SFHSS board approves general fund and Healthcare Sustainability Fund budgets for FY 2026—28

The San Francisco Health Service System board approved two budget items at its meeting: the proposed general fund submission for fiscal years 2026—27 and 2027—28 to the mayor—s office, and the Healthcare Sustainability Fund budget for the same period.

Teresa Tan, SFHSS chief financial and affordability officer, told the board the general fund proposal follows the mayor—s instruction amid an approximate $40 million citywide gap and is a status‑quo submission with only a few adjustments. Tan said the current submission removes one FTE and that staff plan to present a May proposal to the board that could eliminate the Kaiser Multiregion Plan (KPMR), which Tan described as administratively duplicative. Tan also outlined a proposed dependent‑eligibility verification (DIVA) approach and an RFI estimate of approximately $1.2 million to implement an external, one‑time audit intended to yield ongoing savings of about $5 million annually.

A motion to approve the general fund submission was made and seconded; the board held public comment (no substantive callers) and adopted the submission on a roll‑call vote with all members present voting "Aye." The Healthcare Sustainability Fund budget—which Tan noted is not subject to the mayor—s submission—was presented and similarly approved on roll call.

Votes at a glance: the roll‑call votes for both items recorded unanimous "Aye" votes from the attending board members; President Howe was excused.

Next steps: staff will present the May proposal with more detail on potential Kaiser plan changes and provide enrollment figures for any plans under consideration.