2026-036 - GANN Appropriations LimitRESOLUTION 2026-036
RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS
ESTABLISHING THE FY 2026-27 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 2026-27 is $62,462,836 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 2n1 day of June, 2026, by the following vote:
COUNCIL MEMBERS
AYES: Rob Rennie, Maria Ristow, Matthew Hudes, Mary Badame, Mayor 9b Moore
NAYS: None '
ABSENT: None
ABSTAIN: None
SIGNED:
MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
ATTEST:
)
TOWN CLE OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
1 of
Resolution 2026-036 June 2, 2026
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.D037
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%
2026
55,765,163
1.0004
0.9957
1.0644
59,380,183
6.48%
2026
59,380,183
1.0023
0.9956
1.0495
62,462,836
12.01%
FY 2026-27 Calculation
County
Per Capita
2025-26
2026-27
Population
Income
Appropriation
Appropriation
Appropriation
Factor
Factor
Factor
Limit
Limit
1.0023 X
1.0495
= 1.051913850 X
$ 59,380,183
= $ 62,462,836
Percentage of Appropriation
2026-27 2026-27 Percentage
Tax Appropriation of
Revenues Limit Limit
44,527,959 / $ 62,462,836 = 71%
-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 2026-036 June 2, 2026