REPORT TO HOUSING AND HUMAN SERVICES COMMISSION
SUBJECT
Title
Recommend to City Council Adoption of Fiscal Year 2026-27 Recommended Budget
Report
BACKGROUND
The City of Sunnyvale's budget process alternates each year between Operating and Capital Improvement Projects Budget. This year, our focus is on the Operating Budget, allocating resources, personnel, goods and services; because this year is the second year of the Capital Improvement Projects Budget cycle, changes made to Capital Improvement Projects Budget are on an exception only basis. There were no changes made to the Housing Capital Improvement Projects budgets for FY 26-27.
The Budget Workshop was held on Tuesday, May 19, 2026. The Annual City Council Public Hearing on FY 2026-27 Budget and Resource Allocation Plan will be held on June 2, 2026, and the City Council is scheduled to consider FY 2026-27 Budget Adoption on June 16, 2026.
EXISTING POLICY
Council Policy 7.2.19.H(C) - Boards and Commissions
Provide Council a recommendation regarding the City Manager’s recommended budget for content under the purview of their board or commission.
ENVIRONMENTAL REVIEW
The recommendation of the Housing and Human Services Commission on the budget is not subject to environmental review because it is a fiscal or administrative activity that will not result in direct or indirect changes to the physical environment (CEQA Guidelines Section 15378(b)(4), (5)).
DISCUSSION
The FY 2026/27 Recommended Budget consists of two volumes; Volume 1 includes the Summary and Operating Budget, while Volume 2 includes the Projects Budget.
Key sections in the Recommended Budget (Attachment 1: Volume 1 and Attachment 2: Volume 2) related to Housing and Human Services include:
• Volume 1, Page 5 - City Manager’s Budget Message
• Volume 1, Page 13 - Budget Summary Overview
• Volume 1- Financial Plans
o General Fund (Page 43)
o Special Revenue Funds (Page 57) - Housing Fund, Low & Moderate Income Housing Fund, Community Development Block Grant Fund, HOME Grant Fund, Permanent Local Housing Allocation Grant Program Fund,
• Volume 1 (Page 117) - Budget Supplement No. 1 - Funding for Council Priority Projects for the FY 2026/27 Recommended Budget
o Page 178: Council Priority Project ID 2026-14 - Public Sector Workforce Housing Feasibility Study
• Volume 1 (Page 234) - Community Development Department
PUBLIC CONTACT
Public contact was made by posting the meeting agenda on the City's official-notice bulletin board at City Hall. In addition, the agenda and this report are available at the City Hall reception desk located on the first floor of City Hall at 456 W. Olive Avenue (during normal business hours), and on the City's website.
ALTERNATIVES
1. Recommend to City Council Adoption of FY 2026-27 Recommended Budget
2. Recommend to City Council Adoption of FY 2026-27 Recommended Budget with modifications
RECOMMENDATION
Recommendation
Staff makes no recommendation.
Levine Act
LEVINE ACT
The Levine Act (Gov. Code Section 84308) prohibits city officials from participating in certain decisions regarding licenses, permits, and other entitlements for use if the official has received a campaign contribution of more than $500 from a party, participant, or agent of a party or participant in the previous 12 months. The Levine Act is intended to prevent financial influence on decisions that affect specific, identifiable persons or participants. For more information see the Fair Political Practices Commission website: www.fppc.ca.gov/learn/pay-to-play-limits-and-prohibitions.html
An “X” in the checklist below indicates that the action being considered falls under a Levine Act category or exemption:
SUBJECT TO THE LEVINE ACT
___ Land development entitlements
___ Other permit, license, or entitlement for use
___ Contract or franchise
EXEMPT FROM THE LEVINE ACT
___ Competitively bid contract*
___ Labor or personal employment contract
___ Contract under $50,000 or non-fiscal
___ Contract between public agencies
_X__ General policy and legislative actions
* "Competitively bid" means a contract that must be awarded to the lowest responsive and responsible bidder.
Staff
Prepared by: Amanda Sztoltz, Housing Officer
Approved by: Trudi Ryan, Community Development Director
ATTACHMENTS
1. FY 2026/27 Recommended Budget Volume 1 - Summary and Operating Budget (Budget Excerpt)
2. FY 2026/27 Recommended Budget Volume 2 - Projects Budget (Budget Excerpt)