Title
Set May 27, 2026 at 9:00 A.M. or thereafter for a public hearing to consider adoption of the Fiscal Year 2026-27 Appropriation Limits pursuant to Article XIII B of the California Constitution.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
Set May 27, 2026, at 9:00 A.M. or thereafter for a public hearing to consider the adoption of the Fiscal Year 2026-27 Appropriation Limits pursuant to Article XIII B of the California Constitution.
SUMMARY: The California Constitution requires the establishment of appropriation limits on an annual basis.
DISCUSSION: The Auditor-Controller recommends that the Board of Supervisors receive the Fiscal Year (FY) 2026-27 Appropriation Limits pursuant to Article XIII B of the California Constitution as submitted. The Appropriation Limits are attached to this report. Documents and calculations supporting these limitations and the estimated proceeds of taxes on which they are based were developed by the Office of the Auditor-Controller and are available at that office for public review.
The Chief Administrative Office annually provides notice, as required by Government Code Section 7910, informing the Public of the scheduled date the Gann limits will be submitted for adoption. This year the Board of Supervisors will begin meetings on May 27, 2026, for the purpose of adopting the County Budget and will adopt these appropriation limits for the year ending June 30, 2027 during this process.
OTHER AGENCY INVOLVEMENT/COMMITTEE ACTIONS:
Funds impacted by these limitations are the General, Library, and special district funds listed.
FINANCING:
The appropriation limit for the General and Library Funds, beginning with the 1978-79 base amount increased annually by the growth ratio, is calculated to be $1,015,171,576 for FY 2026-27. This represents the amount of taxes allowable under the Gann initiative to fund FY 2026-27 appropriations. Tax proceeds exceeding the appropriation limit would need to be refunded to taxpayers if an excess occurred for two consecutive years. Estimated tax proceeds in FY 2026-27 of $365,420,066 is well below the limit set by the Gann initiative. The estimated tax proceeds for the special districts are also below their computed limits. The FY 1978-79 base amounts, FY 2026-27 appropriation limits, and FY 2026-27 estimated tax proceeds for the General and Library Funds and special districts are shown on the attached schedule.
BOARD OF SUPERVISORS STRATEGIC PLAN GOALS:
The Fiscal Year (FY) 2026-27 Appropriation Limit pursuant to Article XIII B of the California Constitution (known as the Gann initiative) is consistent with the Board of Supervisors’ Strategic Initiatives for Administration. The Gann initiative places limits on the growth of expenditures for publicly funded programs, and this calculation specifies the appropriation limits and the appropriations subject to limitation.
Mark a check next to the related Board of Supervisors Strategic Plan Goals: The Chief Administrative Office annually provides notice, as required by Government Code Section 7910, informing the Public of the scheduled date the Gann limits will be submitted for adoption.
____ Well-Being and Quality of Life
____ Sustainable Infrastructure for the Present and Future
____ Safe and Resilient Communities
____ Diverse and Thriving Economy
Other:
__X__ Administrative As required by Government Code Section 7910
Prepared by Judith R. Taperla, Accountant Auditor III, 755-5053
Approved by: Siomara Barajas, CPA, Chief Deputy Auditor-Controller, 755-5303
Attachments:
Board Report
Appropriations Limits FY 2026-27