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PRESS RELEASE and VIDEO. Press release from San Mateo County Executive’s Office on June 9th, 2026.
VIDEO. From the San Mateo County Board of Supervisors regular meeting on Tuesday, June 9th, 2026 at 9:00am, as a hybrid meeting with remote comment. Agenda. Staff Report for Item #5: “Adopt a resolution approving the FY 2026-27 Recommended Budget submitted by the County Executive.”
Press Release. The San Mateo County Board of Supervisors on Tuesday approved a $5.2 billion budget for the 2026-27 fiscal year that maintains core County services while preparing for changes to federal health and nutrition programs and continued uncertainty over state funding.
The budget assumes full restoration of Vehicle License Fee replacement funding currently being withheld by the State of California. Because that revenue source represents 18 percent of the County’s General Fund, the budget also includes contingency reserves that would serve as a temporary bridge should the funding not be restored.
Board President Noelia Corzo said the County must continue planning ahead while protecting essential services.
“I think this is the reality that we’re in,” Corzo said. “It’s important we prepare for a future where we have difficult decisions to make and really assess what are needs versus what are nice-to-haves.”
County Executive Mike Callagy warned the State’s failure to restore VLF funding would have significant consequences for County services.
“We’re going to have a dramatic amount of funding to make up,” Callagy said. “It is such an enormous amount.”
The budget also prepares for federal policy changes that could affect thousands of San Mateo County residents who rely on Medi-Cal and CalFresh. Approximately 59,000 Medi-Cal beneficiaries could face new eligibility and renewal requirements, while CalFresh, which serves about 33,000 county residents, is expected to see additional workload tied to new work requirements and eligibility changes.
The budget includes continued investments in affordable housing and behavioral health. Four affordable housing developments are expected to begin construction during the fiscal year, adding 306 homes, while the Department of Housing plans to award more than $29 million through the Affordable Housing Fund to support future developments.
County Health also plans to invest $15 million through the Behavioral Health Services Act to expand housing and support services for individuals with behavioral health needs.
The budget was approved on a 5-0 vote.
How Will Lack of HR1 Funding affect San Mateo County?
(Google AI answer with human oversight)
The lack of H.R. 1 funding and associated safety-net cuts will cost San Mateo County tens of millions in state reimbursements and federal health revenue. This shortfall directly threatens essential social services, forces municipal budget reductions, limits emergency response, and jeopardizes health and food benefits for thousands of vulnerable residents. [1, 2, 3, 4]
🏥 Healthcare and Safety Net
- Medi-Cal Coverage: An estimated 61,000 residents in San Mateo County could lose their Medi-Cal coverage due to strict administrative barriers and work requirements. [1]
- Public Health Deficits: County Health programs face an estimated $44 million loss by 2027, severely limiting access to care. [1, 2]
- Food Assistance: Approximately 3,700 county residents are estimated to lose food assistance due to new legislative work rules, increasing demand on local nonprofits like Second Harvest of Silicon Valley. [1]
🛡️ Public Safety and Emergency Services
- Law Enforcement Operations: The funding gap puts operational reserves at risk for the San Mateo County Sheriff’s Office. Assistant Sheriff Mark Myers warned this could result in fewer deputies on patrol and slower response times. [1, 2]
- Emergency Rooms Overburdened: As residents lose preventive health coverage, county indigent health systems and emergency rooms are seeing significant increases in strain and long-term costs. [1]
🏙️ Municipal and Community Impacts
- Budget Crises: The ripple effect extends to all 20 cities within the county. For example, cities like Pacifica face catastrophic general fund cuts up to 10%, while Belmont and San Mateo are also navigating multi-million-dollar deficits. [1, 2, 3, 4]
- Nonprofit Strain: Local core agencies serving vulnerable, rural, and farmworker populations—such as Puente de la Costa Sur and the Daly City Partnership—are struggling to meet higher demands with fewer resources. [1, 2]
- Affordable Housing: The loss of infrastructure and community funding puts proposed affordable housing developments at risk, delaying projects across the county. [1]
⚖️ Ongoing Legislative Action
The local impact is further compounded by a funding formula dispute between the county and the state regarding owed Vehicle License Fee (VLF) reimbursements. County officials have joined a lawsuit to recover an estimated $157 million in owed funds to prevent these long-term budget disruptions. [1, 2, 3]
San Mateo County Board of Supervisors (BoS) Agendas
The Supervisors meet on the 2nd and 4th Tuesdays of the month at 9:00am, as a hybrid meeting.
