County Releases Final Revisions for FY 2024-25 Budget; Board of Supervisors to Hold Hearing on Sept. 24

Callagy will present the spending plan to the Board at a public hearing on Tuesday, Sept. 24, in the Board Chambers, 400 County Center, Redwood City. The budget is balanced and deposits $98.2 million into the reserve fund, for an increase of 2.5 percent from the prior year. The Board will also be considering changes to the reserve policy at this same meeting, which would increase the required percentage that the County must set aside.

This is expected to be the final hearing on the 2024-25 budget and includes updated revenue and spending adjustments and projections since release of the Recommended Budgetin June.

With the revisions, the budget presented totals $5.25 billion to support a vast array of County programs and servicesthat touch the lives of nearly all 760,000 residents.

"This budget represents our promise to fulfill our Board's vision of a community that is more affordable, more equitable and creates more opportunities and pathways forward for our residents," Callagy said. "At the same time, we are careful to work within our means so we can maintain a solid fiscal footing."

The revisions include approximately $1.02 billion in adjustments, driven largely by funding being carried over from prior years for approved capital projects and infrastructure improvements across the County such as the South San Francisco Wellness Center, San Mateo Medical Centercampus improvements, the new County Office Building 3(now known as 500 County Center), several affordable housing projects as well as road and bridge projects.

In addition, the County is acquiring several properties totaling $110 million (purchase and renovation costs) utilizing one-time funds. This is part of a long-term financial strategy to own buildings rather than rent, ensuring greater stability and financial security by controlling ongoing expenditures. These properties will be used to increase the number of services and office locations throughout the county as well as provide for permanent supportive housing.

This budget also includes a total of $13 million for expanding and improving the San Mateo Event Center and programming to strengthen community resiliency as part of the San Mateo County Resilience Center Project.

In all, the revised budget includes 5,851 authorized positions for all County funds, a net increase of four authorized positions.

While the budget aims to address the community's immediate needs, Callagy along with Chief Financial Officer Robert Manchia will present the option to the Board to change the reserve policy.

"The investments and policy changes made now will position the County for success by managing rising expenditures and revenue challenges," Callagy said. "As we enter the upcoming fiscal cycle, it is crucial to focus on what is necessary to sustain key services while also operating with the future in mind."

The final revised budget is available here.

The agenda for the Board of Supervisors' Sept. 24 meeting will be posted prior to the meeting on the agenda website.

Michelle Durand
Chief Communications Officer
[email protected]