City Council - 2PM - 2026-02-24
Meeting Intelligence Preview
Meeting Summary
The Sacramento City Council meeting on February 24, 2026 was primarily procedural, with the consent calendar passing with two no votes on item 17 (a consultant contract for Measure L evaluations). The council received the Sacramento Housing and Redevelopment Agency's annual financial audit showing improvement from prior years but noting findings related to housing voucher inspections and eligibility certifications. The city auditor verified that the baseline funding requirement for the Sacramento Children's Fund was met, with $22.6 million in cannabis business operations tax revenue audited for fiscal year 2024-25.
Key Decisions (4)
Consent Calendar Approval
17 items on consent calendar approved, including the Norwood Mobility Plan (item 5) and suspension of competitive bidding for Old Sacramento refresh project (item 11). Council members Talamantes and Kaplan voted no on item 17, a $749,929 consultant contract for Measure L fund evaluations.
SHRA Annual Financial Report Received
Sacramento Housing and Redevelopment Agency annual comprehensive financial report for year ending 12/31/2024 received and filed. External auditor Clifton Larson Allen reported unmodified opinion on financial statements but qualified opinions on public housing and housing choice voucher programs due to material weaknesses in inspection timeliness and eligibility certifications.
Cannabis Business Operations Tax Audit for Children's Fund
City auditor's fiscal year 2024-25 audited cannabis business operations tax (CBOT) amount approved at $22,609,932. The general fund equivalent of 40% ($9,040,000) was allocated to the Sacramento Children's Fund, which was approximately $280,000 less than originally estimated.
Sacramento Children's Fund Baseline Funding Verification
City auditor verified that the baseline funding amount of $22,900,000 was expended in fiscal year 2024-25 for youth programs across city departments including YPSI, Parks and Recreation, Police, Fire, and Library, fulfilling Measure L requirements.
Development Activity (1)
Old Sacramento Refresh
Project to refresh Old Sacramento area; competitive bidding suspended to allow RFP/RFQ process
Market Signals (3)
Housing Demand
Housing Choice Voucher program seeing significant increases in both lease-ups and rent per unit, with approximately $20 million increase in federal funding year-over-year.
Commercial Demand
Cannabis business operations tax revenue came in below projections at $22.6 million versus estimated $23.3 million, indicating potential softening in cannabis retail sector.
Infrastructure
Norwood Mobility Plan adopted as priority project in transportation priorities plan, with quick-build implementation being explored to improve walkability and safety.