FINANCE DEPARTMENT
CITY HALL
10300 TORRE AVENUE • CUPERTINO, CA 95014-3255
TELEPHONE: (408) 777-3220
CUPERTINO.GOV
CITY COUNCIL STAFF REPORT
Meeting: September 15, 2026
Subject
Second reading and enactment of an ordinance amending Municipal Code Chapter 2.88 Audit Committee Duties, Powers, and Responsibilities and Related Municipal Code Updates
Recommended Action
Conduct the second reading and enact Ordinance No. 26-2285: "AN ORDINANCE OF
THE CITY COUNCIL OF THE CITY OF CUPERTINO AMENDING MUNICIPAL CODE CHAPTER 2.88 TO RENAME THE AUDIT COMMITTEE AS THE AUDIT
AND FINANCE COMMITTEE, UPDATE ITS DUTIES, POWERS, AND
RESPONSIBILITIES, AND UPDATE THE DIRECTOR OF FINANCE TITLE" to:
1. Rename the Audit Committee as the "Audit and Finance Committee";
2. Modify Section 2.88.100(g) to read: “To review the City’s internal controls and internal audit reports.”
3. Add Section 2.88.100(i): “To review the use of emerging technologies such as artificial intelligence in the City’s financial reporting, internal controls over financial reporting, risk management, and compliance.”
4. Update Section 2.88.110 referencing Director of Administrative Services to Director of Finance
Background
On September 1, 2026, the City Council conducted the first reading of Ordinance No. 26- 2285. The ordinance renames the Audit Committee as the Audit and Finance Committee, updates its duties, powers, and responsibilities, and updates the Director of Financ e title in the Municipal Code. The City Council amended proposed Section 2.88.100(I) to add “emerging technologies such as” before “artificial intelligence.” The City Council unanimously approved the proposed ordinance as amended on first reading. The September 1, 2026 staff report is included as Attachment B for additional background.
Next Steps
Final adoption is subject to a second reading. If the City Council approves the proposed ordinance (Attachment A) at the second reading, the ordinance will become effective thirty days after adoption.
Sustainability Impact
No sustainability impacts.
Fiscal Impact
No fiscal impact.
City Work Program Item/Description
None
City Council Goal
Fiscal Strategy
TBD Item:
No
California Environmental Quality Act
Not applicable.
_____________________________________
Prepared by: Jonathan Orozco, Director of Finance
Reviewed by: Kirsten Squarcia, Deputy City Manager
Approved for Submission by: Tina Kapoor, City Manager
Attachments:
A – Draft Ordinance
B – September 1, 2026 Staff Report