County Unveils $9.15 Billion Budget Plan — But Future Finances Face Storm Clouds
San Diego County’s proposed $9.15 billion budget for fiscal year 2026-27 maintains core services while cutting 114 vacant positions, but county leaders acknowledged that a $180 million structural revenue gap will need to be addressed in coming years.
The budget, presented to the Board of Supervisors this month, uses $73 million from reserves to balance the books — a strategy that Chief Administrative Officer Helen Robbins-Meyer called “a bridge, not a long-term solution.”
Key Budget Highlights
- Total budget: $9.15 billion, up 2.3% from the current fiscal year
- General Fund: $2.24 billion
- Job cuts: 114 vacant positions eliminated (no layoffs)
- Reserve drawdown: $73 million from General Fund reserves
- Revenue gap: Estimated $180 million structural deficit
Where the Money Goes
The largest share of county spending continues to go to the Health and Human Services Agency ($2.9 billion), followed by public safety ($1.6 billion), and general government operations ($1.3 billion).
New investments include $45 million for behavioral health services, $28 million for housing assistance programs, and $12 million for wildfire prevention and emergency preparedness — the latter a response to recent fire seasons that strained county resources.
Storm Clouds Ahead
Supervisors expressed concern about sustainability. Federal funding uncertainty — particularly in Medicaid and social services — could widen the revenue gap by an additional $50-80 million depending on congressional action.
“We need to be honest with residents that some hard choices are coming,” said Board Chair Nora Vargas. “We can’t keep drawing down reserves indefinitely.”
The county plans to convene a fiscal sustainability task force this summer to explore revenue options and potential service restructuring. Public hearings on the budget are scheduled for June before a final vote.
Source: San Diego County CAO budget presentation, Board of Supervisors public meeting materials, county press releases.