Our City continues to move forward on many fronts, despite a sluggish national economy and a slowdown in development activity across California. It is both exciting and humbling to lead a community with such momentum.
Notably,
- We closed 2025 as the #1 housing producer among all cities in the nine-county Bay Area,
- We renewed our focus on creating a viable plan for Downtown revitalization,
- Opened three new parks,
- Celebrated Sutter Health’s announcement of a $2.7 billion hospital slated for north Santa Clara, and
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Maintained our standing as one of the safest cities in the nation.
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Across the City, Santa Clara University continued to gain recognition for its academic and research success, now ranking among the top 15% of universities in the country, and Mission College launched a partnership with NVIDIA to develop an AI certificate program to help train the next-generation workforce. Major technology firms deepened their commitment to Santa Clara, including Intel’s announcement of a 107,000-square-foot manufacturing plant and utility facility at its Bowers campus. The bar is high for 2026.
Preparations are well underway to host two global events on an unprecedented scale. Portions of the Super Bowl LX Village are taking shape around Levi’s® Stadium, and we are preparing to welcome the world to six FIFA World Cup matches from June 13 to July 1. As the only city to host the Super Bowl and the World Cup in the same year, we are ready to meet the moment. This includes securing reimbursement agreements with corporate and nonprofit partners for direct City costs to host the events and working with Discover Santa Clara and the Silicon Valley Chamber of Commerce to leverage benefits for our business community.
Like nearly all local governments, Santa Clara faces ongoing budget pressures as the demand for essential services continues to grow. Even so, the City of Santa Clara’s financial foundation remains strong. Our adopted $1.2 billion operating budget funds essential services, including our electrical utility (SVP), public safety, libraries, parks, community centers, and street maintenance, while also advancing City Council priorities and strengthening reserves.
Prudent fiscal management has restored reserves to pre-pandemic levels, which provides critical protection against future economic uncertainty. The budget also funds implementation of Measure I, the $400 million General Obligation Bond approved by voters in November 2024.
Further demonstrating Santa Clara’s fiscal strength, S&P and Moody’s awarded triple-A credit ratings for the first phase of Measure I bonds—the highest rating each agency assigns. This achievement reflects the disciplined financial policies adopted by the City Council and the exceptional work of our management team.
Below are a few highlights of two significant efforts already underway for 2026.
Downtown Revitalization
Within the next two months, the City Council will release a Request for Proposals for development on 4.5 acres of City-owned land in Downtown Santa Clara. The goal is to realize the Downtown Precise Plan’s vision for a vibrant town square, restoration of the historic street grid, new retail, and the return of a downtown theater as an architectural landmark and entertainment venue. Should the City receive a successful proposal, we will select a developer to engage the public in a multi-year effort to bring this vision into reality. City staff are developing potential incentives and assessing infrastructure needs to help accelerate revitalization and set the stage for long-term success.
City Hall Campus
A once-in-a-generation opportunity is emerging to reimagine City Hall and create a modern civic center that reflects Santa Clara’s scale, innovation, and growth. Currently under evaluation is a proposal from Valley Oak Partners involving a portion of the former Agnews State Hospital and Office Park owned by Oracle Corporation. The concept includes a property exchange of the existing City Hall campus on Warburton Avenue—constructed in the 1960s and largely unimproved since—for office buildings and historic properties at the Agnews site. The Warburton site would be redeveloped for housing.
Evaluation of this opportunity is in its early stages, and no decisions have been made. During the coming months, the City will conduct a financial analysis, a property condition assessment, and a comprehensive facility review to assess potential benefits, risks, costs, and overall feasibility. This work cannot be funded by Measure I, and we are approaching the evaluation carefully to uphold our strong record of fiscal discipline. Findings will be presented at a public meeting this spring, giving the City Council and the community the opportunity to review and provide input. Community engagement will be central throughout the process, ensuring decisions are informed by data, shared priorities, and long-term planning.
In closing, we are in the midst of an exciting time in Santa Clara. Throughout the year, we will continue to amplify the work that the City does on your behalf through our print and digital communications. We pride ourselves on being as accessible as possible.
If your neighborhood group, homeowners’ or renters’ association, or business would like to invite the City Manager or a member of our leadership team to discuss how we are serving the community, we welcome the opportunity to connect. Please reach us at manager@santaclaraca.gov.
Jovan Grogan, City Manager
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