HomeMy WebLinkAboutResolution 50-25 with Exhibit ATown of Los Altos Hills
FY 2025-26 Gann Limit Calculation
Appropriations Limit Amount
Prior Year Appropriations Limit 9,499,965$
Adjustment Factors *
Population Change (POP)0.33% City Population
Cost of Living (COL)6.44% State Per Capita Personal Income
Adjustment Factor = (1+COL)*(1+POP)106.79%
Current Year Appropriations Limit 10,144,994$
Appropriations Subject to Limitation
Proceeds of Taxes 10,051,954$
Less: Exclusions 1,502,095$
Appropriations Subject to Limitation 8,549,859$
Gann Limit Comparison
Current Year Appropriations Limit 10,144,994$
Less: Appropriations Subject to Limitation 8,549,859$
Under / (Over) Limit 1,595,135$
* Source: California Department of Finance
The Town is required by Article XIIIB of the California Constitution (Proposition 4) to calculate, each fiscal
year, the maximum amount of appropriations subject to limitation. This “Gann Limit” is designed to restrict
the annual growth of tax revenues used to fund governmental operations.
Proposition 111, approved by voters in June 1990, amended Article XIIIB to provide greater flexibility in
calculating the limit by allowing the use of additional growth factors. Each year, the Town selects the
applicable factors—such as population and cost of living changes—to determine the maximum allowable
increase in the appropriations limit.
For FY 2025–26, the Town’s appropriations subject to limitation are below the Gann Limit.
Exhibit A
for Resolution 50-25