director, (916) 808-5416, pcoletto@cityofsacramento.org; Mirthala Santizo, Budget Manager, (916) 808-5078, msantizo@cityofsacramento.org; Department of Finance
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Attachments
Attachments:
1-Description/Analysis
2-FY2026/27 Supplemental Budget Information
3-Presentation (TBD) [Updated 05/11/2026 @ 4:30 PM]
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Description/Analysis
IssueDetail
Issue Detail: The City Charter, Article IX Section II, requires the City Manager to deliver budget recommendations no later than 60 days prior to the start of the new fiscal year. The Budget was released on April 29, 2026.

Over the course of four Council meetings in March 2026, departments conducted Early Budget Work Sessions (EBWS). The EBWS began with a presentation of the overall City budget context and fiscal challenge and different budget scenarios that City staff analyzed.

Departments provided budget-focused presentations focusing on the impacts of budget reduction decisions and alignment with Council priorities. On February 24, 2026, Council received the financial update for FY2025/26 and an updated 5-year forecast projecting a $66.2 million budget deficit for FY2026/27 with deficits increasing annually thereafter. The Budget is balanced and closes a $66.2 million funding gap.

On May 5, 2026, staff presented the Budget (including the FY2026/27 Capital Improvement Program [CIP] Budget) to Council (File No. 2026-00777). On May 12, 2026, Council receive...

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