1 City of Santa Clara
Financial Status Report as of March 31, 2026
This report summarizes the City’s financial performance for the month ending March 31, 2026.
Financial analysis for the report is provided for the General Fund, select Special Revenue Funds, Enterprise Operating Funds, Internal Service Funds, and Capital Improvement Funds. Financial information included in this report is unaudited.
Economic Outlook
The Spring 2026 UCLA Anderson Forecast points to a shift in economic momentum with strong projected economic growth approaching 3% in 2026. “After momentarily stuttering in 2025 in the face of the highest tariff rates in a century, the U.S. economy is expected to resume a brisk pace of nearly 3% GDP growth in 2026. This expansion is fueled by significant fiscal stimulus, through income tax cuts, looser financial conditions, and an expanding boom in AI capital expenditures. Supporting this growth in demand are the continued gains in productivity observed since the post-pandemic recovery. While the labor market is projected to strengthen in response to rising demand, restrictive immigration policies will continue to limit its overall rate of expansion.
The aggregate strength of the economy masks significant underlying vulnerabilities that should not be ignored. Delinquency rates on credit cards and auto loans are concerningly high. Simultaneously, small businesses have seen shrinking employment as they struggle with the elevated cost of goods driven by tariffs and labor shortages linked to deportations. The residential real estate sector remains largely paralyzed by a dual stagnation of demand and supply; meanwhile, new construction inventories are beginning to pile up, placing downward pressure on home prices. Consequently, consumer sentiment remains at levels typically observed only
during recessions, highlighting a deep
disconnect between macroeconomic
indicators and the financial reality of many
Americans.”
1 The UCLA Forecast assumes real Gross
Domestic Product (GDP) growth of
approaching 3.0% in 2026, driven by
growth in personal consumption and
continued capital investment, including
investment in AI infrastructure and
equipment. Lower GDP growth is expected
in 2027 and 2028 with increases in the
low- to mid- 2% range as the AI
infrastructure buildout begins to taper and
the fiscal landscape becomes more
restrained with spending cuts taking effect,
particularly to Medicaid and SNAP.
1 UCLA Anderson Forecast for the Nation, Spring 2026 Report: From Tariff Hikes to Income Tax Cuts Quarterly Real GDP Growth Forecast
(Seasonally Adjusted Annual Rates)
2 City of Santa Clara
Financial Status Report as of March 31, 2026
The war in Iran has resulted in greater economic uncertainty, with economists pointing to the negative impacts on gas prices, inflation, consumer spending, GDP growth, and employment as well lower economic growth projections. The war has also led to significant financial market volatility.
In the advance estimate for the first quarter of 2026, the Gross Domestic Product (GDP) increased at an annual rate of 2.0%, following a GDP increase of 0.5% in the fourth quarter 2025. The increase in real GDP reflected increases in investment, exports, consumer spending, and government spending.
Imports, which are a subtraction in the calculation of GDP, also increased.2
On a national level, the unemployment rate decreased slightly from 4.4% in February to 4.3% in March 2026. In March, the number of unemployed persons totaled 7.2 million, a decrease from 7.6 million in February 2026.3
2 https://www.bea.gov/news/2026/gdp-advance-estimate-1st-quarter-2026
3 https://www.bls.gov/news.release/pdf/empsit.pdf
3 City of Santa Clara
Financial Status Report as of March 31, 2026
At the state level, the California unemployment rate was 5.3% in March 2026, down from 5.4% in February 2026. This rate is also down from the 5.4% rate in March 2025. Over the past year, California employers have gained 144,700 nonfarm jobs (0.8% increase).4 The unadjusted unemployment rate in the San José-Sunnyvale-Santa Clara Metropolitan Statistical Area (MSA) was 3.9% in March 2026, down slightly from a revised 4.2% in February 2026, and below the March 2025 level of 4.2%. Between March 2025 and March 2026, employment in this region increased by 18,200 jobs, or 1.6%. The largest increases were in private education and health services (up 11,900 jobs) and construction (up 3,900 jobs).5
General Fund
The General Fund is the major operating fund for the City and includes multiple programs, services, and activities for the residents and businesses of the City. The adopted budget for operating revenues and expenditures for fiscal year 2025/26 was $353.0 million. The amended budget for revenues and expenditures was adjusted to $384.9 million to reflect carryover encumbrances from fiscal year 2024/25 and various budget amendments approved by the City Council through March 2026.
General Fund revenues are tracking to exceed the budget and expenditures are tracking to end the year with savings.
4 https://edd.ca.gov/en/about_edd/news_releases_and_announcements/unemployment-March-2026/ 5 https://labormarketinfo.edd.ca.gov/file/lfmonth/sjos$pds.pdf
4 City of Santa Clara
Financial Status Report as of March 31, 2026
General Fund Revenues
As of March 31, 2026, $236.7 million, or 70% of General Fund revenue (excluding transfers) was received. Collections are tracking below par through March due to the timing of payments. In some cases, such as property tax, most payments are scheduled to occur later in the fiscal year. Transfers and use of reserves of $46.9 million have occurred as budgeted.
Adopted Budget
Amended
Budget
Actual Through
03/31/2026
Percentage
Received
Actual Through
03/31/2025
$
Change From
Prior Year
Percentage
Change
TAXES
Sales Tax 65,850,000$ 65,850,000$ 45,864,024$ 69.65% 44,300,293$ 1,563,731$ 3.53% Property Tax 101,181,000 101,181,000 59,769,969 59.07% 56,615,656 3,154,313 5.57% Transient Occupancy Tax 27,500,000 27,500,000 19,360,199 70.40% 14,155,508 5,204,691 36.77% Other Taxes 7,200,000 7,200,000 3,507,176 48.71% 3,512,800 (5,624) -0.16% Total Taxes 201,731,000 201,731,000 128,501,368 63.70% 118,584,257 9,917,111 8.36%
LICENSES & PERMITS
Business Licenses 6,200,000 6,200,000 4,706,436 75.91% 4,699,938 6,498 0.14% Building Permits - - 1,139,098 N/A 992,807 146,291 14.74% Fire Operation Permits 1,998,000 1,998,000 1,613,128 80.74% 1,645,200 (32,072) -1.95% Miscellaneous Permits 26,000 26,000 254 0.98% 74,227 (73,973) -99.66% Total Licenses & Permits 8,224,000 8,224,000 7,458,916 90.70% 7,412,172 46,744 0.63% FINES & PENALTIES 1,557,000 1,557,000 2,466,546 158.42% 1,682,721 783,825 46.58% INTERGOVERNMENTAL 580,000 1,256,079 804,012 64.01% 2,058,805 (1,254,793) -60.95% CHARGES FOR SERVICES 35,626,474 35,843,074 28,676,980 80.01% 26,120,137 2,556,843 9.79% SILICON VALLEY POWER TRANSFER 37,275,000 37,275,000 27,956,253 75.00% 26,598,824 1,357,429 5.10%
USE OF MONEY & PROPERTY
Interest 6,247,000 6,247,000 7,294,771 116.77% 3,345,552 3,949,219 118.04% Rent 13,107,611 13,536,011 11,045,510 81.60% 9,186,726 1,858,784 20.23% Total Use of Money & Property 19,354,611 19,783,011 18,340,281 92.71% 12,532,278 5,808,003 46.34% MISCELLANEOUS REVENUES 380,000 1,220,816 1,098,702 90.00% 303,120 795,582 262.46% LAND PROCEED - - - N/A 500 (500) -100.00%
OTHER FINANCING SOURCES
Operating Transfer In - Storm Drain 1,454,000 1,454,000 1,454,000 100.00% 1,454,000 - 0.00% Operating Transfer In - Reserves 9,556,671 16,973,212 16,973,212 100.00% 13,950,549 3,022,663 21.67% Operating Transfer In - Fund Balances(1) 5,816,858 28,044,857 28,044,857 100.00% 6,162,369 21,882,488 355.10% Operating Transfer In - Miscellaneous 405,265 401,746 401, 746 100.00% 2,201,534 (1,799,788) -81.75% Total Other Financing Sources 17,232,794 46,873,815 46,873,815 100.00% 23,768,452 23,105,363 97.21%
STADIUM OPERATION
Charges for Services 24,423,380 24,497,380 20,105,443 82.07% 17,307,769 2,797,674 16.16% Rent and Licensing 6,640,308 6,640,308 1,318,972 19.86% 7,612,194 (6,293,222) -82.67% Total Stadium Operation 31,063,688 31,137,688 21,424,415 68.81% 24,919,963 (3,495,548) -14.03% TOTAL GENERAL FUND 353,024,567$ 384,901,483$ 283,601,289$ 73.68% 243,981,230$ 39,620,059$ 16.24% (1) The Operating Transfer In - Fund Balances includes the carryover encumbrances of open purchase orders as of June 30, 2024 and mid year budget amendment from reserves.
Function
CITY OF SANTA CLARA
GENERAL FUND
REVENUE OVERVIEW AND COMPARISON BY TYPE
FISCAL YEAR 2025/26 PY REVENUE COMPARISON
5 City of Santa Clara
Financial Status Report as of March 31, 2026
General Fund Revenues
Sales Tax: The City of Santa Clara sales tax rate is 9.125%, of which the City receives 1.0%. As of March 31, 2026, $45.9 million has been recorded, which is 3.5% higher than prior year collection levels.
Given the timing of payments, the sales tax receipts through March account for actual activity in the first two quarters (July 2025 through January 2026) and one advance payment for the third quarter. In addition, $0.5 million has been received for the Proposition 172 Public Safety Sales Tax, which is consistent with the prior fiscal year.
In the first quarter of FY 2025/26 (July – September activity) receipts totaled $18.4 million. This collection level was 3.9% below the prior year receipts of $19.2 million for the first quarter of FY 2024/25. This decrease was the result of a 16.0% decrease in the Business-to-Business category, partially offset by growth in the remaining categories. In the second quarter of FY 2025/26 (October – December activity), receipts totaled $21.9 million and were up 8.6% from the same period last year.
This increase was primarily the result of a 30.2% increase in the County pool; these collections represented approximately 23% of the City’s sales tax receipts. The City business categories that experienced growth in the second quarter included Construction (up 42.0%), Transportation (up 2.9%), and General Retail (up 1.8%). This growth was partially offset by declines in food products (down
3.4%), and business to business (down 12.3%).
Given the strong performance to date and the strong performance in FY 2024/25, collections are tracking to exceed the budget estimate of $65.9 million. Collections are projected to exceed the budget by over $10 million based on the current data available and projections from the City’s sales tax consultant.
Property Tax: Through March, Property tax receipts totaled $59.8 million, up 5.6% from the prior year.
The majority of property tax revenue is collected in the second half of the fiscal year. Based on information from the County of Santa Clara, property tax receipts are projected to end the year at $103.6 million, slightly above the Adopted Budget estimate of $101.2 million.
Transient Occupancy Tax (TOT): TOT is calculated as a percentage of City hotel/motel room charges. The City’s TOT rate is 13.5%. Through March 31, 2026, $19.4 million has been collected, which reflects a 36.8% increase when compared to the collection level in the prior year. Beginning July 2025, all hotels submit TOT payments monthly rather than a combination of monthly and quarterly payments, which will impact the collection pattern during this fiscal year. Based on the higher prior year collection level, current year receipts, and the impact from the Super Bowl and FIFA World Cup events, TOT revenue is projected to exceed the budgeted estimate by year-end by $3 million - $5 million.
Other Taxes: Includes franchise tax and documentary transfer tax. The City has collected $3.5 million through March, including franchise tax ($2.4 million) and documentary transfer tax ($1.1 million).
Receipts are consistent with last fiscal year’s collection levels of $3.5 million. Growth of 2.6% is needed to meet the budgeted estimate.
6 City of Santa Clara
Financial Status Report as of March 31, 2026
Licenses & Permits: Includes business licenses, fire operation permits, and miscellaneous permits and fees. This category also includes a portion of building permits that are allocated for advanced planning. Licenses and permits revenue collections are tracking above par with receipts totaling $7.5 million, or 90.7% of the $8.2 million budget. This collection level is consistent with prior year receipts of $7.4 million. Business licenses receipts represent the majority of the collections to date at $4.7 million.
Collections in this category are tracking on par with the prior year level but are projected to end the year slightly below the $6.2 million budget.
Fines & Penalties: Includes collection charges (late fees), vehicle, parking, court fines, and miscellaneous penalty fines. The revenue collected in this category through March was $2.5 million, which is above the budget of $1.6 million and the prior year level collections of $1.7 million. The majority of the receipts are comprised of collection charges. The variance from the prior year is primarily due to higher collection charges, partially offset by a decrease in municipal fines collected.
Intergovernmental: Includes motor vehicle fees, state homeowner property tax relief, state mandated reimbursement and redistribution of land sale proceeds and ground leases from the Successor Agency.
Through March 31, 2026, $0.8 million has been collected in this category, which is 64% of the budget.
This collection level is 61% lower than prior year levels; collections were higher last year due to wildland reimbursements. Motor vehicle fees total $0.2 million, slightly exceeding the budget, and the State reimbursement for homeowners property tax relief totals $0.1 million and is expected to reach the $0.2 million budget by year-end. The miscellaneous other agency revenues total $0.5 million, which primarily reflects the SB 90 reimbursements from the State for state-mandated programs delivered by the Police Department and wildland reimbursements for the Fire Department. Budget actions to appropriate these funds to the Police and Fire Departments were approved as part of the July/August Monthly Financial Report and February Monthly Financial Report, respectively.
Charges for Services: Includes various plan check and zoning-related fees, engineering fees, administrative fees, and community service revenue from various recreational activities. Through March, collections totaled approximately $28.7 million or 80% of the budget. This reflects a 9.8% increase compared to last year’s collections, primarily due to higher receipts in engineering fees, interdepartmental charges, planning and zoning fees, and EMS transport fees.
Silicon Valley Power Transfer: In accordance with the City’s charter, Silicon Valley Power (SVP) pays
5.0% of gross revenues to the General Fund. Transfers throughout the year are based on the budgeted estimate and will be trued up at the end of the fiscal year based on actual performance. Based on the prior year collections and activity levels in SVP, receipts in this category are expected to exceed the budgeted estimate.
Use of Money & Property: Includes realized investment income and rental income. Collections of $18.3 million are higher than prior year levels in both categories. The increase in rental income reflects higher right-of-way collections and lease revenues. Interest collections came in nearly 100% higher than prior year levels due to several factors, including an increase in the size of the portfolio, the interest income distribution timing, a higher level of realized losses last fiscal year, and higher earnings
7 City of Santa Clara
Financial Status Report as of March 31, 2026
for certain securities. Receipts in this category are expected to exceed the budgeted estimate by approximately $3.0 million based on current collection trends.
Miscellaneous Revenues: Includes developer fees, donations, damage recovery, and one-time miscellaneous revenues. Through March, collections of $1.1 million are tracking at 90% the budget and are 262% above the prior year collections of $0.3 million. This increase is primarily due to a settlement agreement for damages incurred at Lick Mill Pump Station; the City was reimbursed $0.5 million for these damages. A budget action recognizing the reimbursement was approved by the City Council on January 13, 2026.
Stadium Operation: Through March 31, 2026, $21.4 million has been collected through charges for services and rent. Of this amount, $3.3 million and $5.6 million represents public safety cost reimbursements for non-NFL events and NFL games, respectively. The City received $4.8 million in revenue from the Stadium Authority’s year-end excess revenue distribution to the General Fund. The City also received the ground lease payment of $1.3 million and general and administrative cost reimbursements of $1.7 million, both from the Stadium Authority. Reimbursements of $3.8 million have been received from the Bay Area Host Committee. Remaining collections of $0.8 million reflected parking permits.
8 City of Santa Clara
Financial Status Report as of March 31, 2026
General Fund Expenditures
As of March 31, 2026, $286.1 million or 74.3% of the General Fund operating budget had been expended, which is higher than prior year expenditure levels. Excluding transfers, expenditures totaled $232.0 million, or 70.1% of the budget, which is below par of 75%. Transfers of $54.1 million have occurred as budgeted. Overall, expenditures in the General Fund are within budgeted levels through March and are expected to end the year with savings.
Adopted Budget
Amended
Budget
Actual Through
03/31/2026
Percentage
Use d
Actual Through
03/31/2025
$
Change From
Prior Year
Percentage
Change
GENERAL GOVERNMENT
Non-Departmental 20,501,477$ 20,160,144$ 11,943,862$ 59.24% 10,742,184$ 1,201,678$ 11.19% City Council 1,268,362 1,273,274 852,154 66.93% 807,172 44,982 5.57% City Clerk 1,761,474 1,763,949 1,261,539 71.52% 1,818,320 (556,781) -30.62% City Manager 5,859,758 6,942,349 4,608,262 66.38% 3,216,120 1,392,142 43.29% City Attorney 4,619,355 4,760,193 3,249,089 68.26% 2,162,030 1,087,059 50.28% City Auditor 1,075,554 1,167,005 588,275 50.41% 573,745 14,530 2.53% Human Resources 5,470,869 5,758,815 3,141,719 54.55% 3,062,674 79,045 2.58% Finance 20,897,522 21,598,708 14,764,142 68.36% 14,874,946 (110,804) -0.74% Total General Government 61,454,371 63,424,437 40,409,042 63.71% 37,257,191 3,151,851 8.46% PUBLIC WORKS 30,216,576 31,460,071 21,083,115 67.02% 18,852,161 2,230,954 11.83% COMMUNITY DEVELOPMENT 6,039,535 6,237,266 4,107,460 65.85% 3,601,833 505,627 14.04% PARKS AND RECREATION 24,548,978 25,373,495 17,278,052 68.09% 15,920,729 1,357,323 8.53%
PUBLIC SAFETY
Fire 70,335,667 71,148,082 52,697,400 74.07% 51,704,729 992,671 1.92% Police 99,261,544 100,299,895 74,940,827 74.72% 67,667,963 7,272,864 10.75% Total Public Safety 169,597,211 171,447,977 127,638,227 74.45% 119,372,692 8,265,535 6.92% LIBRARY 12,178,570 12,300,254 8,803,109 71.57% 8,807,213 (4,104) -0.05% DEPARTMENTAL TOTAL 304,035,241 310,243,500 219,319,005 70.69% 203,811,819 15,507,186 7.61%
OTHER FINANCING USES
Operating Transfer Out - Miscellaneous 1,062,675 1,635,973 1,635,973 100.00% 1,742,520 (106,547) -6.11% Operating Transfer Out - Debt Services 1,406,979 1,406,979 1,406,979 100.00% 1,405,940 1,039 0.07% Operating Transfer Out - Maintenance Dtrct 1,079,493 1,079,493 1,079,493 100.00% 977,546 101,947 10.43% Operating Transfer Out - Cemetery 1,078,109 1,078,109 1,078,109 100.00% 823,000 255,109 31.00% Operating Transfer Out - CIP 6,352,233 30,793,808 30,793,808 100.00% 14,436,988 16,356,820 113.30% Operating Transfer Out - Reserves 17,649,996 18,100,112 18,100,112 100.00% 7,324,722 10,775,390 147.11% Total Other Financing Uses 28,629,485 54,094,474 54,094,474 100.00% 26,710,716 27,383,758 102.52% STADIUM OPERATION 20,359,841 20,563,508 12,660,838 61.57% 7,179,165 5,481,673 76.36% TOTAL GENERAL FUND 353,024,567$ 384,901,483$ 286,074,317$ 74.32% 237,701,700$ 48,372,616$ 20.35% Function
CITY OF SANTA CLARA
GENERAL FUND
EXPENDITURES OVERVIEW AND COMPARISON BY FUNCTION
FISCAL YEAR 2025/26 PY EXPENDITURES COMPARISON
9 City of Santa Clara
Financial Status Report as of March 31, 2026
General Fund Expenditures
Below is an explanation of certain budget to actual expenditure variances by program.
Non-Departmental: Includes expenditures that are not attributable to a single department, but a function of the City in general. Through March, expenditures totaled $11.9 million, or 59.2% of the budget, which is below par of 75%. Current year spend is tracking higher than prior year levels, primarily in the salaries and benefits and contractual services categories. Spend is also higher in the advertising and community promotion category as a result of the “Where the Mission Meets the Moment” community events. These costs are partially offset by sponsorship revenue received by the City and appropriated to Non-Departmental as approved by the City Council as part of the Monthly Financial Reports for December 2025 and January 2026.
City Attorney: Actual expenditures through March totaled approximately $3.2 million, which is 68.3% of the budget, which is below par. Spending is higher than the total expenditures through the same time last fiscal year by 50.3% due to higher salaries and benefits costs and outside legal counsel costs.
City Clerk: Through March, actual expenditures were tracking slightly below budget at approximately $1.3 million or 71.5% of the budget. This spend is 30.6% lower than prior year levels due to one-time election costs incurred in February 2025.
City Council: Through March, expenditures of $0.9 million were at 66.9% of budget, which is below par. Compared to the same period through last fiscal year, this reflects a 5.6% increase in expenditures, resulting from higher salary and benefits, operating supplies, and conference, training and travel spend.
City Manager: The actual expenditures through March totaled $4.6 million, or 66.4% of the budget, which is below par for this time of the year. Expenditures are approximately 43.3% higher compared with the spending level during the same period last fiscal year. This is due to higher spend in the salaries and benefits, operating supplies, and contractual services categories.
Community Development Department: This department consists of three divisions: Planning, Building, and Housing and Community Services. The Building Division of this department is reflected in the Building Development Services Fund, which falls under the special revenue section of this report.
Through March, departmental expenditures for the Planning and Housing and Community Services divisions totaled $4.1 million, or 65.9% of the budget, which is below par of 75%. This expenditure level is 14% above the prior year as a result of higher salaries and benefits and contractual services spend.
Finance Department: Through March, the Department’s expenditures totaled $14.8 million, or 68.4% of the budget, which is below par. This expenditure level is consistent when compared to the same period last year.
Fire Department: Through March, actual expenditures totaled $52.7 million, or 74.1% of the budget, which is at par. These expenditures are 2% above the spending level through the same period last fiscal year. Overtime expenditures are tracking at 161.2% of the budget, which is well above par.
10 City of Santa Clara
Financial Status Report as of March 31, 2026
Excluding reimbursable mutual aid-related overtime, the departmental overtime remains at approximately 155% of the budget. While this overtime figure is above par, it is important to note that overtime is used to backfill for vacant positions and the vacancy savings offset a portion of the overtime costs.
Through March, absences are up 14% (from 60,378 to 68,563 hours) when compared with the prior fiscal year and remain above historical levels. Absences are trending high in the areas of compensation time used, Family and Medical Leave Act (FMLA) leave, disability leave, and industrial injury time.
Employees can elect compensatory time over overtime pay when backfilling shift absences, which increases the need to backfill when the compensatory time is used. Through March, the compensatory time payouts total $1,624,047 which is above historical levels and 28% above the payouts of $1,341,144 experienced through March of last fiscal year. The Department will continue to monitor expenditures throughout the fiscal year, and any necessary budget adjustments will be brought forward for City Council consideration.
Library Department: Through March, actual expenditures totaled approximately $8.8 million, or 71.6% of the budget, which is slightly below par, but consistent with the prior year expenditure level.
Parks and Recreation Department: Through March, actual expenditures totaled $17.3 million, or
68.1% of the budget, which is below par, but 8.5% higher than prior year actuals of $15.9 million. This increase reflects higher spend in the salaries and benefits categories as well as operating supplies.
Police Department: Expenditures through March are tracking at $74.9 million, or 74.7% of the budget; this is approximately 10.8% higher than prior year spending levels. The increase is mainly due to higher spend in the salaries and benefits, particularly in the overtime category. There is also higher spend in the operating supplies, contractual services, and capital outlay categories. The Department will continue to monitor expenditures throughout the fiscal year and any necessary budget amendments will be brought forward for City Council consideration.
Stadium Operation: Stadium operating expenditures are incurred first and billed on a reimbursement basis creating a timing difference in revenue recognition. Stadium expenditures of $12.7 million through March are tracking at 61.6% of the budget; this expenditure level is 76.4% above the prior fiscal year due planning and deployment activities related to the Super Bowl LX and FIFA World Cup 2026. Events at the Stadium through March include two soccer matches, four concerts, two preseason and eight regular season NFL games; these costs are fully reimbursed by the Stadium Manager and the Stadium Authority. February events also include Super Bowl LX and the community event: Celebrate Santa Clara. The Bay Area Host Committee also provides reimbursement for expenses incurred related to Super Bowl LX and FIFA World Cup 2026 planning costs.
11 City of Santa Clara
Financial Status Report as of March 31, 2026
Special Revenue Funds
The table below is a summary of revenues and expenditures of select Special Revenue Funds as of March 31, 2026. The amended budget reflects carryover encumbrances from fiscal year 2024/25 and budget amendments approved by the City Council through March 2026.
Actual Actual $
Fund Adopted Amended Through Percentage Through Change From Percent Description Budget Budget 3/31/2026 Received 3/31/2025 Prior Year Change Building Development Services Fee
Fund
16,736,000$ 16,736,000$ 14,946,735$ 89.31% 12,926,420$ 2,020,315$ 15.63% City Affordable Housing Fund 1,253,326 502,171 483,446 96.27% 984,218 (500,772) -50.88% Fire CUPA Fund 2,019,000 2,138,200 1,919,764 89.78% 156,645 1,763,119 1125.55% Fire Development Services Fee
Fund
3,429,000 3,429,000 3,214,502 93.74% 3,056,681 157,821 5.16% Housing and Urban Development 5,427,794 5,561,800 994,181 17.88% 1,925,751 (931,570) -48.37% Housing Authority Fund 281,088 281,088 380,962 135.53% 39,856 341,106 855.85% Housing Successor Fund 1,302,573 1,302,573 361,650 27.76% 897,656 (536,006) -59.71% TOTAL 30,448,781$ 29,950,832$ 22,301,240$ 74.46% 19,987,227$ 2,314,013$ 11.58% Actual Actual $
Fund Adopted Amended Through Percentage Through Change From Percent Description Budget Budget 3/31/2026 Use d 3/31/2025 Prior Year Change Building Development Services Fee
Fund
17,307,319$ 18,707,334$ 12,410,499$ 66.34% 11,925,428$ 485,071$ 4.07% City Affordable Housing Fund 6,984,995 7,292,572 867,325 11.89% 646,587 220,738 34.14% Fire CUPA Fund 1,779,867 1,814,872 1,163,319 64.10% 56,945 1,106,374 1942.88% Fire Development Services Fee
Fund
3,904,315 3,926,714 2,646,002 67.38% 2,653,764 (7,762) -0.29% Housing and Urban Development 5,427,794 5,720,995 1,962,570 34.30% 1,963,097 (527) -0.03% Housing Authority Fund 459,878 501,371 125,040 24.94% 121,772 3,268 2.68% Housing Successor Fund 1,127,973 1,347,976 610,056 45.26% 474,181 135,875 28.65% TOTAL 36,992,141$ 39,311,834$ 19,784,811$ 50.33% 17,841,774$ 1,943,037$ 10.89%
PRIOR YEAR EXPENDITURE COMPARISON
CITY OF SANTA CLARA
SPECIAL REVENUE FUNDS
REVENUE AND EXPENDITURES - OVERVIEW AND COMPARISON BY FUND REVENUE - FISCAL YEAR 2025/26 PRIOR YEAR REVENUE COMPARISON EXPENDITURES - FISCAL YEAR 2025/26
Through the end of March, revenues totaled $22.3 million, or 74.5% of the estimate, which is at par of 75%, while expenditures totaled approximately $19.8 million, or 50.3%. Revenues in both the Building and Fire Development Services Funds and the Fire CUPA Fund are tracking above par, while expenditures in these funds are tracking below par. In the Fire CUPA Fund, expenditures are tracking well above prior year levels as it was newly established in FY 2024/25. The Housing Authority Fund revenue is tracking above budget and significantly above prior year levels due to additional interest paid on a housing loan, while revenue in the City Affordable Housing Fund is tracking below prior year levels. This is a result of a correction in booking for interest accrued on housing impact fees, which is now recorded in the City Affordable Housing Capital Fund. Expenditures are tracking higher in this fund
12 City of Santa Clara
Financial Status Report as of March 31, 2026
when compared to prior years due to higher salaries and benefits and contractual services spend. In the Housing Successor Agency Fund, contractual services spend is higher than prior years, while interest collections on housing loans have come in lower than prior years.
Internal Service Funds
The table below displays the expenditures in the internal service funds across the City. The amended budget reflects current year appropriations, prior year carryover, and budget amendments approved through March 2026. As of March 31, 2026, the internal service fund expenditures totaled $33.7 million, or 49.8% of the amended budget. The expenditure fluctuations in the Vehicle Replacement Fund are due to the timing of vehicle purchases throughout the year. The significant decrease in spend in the Communication Acquisitions Fund is a result of the replacement of public safety radios that occurred last fiscal year. In the Information Technology Services Fund, higher spend is attributable to the contractual services and capital outlay categories. Expenditures are significantly lower in the Special Liability Insurance Fund when compared to last fiscal year due to high insurance claims expenses that were incurred in FY 2024/25.
Actual Actual $
Fund Adopted Amended Through Percentage Through Change From Percent Description Budget Budget 3/31/2026 Use d 3/31/2025 Prior Year Change Communication Acquisitions Fund 1,064,336$ 1,642,638$ 476,389$ 29.00% 5,920,301$ (5,443,912)$ -91.95% Fleet Maintenance and Operations
Fund
6,757,227 7,417,317 4,824,379 65.04% 4,382,110 442,269 10.09% Information Technology Services
Fund
18,755,875 23,478,149 11,933,050 50.83% 9,216,452 2,716,598 29.48% Public Works Capital Projects
Management Fund
4,991,087 5,863,020 3,575,995 60.99% 3,029,894 546,101 18.02% Special Liability Fund 9,152,000 9,209,062 5,360,010 58.20% 8,997,197 (3,637,187) -40.43% Unemployment Insurance Fund 100,000 100,000 117,288 117.29% 74,713 42,575 56.98% Vehicle Replacement Fund 3,994,000 11,014,019 1,939,957 17.61% 5,451,470 (3,511,513) -64.41% Workers' Compensation Fund 6,858,000 8,858,000 5,450,735 61.53% 4,678,146 772,589 16.51% TOTAL 51,672,525$ 67,582,205$ 33,677,803$ 49.83% 41,750,283$ (8,072,480)$ -19.34%
CITY OF SANTA CLARA
INTERNAL SERVICE FUNDS
EXPENDITURES - OVERVIEW AND COMPARISON BY FUND
EXPENDITURES - FISCAL YEAR 2025/26 PRIOR YEAR EXPENDITURE COMPARISON
13 City of Santa Clara
Financial Status Report as of March 31, 2026
Governmental Capital Improvement Funds
The table below lists the revenue for selected capital improvement funds. The amended budget reflects current year appropriations, prior year carryover, and budget amendments approved through March 2026. As of March 31, 2026, the capital fund revenue totaled approximately $24.0 million. In the Parks and Recreation Capital Fund, $13.3 million represents MFA collections, $1.2 million represents Quimby Act fees received, with interest earnings accounting for the remaining collections. The revenue collected in the Related Santa Clara Fund represents developer contributions. The revenue shown in the Storm Drain Capital Fund is customer service charges. In the Tasman East Specific Infrastructure Fund, $2.0 million reflects impact fee collections, with interest earnings accounting for the remaining collections. The collections in the Streets and Highways Capital Fund are comprised of interest earnings, grant funding, fees, and VTA Measure B proceeds.
Actual
Fund Current Year Prior Year Total Amended Through Percentage Description Appropriation Carryforward Budget 3/31/2026 Received City Affordable Housing Capital Fund 211,155$ -$ 211,155$ 211,155$ 100.00% Parks & Recreation 23,494,971 - 23,494,971 16,391,174 69.76% Public Buildings 110,027 - 110,027 110,028 100.00% Related Santa Clara Developer 932,667 290,000 1,222,667 235,000 19.22% Storm Drain 1,497,712 2,984,107 4,481,819 1,166,802 26.03% Streets & Highways 15,802,148 19,942,011 35,744,159 3,683,734 10.31% Tasman East Specific Infrastructure
Improvement Fund
217,682 3,517,250 3,734,932 2,166,789 58.01% TOTAL 42,266,362$ 26,733,368$ 68,999,730$ 23,964,682$ 34.73%
CITY OF SANTA CLARA
GOVERNMENTAL CAPITAL IMPROVEMENT FUNDS
REVENUE - OVERVIEW AND COMPARISON BY SELECTED FUND
REVENUE - FISCAL YEAR 2025/26
The table below lists the total amended budgeted amounts for expenditures in the Capital Improvement Funds. Similar to the revenue table, the amended expenditure budgets consist of current year appropriations, prior year carryover encumbrance balances in Governmental Capital Improvement Funds, and budget amendments approved through March 2026. As of March 31, 2026, capital fund expenditures totaled $34.0 million, or 10.1% of the amended budget. The table includes the Measure I General Obligation (GO) Bond funded projects. The current year budget reflects the first tranche of the GO bond proceeds, with approximately 2.6% spent. It is anticipated that the majority of these project appropriations will need to be carried over into FY 2026/27.
As part of the adoption of the FY 2025/26 and FY 2026/27 biennial operating budget, capital funds were carried over for projects that were not anticipated to be completed by June 30, 2025. Necessary
14 City of Santa Clara
Financial Status Report as of March 31, 2026
additional adjustments to the capital carryover amounts were included as part of the Budgetary Year- End Report for FY 2024/25, which was approved by the City Council in December 2025.
Actual
Fund Current Year Prior Year Total Amended Through Percentage Description Appropriation Carryforward Budget 3/31/2026 Use d City Affordable Housing Capital Fund 4,944,484$ -$ 4,944,484$ -$ 0.00% Fire 500,866 1,854,028 2,354,894 688,036 29.22% General Gov't - Other 4,437,516 12,674,976 17,112,492 883,680 5.16% Library 24,642 653,161 677,803 16,353 2.41% Measure I General Obligation Bond
Fund
96,634,500 - 96,634,500 2,514,867 2.60% Parks & Recreation 11,437,074 40,887,990 52,325,064 1,450,617 2.77% Public Buildings 43,762,209 8,977,180 52,739,389 4,175,872 7.92% Related Santa Clara Developer 723,037 343,370 1,066,407 333,791 31.30% Storm Drain 911,490 8,707,187 9,618,677 893,310 9.29% Streets & Highways 20,213,576 76,260,521 96,474,097 21,638,080 22.43% Tasman East Specific Infrastructure
Improvement Fund
1,434,465 2,828,615 4,263,080 1,442,703 33.84% TOTAL 185,023,859$ 153,187,028$ 338,210,887$ 34,037,309$ 10.06% EXPENDITURES - FISCAL YEAR 2025/26
CITY OF SANTA CLARA
SUMMARY OF EXPENDITURES
GOVERNMENTAL CAPITAL IMPROVEMENT FUNDS
15 City of Santa Clara
Financial Status Report as of March 31, 2026
Enterprise Funds
The table below is a summary of revenues and expenses for the Enterprise Operating Funds as of March 31, 2026. Overall, revenues and expenditures are tracking below budgeted levels. Compared to prior year levels, revenues are tracking lower, whereas expenditures are tracking higher.
Actual Actual $
F
und Adopted Amended Through Percentage Through Change From Percent Description Budget Budget 3/31/2026 Received 3/31/2025 Prior Year Change Cemetery Fund 600,000$ 600,000$ 467,505$ 77.92% 455,330$ 12,175$ 2.67% Electric Utility Fund 1,128,195,241 1,128,195,241 633,382,073 56.14% 701,169,865 (67,787,792) -9.67% Sewer Utility Fund 52,407,375 52,425,510 42,057,854 80.22% 42,317,429 (259,575) -0.61% Solid Waste Utility Fund 42,287,613 42,287,613 30,436,656 71.98% 28,666,956 1,769,700 6.17% Water Recycling Fund 9,651,409 9,651,409 6,419,222 66.51% 8,210,962 (1,791,740) -21.82% Water Utility Fund 76,402,644 76,415,821 50,508,475 66.10% 46,743,592 3,764,883 8.05% TOTAL REVENUE 1,309,544,282$ 1,309,575,594$ 763,271,785$ 58.28% 827,564,134$ (64,292,349)$ -7.77% Actual Actual $
Fund Adopted Amended Through Percentage Through Change From Percent Description Budget Budget 3/31/2026 Use d 3/31/2025 Prior Year Change Cemetery Fund 1,757,102$ 1,774,177$ 808,860$ 45.59% 829,115$ (20,255)$ -2.44% Electric Utility Fund 712,617,141 723,337,626 488,675,238 67.56% 421,068,770 67,606,468 16.06% Sewer Utility Fund 43,738,253 44,110,349 33,984,324 77.04% 29,910,361 4,073,963 13.62% Solid Waste Utility Fund 42,061,065 46,374,375 28,628,040 61.73% 27,748,121 879,919 3.17% Water Recycling Fund 10,890,055 14,745,574 8,325,843 56.46% 8,005,512 320,331 4.00% Water Utility Fund 66,793,248 68,017,282 44,291,352 65.12% 42,570,513 1,720,839 4.04% TOTAL - Operating
Appropriations
877,856,864$ 898, 359,383$ 604,713,657$ 67.31% 530,132,392$ 74,581,265$ 14.07% PRIOR YEAR EXPENSE COMPARISONEXPENDITURES - FISCAL YEAR 2025/26
CITY OF SANTA CLARA
ENTERPRISE OPERATING FUNDS
REVENUE AND EXPENSES - OVERVIEW AND COMPARISON BY FUND
REVENUE - FISCAL YEAR 2025/26 PRIOR YEAR REVENUE COMPARISON
Revenues in the electric (which also includes the Electric Debt Service Fund), water, sewer (which also includes the Sewer Debt Service Fund) and water recycling funds are primarily from customer service charges. The activity levels for these customer service charges also impact the resource and production costs on the expenditure side for these funds. In the Electric Utility Fund, the significant decrease in revenue from the prior year is attributable to bond proceeds received last fiscal year.
Expenditures in this fund are expected to end the year above budget due to higher power purchase and production costs, which are driven by a higher load. It is anticipated that higher revenues will offset these higher costs. While not included in this report, budget actions for the Electric Utility Fund are expected to be brought forward before the end of FY 2025/26. Revenue in the Water Recycling Fund is lower than prior year levels due to a reimbursement received last fiscal year. Expenditures in the Sewer Utility Fund are tracking higher than prior year levels due to higher operations and maintenance
16 City of Santa Clara
Financial Status Report as of March 31, 2026
payments made for the Regional Wastewater Facility (RWF). Staff will continue to monitor this fund and bring forward budget actions if necessary.
A summary of revenue and expenses in the Enterprise Capital Improvement Funds is detailed in the tables below. Actual revenue through March 31, 2026, totaled $26.1 million, consisting primarily of developer contributions in the Electric Utility Fund and sewer fees in the Sewer Utility Fund. In the Sewer Utility Fund, a reimbursement related to the RWF from the City of San Jose is also reflected.
Enterprise capital fund expenses totaled $89.3 million, or 10.0% of the amended budget. Similar to the general government capital funds, capital funds were carried over from FY 2024/25 as part of the FY 2025/26 and FY 2026/27 budget adoption process for those projects that were not expected to be completed by June 30, 2025. Additional necessary adjustments to the capital carryover amounts based on actual year-end expenditures were included in the Budgetary Year-End Report for FY 2024/25, which was approved by the City Council in December 2025. These actions are reflected in the table below.
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Financial Status Report as of March 31, 2026
Actual
Fund C urrent Year Prior Year Total Amended Through Percentage Description Appropriation Carryforward Budget 3/31/2026 Received Electric Utility Fund 40,097,043$ 13,091,676$ 53,188,719$ 19,661,683$ 36.97% Sewer Utility Fund - - - 6,339,203 N/A Solid Waste Utility Fund 260,653 243,847 504,500 6,606 1.31% Street Lighting (1) - - - 11,695 N/A Water Utility Fund - - - 39,760 N/A TOTAL - Revenue 40,357,696$ 13,335,523$ 53,693,219$ 26,058,947$ 48.53% Actual
Fund C urrent Year Prior Year Total Amended Through Percentage Description Appropriation Carryforward Budget 3/31/2026 Use d Cemetery Fund 10$ 270,479$ 270,489$ -$ 0.00% Convention Center Capital
Fund
1,590,412 2, 556,629 4,147,041 24,375 0.59% Electric Utility Fund 385,819,281 378,643,486 764,462,767 69,973,344 9.15% Sewer Utility Fund 47,606,403 37,208,230 84,814,633 6,369,967 7.51% Solid Waste Utility Fund 821,876 141,354 963,230 625,801 64.97% Street Lighting (1) 5,837,301 12,872,569 18,709,870 8,135,220 43.48% Water Recycling Fund 50,000 - 50,000 2,312 4.62% Water Utility Fund 15,033,219 6,891,151 21,924,370 4,140,774 18.89%
TOTAL - CIP
Appropriations
456,758,502$ 438, 583,898$ 895,342,400$ 89,271,793$ 9.97%
CITY OF SANTA CLARA
ENTERPRISE CAPITAL IMPROVEMENT FUNDS
SUMMARY OF EXPENDITURES
EXPENSES - FISCAL YEAR 2025/26
CITY OF SANTA CLARA
ENTERPRISE CAPITAL IMPROVEMENT FUNDS
REVENUE - OVERVIEW AND COMPARISON BY SELECTED FUND
REVENUE - FISCAL YEAR 2025/26
(1) Street Lighting fund is part of Electric Capital Improvement Funds
18 City of Santa Clara
Financial Status Report as of March 31, 2026
Fund Reserves
By policy, City Council established the City’s General Contingency Reserve, under which reserves for Budget Stabilization and Capital Projects were established. • Budget Stabilization Reserve is set aside for weathering economic downturns, emergency financial crisis, or disaster situations. The reserve target is equal to the expenditures of the City’s General Fund operations for three months (90-day or 25% General Fund Adopted Operating Budget).
• Capital Projects Reserve earmarks funds for the Capital Improvement Program.
Other General Reserves and Enterprise Fund Reserves included in this report are highlighted as follows:
• Technology Fee Reserve is set aside to update and/or replace the City’s aging technology and to ensure internal controls are in compliance with current business standards and legal requirements.
• Land Sale Reserve is net proceeds from the sale of City-owned land, with interest earned on these funds available to be appropriated for General Fund operating expenditures. This reserve is available for appropriation by City Council action.
• The Electric Utility Rate Stabilization Reserve and Operations and Maintenance Reserve ensure sufficient operating cash is available to cover day-to-day expenses, address unforeseen cost increases or revenue shortfalls, and ensure debt service coverage. • The Replacement and Improvement Reserve in the Water and Sewer Utility Funds is for future capital improvement.
The table below summarizes select reserve balances.
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Financial Status Report as of March 31, 2026
DETAIL OF SELECTED FUND RESERVE BALANCES:
GENERAL
FUND ELECTRIC WATER
Budget Stabilization Reserve 81,450,116$
Capital Projects Reserve 21,383,432
Land Sale Reserve 18,561,159
Technology Fee Reserve 2,827,685
Electric Rate Stabilization Fund Reserve 78,000,000$
Electric Operations and Maintenance Reserve 377,000,000 Replacement & Improvement 303,090$
TOTALS 124,222,392$ 455,000,000$ 303,090$
CITY OF SANTA CLARA
RESERVE BALANCES
March 31, 2026
Donations to the City of Santa Clara
Donations received by department during the month of March 2026 and for fiscal year 2025/26 are shown in the table below.
Department Mar-26
Fis cal Year
2025/26
Year To Date Designated Use
City Manager's Office - 150 Help Your Neighbor Parks & Recreation - 24,170 Case Management Parks & Recreation 629 3,328 Roberta Jones Jr. Theatre Parks & Recreation - 19,775 Wade Brummal TOTALS 629$ 47,423$