Budget Priorities

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Santa Clara County is addressing a significant budget challenge in its proposed fiscal year 2026-27 budget, which totals $14.7 billion in spending. The county faces a $787 million deficit largely due to unprecedented federal funding cuts, prompting recommendations for steep reductions in social safety net programs and public health services. County leaders propose cutting 464 jobs across these programs and closing some health clinics to help close the gap. Key developments this week include: - Release of the recommended $14.7 billion budget by County Executive James R. Williams - Identification of a $787 million budget shortfall driven by federal Medi-Cal and other funding cuts - Proposed elimination of 655 positions overall, with a focus on social services and healthcare - Consideration of new tax revenues to offset funding losses - Ongoing discussions by the Board of Supervisors on budget impacts and related fiscal strategies What to watch: The Board of Supervisors’ upcoming budget hearings and final adoption decisions will be critical in determining how these cuts and revenue measures are implemented across Santa Clara County.

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