2025-028 - ESTABLISHING THE FY 2025-26 APPROPRIATIONS LIMIT RESOLUTION 2025-028
RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS
ESTABLISHING THE FY 2025-26 APPROPRIATIONS LIMIT
FOR THE TOWN OF LOS GATOS
WHEREAS, Article XIIIB of the California Constitution (Limitation of Government
Appropriations)was passed by the California electorate on November 6, 1979, and became
effective on July 1, 1980; and
WHEREAS, Chapter 1205, Statute of 1980, Section 7900 of the California Government
Code formally implements methods for governmental entities to establish and define annual
appropriations limits; and
WHEREAS, the growth factors used to calculate the Annual Appropriations Limit are
County or Town population change and the increase in the California per capita income;
WHEREAS, in addition to the annual inflation and population adjustments, state law
requires the Appropriations Limit to be adjusted in the event that the financial responsibility for
providing services is transferred in whole or in part from one entity of government to another;
and
THEREFORE, BE IT RESOLVED: that the Annual Appropriations Limit for the Town of Los
Gatos for FY 2025-26 is $59,380,183 as reflected in Exhibit A.
PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los
Gatos, California, held on the 3rd day of June 2025 by the following vote:
COUNCIL MEMBERS:
AYES: Rob Rennie, Mary Badame, Maria Ristow, Rob Moore and Mayor Matthew Hudes
NAYS: None
ABSENT: None
ABSTAIN: None
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Resolution 2025-028 June 03,2025
SIGNED:
/1/401A11
MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
ATTEST:
TOWN'C=E TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
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Resolution 2025-028 June 03, 2025
APPROPRIATION LIMIT FACTORS
For Beginning County Town Per Capita Ending %
YE Appropriation Population Population Income Appropriation Limit
June 30 Limit Factor Factor Factor Limit Increase
2010 28,426,367 1.0156 1.0108 1.0062 29,048,811 2.19%
2011 29,048,811 1.0126 1.0101 0.9746 28,667,689 -1.31%
2012 28,667,689 1.0089 1.0096 1.0251 29,669,366 3.49%
2013 29,669,366 1.0124 1.0081 1.0377 31,169,671 5.06%
2014 31,169,671 1.0157 1.0147 1.0512 33,279,977 6.77%
2015 33,279,977 1.0150 1.0102 0.9977 33,701,485 1.27%
2016 33,701,485 1.0113 1.0020 1.0382 35,384,256 4.99%
2017 35,384,256 1.0126 1.0070 1.0537 37,754,174 6.70%
2018 37,754,174 1.0081 1.0040 1.0369 39,464,396 4.53%
2019 39,464,396 1.0099 1.0050 1.0367 41,317,775 4.70%
2020 41,317,775 1.0033 0.9998 1.0385 43,050,108 4.19%
2021 43,050,108 1.0037 1.0234 1.0373 45,831,327 * 6.46%
2022 45,831,327 0.9944 0.9919 1.0573 48,186,101 ** 5.14%
2023 48,186,101 0.9931 0.9961 1.0755 51,622,037 7.13%
2024 51,622,037 0.9975 0.9980 1.0444 53,806,227 4.23%
2025 53,806,227 1.0002 0.9959 1.0362 55,765,163 3.64%
2025 55,765,163 1.0004 0.9957 1.0644 59,380,183 6.48%
FY 2025-26 Calculation
County Per Capita 2024-25 2025-26
Population Income Appropriation Appropriation Appropriation
Factor Factor Factor Limit Limit
1.0004 X 1.0644 = 1.064825760 X $ 55,765,163 = $ 59,380,183
Percentage of Appropriation
2025-26 2025-26 Percentage
Tax Appropriation of
Revenues Limit Limit
41,745,536 / $ 59,380,183 = 70%
*FY 2020-21 ending and FY 2021-22 beginning Appropriation Limit includes an adjustment of$130,503 to address the annexed
parcels from Santa Clara County. The Town of Los Gatos increased its base by$130,503 while the County of Santa Clara
decreased its base with the same amount.
**The State issued a list in December 2022 per State Subventions Pursuant to Government Code Section 7903(AN)that listed
the Town of Los Gatos needing to report$7 million State Subvention pass through grant. The Town is still under the Gann
Appropriation Limit with the additional$7 million pass through grant from FY 2021-22.
EXHIBIT A
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Resolution 2025-028 June 03,2025