Proposed 2026-27 Budget

Overall Budget Summary

The Proposed Budget maintains status quo staffing of 63.0 full-time equivalent (FTE) positions, including negotiated salary and benefit increases. Appropriations total $27,654,891, funded by revenues of $27,681,891. The department does not receive a General Fund Contribution, District Sales Tax Contribution, or Other Fund contributions.

Total expenses increase by approximately $428,142 from the Adopted Budget. Salaries and benefits increase by approximately $89,985, driven by negotiated salary and benefit increases for existing positions, partially offset by the elimination of selected extra-help internship positions. Services and supplies increase by $82,140, reflecting new multi-year agreements for Cybersecurity as a Service and Health Insurance Portability and Accountability Act (HIPAA) risk assessment services to strengthen countywide cybersecurity posture and regulatory compliance.

Total revenues increase by $1,022,685 from the Adopted Budget. The primary drivers are an updated fee structure for technology services and expanded hardware replacement charges. Two new fee mechanisms are introduced: the Enterprise Application Services Fee (EASF), which centralizes funding for Countywide enterprise application management, and an expanded Technology Services Fee (TSF), which broadens the scope of centralized essential technology services. Under this revised structure, charges for services decrease by $899,121, offset by an increase of $2,089,954 in hardware sales revenue reflecting cost-reimbursement charges to departments for laptop and desktop computers and related peripherals.

Federal Policy and Funding Uncertainty: Changes in federal policy and funding create uncertainty for technology planning and service delivery. Tariffs are increasing vendor costs and causing delays in hardware and equipment procurement. Reductions in federal cybersecurity grants and uncertainty surrounding Broadband Equity, Access, and Deployment (BEAD) funding may limit the County's ability to invest in critical technology infrastructure. Evolving federal requirements related to artificial intelligence and accessibility — including Americans with Disabilities Act (ADA) compliance for web content — may require additional resources and system updates. These factors may increase costs, delay projects, and require ISD to continuously evaluate and reprioritize technology initiatives throughout Fiscal Year (FY) 2026-27.

State Legislative and Regulatory Requirements: New and proposed State legislation introduces additional operational and compliance requirements for the County. Senate Bill (SB) 707 requires Spanish translation for Board and commission meetings beginning in July 2026, increasing demand for technology solutions to support real-time translation and accessibility. SB 339 requires a 45-day notice to labor organizations prior to issuing certain technology-related solicitations, which may extend procurement timelines. Additionally, proposed legislation — including Assembly Bill (AB) 1883, AB 1898 and SB 947 — may introduce new requirements related to artificial intelligence, automated decision-making, and surveillance technologies. These changes may require system modifications, policy development, and increased coordination across departments.

Technology Market Volatility and Cost Pressures: The technology market continues to experience volatility, particularly in hardware components such as computer memory, resulting in higher costs and procurement challenges. These conditions impact the department's ability to maintain and replace infrastructure within existing budgets. Continued price fluctuations and supply constraints may require adjustments to purchasing strategies, project timelines, and long-term technology planning.

Workday Human Capital Management System Go-Live: The County is preparing to launch Workday, its new Payroll and Human Capital Management (HCM) System, in Summer 2026. ISD serves as the primary technical lead for the implementation, partnering with the Auditor-Controller-Treasurer-Tax Collector (ACTTC) and the Human Resources Department to integrate the system across County operations. The go-live transitions ISD from implementation support to ongoing system administration, user support, and maintenance — placing sustained demands on ISD staffing and infrastructure throughout FY 2026-27. As Workday becomes the County's system of record for payroll and personnel data, ISD's role in ensuring system stability, data integrity, and security will be critical to countywide operations.

Artificial Intelligence Growth and Governance: The rapid growth of artificial intelligence (AI) technologies presents both opportunities and challenges for the County. Departments are increasingly interested in leveraging AI to improve efficiency and service delivery; however, governance frameworks, policies, and standards are still evolving. The department must balance innovation with risk management, including data security, privacy, and compliance considerations. Establishing clear governance and guidance for AI use is critical to ensuring responsible and effective implementation across the County.

Public Safety Communications System Implementation: The County is advancing implementation of the Regional Interoperable Next Generation (RING) P25 public safety radio system, a countywide upgrade critical to interoperable emergency communications across law enforcement, fire, and emergency services. Large-scale, multi-agency technology projects of this complexity carry inherent risks, including coordination across jurisdictions, system integration requirements, and deployment sequencing, and the RING project is no exception. The Master Service and Governance Agreement, executed among all participating agencies, establishes a structured framework for collaborative decision-making, cost sharing, and issue resolution that positions the County and its partners to work through challenges as they arise. ISD continues to provide technical leadership and project management support to maintain momentum across partner jurisdictions. The RING radio system represents a significant long-term investment in the reliability and encryption-compliance of the County's public safety communications infrastructure, and the governance structures in place give the County confidence in achieving full deployment and the interoperability improvements first responders depend on.