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Council Meeting Recap – October 27, 2026

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On October 27, the City Council reviewed plans to optimize Information Technology (IT) services, considered updates to the City’s reserve policy, and discussed proposed amendments to the Just Cause for Residential Evictions Ordinance.

Council received a Review of the Information Technology Strategic Plan (Item 22), which outlines a three-year roadmap to strengthen safeguards, improve data stewardship, and guide technology investments to support secure, reliable City services. Staff noted that departments value IT’s responsiveness and system reliability, but demand exceeds available staffing and project management capacity. More than 150 technology projects are in the queue, underscoring the need for clearer prioritization and more coordinated planning.

Implementation will take place in phases over three years. Initial efforts will focus on strategic alignment, cybersecurity, and standardization, followed by improved citywide system integration and data management. The final phase will emphasize analytics, innovation, and continuous improvement. Staff also outlined early testing of artificial intelligence tools, including Microsoft Copilot, in a controlled government environment.

Councilmembers inquired about data privacy, project prioritization, cybersecurity, and staffing capacity. A data stewardship and privacy policy is being developed with the City Administrator’s Office and City Attorney. The IT Director stated staffing needs would be reassessed during the budget process as implementation proceeds. 

Council reviewed the Reserve Policy Adoption (Item 23), which establishes reserve requirements for the General Fund, enterprise funds, and internal service funds. Staff explained how reserves support financial stability, emergency readiness, and the City’s credit rating, citing trends during the Great Recession, the Thomas Fire, and the COVID-19 pandemic. General Fund reserves were projected at approximately $23 million, below the $50 million policy target, with the contingency reserve depleted and disaster reserves near the 15% level. Staff projected ongoing General Fund deficits beginning in Fiscal Year 2028, following a Fiscal Year 2027 budget balanced through one-time measures. Council raised concerns about the cumulative impact of deficits, reserve replenishment, and the need for clearer reporting on the City’s long-term fiscal outlook.

Council unanimously adopted revisions clarifying reserve provisions, defining a balanced budget, and adding the Local Housing Trust Fund as an option for allocating future General Fund surpluses. Council removed an example of financial impacts that would justify the use of Disaster Reserves and directed staff to return with clarification on whether emergency reserve use could require a supermajority vote and whether such a requirement is allowed under the City Charter. Council called for a clearer definition of a balanced budget below the reserve-policy target. 

As part of the ongoing budget review, staff will present a detailed General Fund forecast to the Finance Committee on Tuesday, November 17.

Council reviewed proposed Amendments to the Just Cause for Residential Evictions Ordinance (Item 24), which would expand tenant protections and revise at-fault and no-fault eviction regulations. Staff outlined changes that would remove exemptions for owner-occupied duplexes, certain newer buildings, and individually owned single-family homes and condominiums. Other proposed changes include extending the occupancy requirement for owner move-in evictions from 12 to 36 months, creating a school-year defense for certain evictions affecting children and education professionals, requiring an approved capital improvement plan for substantial remodels, and removing demolition as a separate no-fault eviction reason. The draft would revise standards for at-fault evictions and strengthen protections following Ellis Act withdrawals.

Council discussed the proposed limit of one owner move-in per property, exemptions for newer buildings, and whether the City’s rental registry could help facilitate documentation and noticing. Council requested further legal review and outreach to property owners and tenants. Staff will refine the draft and return it to Council for consideration after the new year.

To review the full meeting agenda, key documents, and recordings, visit City Council Meetings.

For additional current and historical financial data, visit Budget & Reporting.

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City Council meeting minutes are the official written records of actions, discussions, and votes that happen during a local government meeting and can be found in Archived Document Search.