County projects $10–$18 million general-fund gap; CAO urges program-by-program review
County Administrative Officer Matt Pontus and budget staff told the Board of Supervisors that the FY 2025–26 general-fund forecast shows a central gap estimate of $13.9 million (range $10–$18M), driven by constrained revenue growth, unitary tax declines tied to Diablo Canyon and rising insurance and pension costs. Staff proposed program reviews and a mix of short- and long-term reductions.
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The San Luis Obispo County administrative team told supervisors on Tuesday that the county faces a significant budget shortfall in fiscal year 2025–26 and must begin program-level reviews to avoid drawing deeper on reserves.
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