REPORT TO COUNCIL
SUBJECT
Title
Action on a Resolution in Support of the County of Santa Clara's Measure A
Report
BACKGROUND
On September 23, 2025, County of Santa Clara staff presented a report to Council regarding the impacts of H.R. 1 on County services, especially County health care services and the operations of County-run hospitals. They also outlined the County's proposed Measure A to increase the County's sales tax by 0.625% for five years.
At the October 7, 2025 City Council meeting, the City Council approved a referral to agendize a Resolution in support of the County of Santa Clara's Measure A. This report provides the requested Resolution for the City Council's consideration.
DISCUSSION
H.R. 1 was a federal budget bill signed into law on July 4, 2025. The bill included major cuts to Medicaid (known in California as Medi-Cal) and food assistance. Due to the passage of H.R. 1, the County of Santa Clara currently anticipates more than $1 billion in lost federal funding per year that will have significant impacts on County health care and safety net services and risk the closure of County-run hospitals.
On August 7, 2025, the Santa Clara County Board of Supervisors voted to place a temporary sales tax increase on the ballot for consideration by the voters at the special election being held on November 4, 2025. Specifically, Measure A would raise the county sales tax by 0.625% for five years. The County estimates the tax will raise $330 million annually to partially offset projected annual losses from the recent federal cuts.
This item presents for City Council consideration a Resolution in support of the County of Santa Clara's Measure A.
As part of the City Council's discussion of the referral, it was specified that the referral would only include the Resolution itself, without an analysis, as they felt the County's September 23, 2025 presentation provides sufficient facts about the fiscal impacts of H.R. 1 on the County's health system.
It is ...
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