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4.1 Staff Report

Foster City City Council
March 23, 2026

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4.1 Staff Report
Meeting
March 23, 2026
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Foster City City Council
Original file
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Text extracted from the city's file for reading and search. Open the original on fostercity.primegov.com. That file is the official record.

4924-8878-8377 v1
5 4
4 DATE: March 23, 2026

TO: Mayor and Members of the City Council
VIA: Stefan Chatwin, City Manager

FROM: Stefan Chatwin, City Manager
Benjamin L. Stock, City Attorney
DEPARTMENT: City Attorney
SUBJECT: RATIFICATION OF PROCLAMATION OF LOCAL EMERGENCY

BY THE CITY MANAGER RELATED TO RANSOMWARE
ATTACK

RECOMMENDATION
It is recommended that the City Council adopt the attached resolution ratifying the Proclamation of Local Emergency issued by the City Manager of the City of Foster City related to ransomware attack.

EXECUTIVE SUMMARY
On March 19, 2026, the City’s network was attacked by an external actor in the form of a ransomware attack, and this attack caused network access to become unavailable, which significantly interferes with City staff’s ability to conduct business and provide services.

As a result of the conditions of disaster, the City Manager, in his capacity as Director of Emergency Services, determined that a “local emergency”1 existed and issued a Proclamation of Local Emergency on March 19, 2026. (See Attachment 1.) The City Clerk’s Office provided written notification of the Proclamation to the appropriate departments within San Mateo County and the California Governor’s Office of Emergency Services pursuant to Government Code 8607.
1 As that term is defined in Section 2.40.020 of the Foster City Municipal Code (“FCMC”).

4924-8878-8377 v1
5 4
4 Pursuant to Government Code section 8630(b), the City Council must ratify the Proclamation of Local Emergency within seven days of its issuance.

Public Contract Code 22050 and Chapter 3.04 of the FCMC provide that during an emergency, a public agency, pursuant to a four-fifths vote of its governing body may take immediate action required by that emergency to procure the necessary equipment, services and supplies without giving notice for bids to let contracts. Under Public Contract Code 22050 the local agency must review the need for continuing the emergency at every regular meeting until the emergency is terminated.

The City Council is now being asked to ratify the Proclamation of Local Emergency issued on March 19, 2026 so that the City may be potentially eligible to receive governmental aid for the emergency response.

California Environmental Quality Act
The ratification of the Proclamation is not a project within the meaning of Section 15378 of CEQA Guidelines because it has no potential for resulting in either a direct or a reasonably foreseeable indirect physical change in the environment, either directly or ultimately.

FISCAL IMPACT
The City has incurred certain costs in responding to the attack, including overtime for staff, although the exact amount is not yet known.

Ratification of the Proclamation will facilitate the ability for the City to request resources including financial support and reimbursement from the State and other governmental agencies for costs incurred in response to this emergency

CITY COUNCIL VISION, MISSION, AND VALUE/PRIORITY AREA
Facilities and Infrastructure
ATTACHMENTS:

Attachment 1 – Resolution
Attachment 2 – Proclamation of Local Emergency

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