REPORT TO BOND COMPLIANCE OVERSIGHT COMMITTEE
SUBJECT
Title
2025/26 Measure I Program Update
Report
BACKGROUND
On November 5, 2024, City of Santa Clara voters approved Measure I, the Public Facilities and Infrastructure Bond Measure. Measure I authorized the issuance of up to $400 million in general obligation bonds to finance a backlog of more than $600 million in unfunded infrastructure needs as specified in the “Expenditure Plan” (Attachment 1).
On June 5th, 2025, the Bond Compliance Oversight Committee (BCOC) for Measure I, conducted its inaugural public meeting. During this meeting BCOC members were provided training on their authority, role, and governing rules.
BCOC Responsibilities Under Measure I, Section 13 include:
• Ensuring that project implementation is consistent with the Expenditure Plan (Attachment 1).
• Reviewing and reporting on annual performance and financial audits.
• Providing recommendations to City Council on any proposed amendments to the Expenditure Plan.
• Informing the public concerning expenditure of bond proceeds.
The BCOC’s second meeting was conducted on August 22nd, 2025, and included its first action with a unanimous approval and acknowledgement of proposed Phase 1 Project List (Attachment 2 - First Tranche Approved Project List) aligned with the voter-approved Expenditure Plan requirement.
DISCUSSION
The following discussion items are provided to update the BCOC on the status of Measure I program implementation, governance, financial activities, project delivery efforts, and future committee actions. Since voter approval of Measure I, City staff have continued advancing the program through the establishment of a dedicated leadership structure, development of the Phase 1 Capital Projects Delivery Program, and completion of the initial General Obligation Bond issuance to fund priority projects. This update will also include a summary of recent project site visits conducted with BCOC members, a discussion of upcoming reporting and oversight responsibilities, and review of future meeting schedules and committee recruitment activities.
General Business Informational Updates
Measure I Leadership Team
The City Manager has appointed a team of professionals to oversee and manage the implementation of Measure I. Position specialties include both program and project management. Together, this leadership team oversees program delivery, financial compliance, project coordination, and strategic priorities associated with the Measure I program.
The leadership team continues to work collaboratively across departments to ensure accountability, transparency, and efficient implementation of voter-approved projects and expenditures.
Capital Projects Delivery Program
Since the passage of Measure I, City staff are actively working to advance both existing and future programmed capital projects and activities identified in the voter-approved Expenditure Plan.
Staff have developed the Phase 1 Project List, which was drawn directly from the voter-approved Expenditure Plan. The Phase 1 Project List consists of 26 project priorities that balance project readiness, community benefit, operational needs, and available resources. The proposed sequencing of projects is intended to support efficient program delivery while ensuring compliance with Measure I objectives and financial oversight requirements.
Staff continue to refine project schedules, scopes, and delivery strategies as implementation progresses.
Initial Sale of Measure I General Obligation Bonds - First Tranche
In September 2025, the City Council voted unanimously to approve the proposed Phase 1 Project List (Attachment 2) and authorized staff to initiate the issuance process for the First Tranche of up to $100 million in General Obligation Bonds to fund approved Measure I projects.
The bond sale was completed in February 2026, and proceeds have since been deposited into a dedicated trust account established specifically for Measure I expenditures. Funds will be utilized on a reimbursement basis for approved project-related expenditures in accordance with applicable financial and bond compliance requirements.
The First Tranche General Obligation Bond Sale totaled $97,125,000 and included the following issuances:
• Series “A” Bond Sale Amount: $71,645,000
• Series “B” Bond Sale Amount: $25,480,000
Staff will continue to monitor expenditures and provide periodic financial reporting updates to the Committee.
Site Facilities Tour
On April 30, 2026, staff coordinated and conducted site visits with several BCOC members at selected facilities where Measure I funding is being utilized or planned for future improvements.
The tour included the following locations:
• Central Library
• International Swim Center
• Henry Schmidt Park
• Emergency Operations Center
Representatives from the Department of Public Works and the City Library participated in the site visits and provided informational updates regarding project scopes, facility needs, planned improvements, and current project status.
The site tours provided BCOC members with an opportunity to observe existing facility conditions firsthand and better understand the anticipated community benefits associated with Measure I investments.
Next Steps
Upcoming Measure I program activities and BCOC responsibilities include the following:
• Review and acceptance of future Measure I Financial Reports
• Preparation of the Measure I Annual Report to the City Council by the BCOC Chair
• Continued updates regarding the status and delivery of Phase 1 Projects
Staff anticipate providing regular project and financial updates to support ongoing Committee oversight responsibilities.
Future Meeting Date
Staff plans to schedule the next BCOC meeting in Fall 2026.
BCOC Membership Recruitment
Current recruitment efforts include the following vacancies:
• Large Business Representative (50+ Employees) - Active Recruitment
• Large Business Representative (50+ Employees) Alternate - Active Recruitment
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” within the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(b)(5) in that it is an administrative activity that will not result in direct or indirect physical changes in the environment.
PUBLIC CONTACT
Public contact was made by posting the Committee agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
Note and file this report.
Staff
Reviewed by: Marc Freitas, Deputy City Manager
Approved by: Jovan Grogan, City Manager
ATTACHMENTS
1. Expenditure Plan
2. First Tranche Approved Project List