Sacramento Local Agency Formation Commission (LAFCO) Meeting – February 17, 2026

The Sacramento Local Agency Formation Commission (LAFCO) held a regular meeting on February 17, 2026. Key actions included electing new officers for 2026, approving a $1.2 million budget for fiscal year 2026-27, supporting state legislation on underperforming water systems, and appointing voting delegates for a CalAFCO special meeting. Public comment raised concerns about employee treatment, staff training, and transparency.

Consent Calendar

• The commission unanimously approved items 4 through 11 on the consent calendar (routine approvals and actions). No public comment was offered on these items.

Public Comments & Testimony

• Desiree Fox (Policy Analyst for Sacramento LAFCO) stated emphatically that LAFCO is not properly serving residents, special districts, and cities. She urged commissioners to scrutinize agenda packets and the Astral Sheet (project tracking). She reported that she has been mistreated as an employee and referenced a January 13th Board of Supervisors hearing. She asked for improved service and better employee treatment.
• Kim Stevenson (concerned citizen) expressed disappointment in LAFCO's management of employee issues. She requested a review of employee access and protective rights to ensure a safe workspace, warning that violations cause mental and emotional harm and damage the county's reputation.
• During the budget hearing, Desiree Fox questioned why agency contributions are increasing by 7% when some cities have no LAFCO-related projects, asked about career advancement opportunities for staff, and inquired why funds are spent on outside consultants rather than training in-house staff for municipal service reviews (MSRs).
• Also on the budget, Kim Stevenson asked whether the budget includes line items for staff and executive training, and how often such training is executed.
• On the legislative water systems item, Desiree Fox encouraged the use of visual presentations for complex topics and stressed the need for proper staff training on water districts, noting there are 63 special districts under LAFCO's purview.
• On the CalAFCO bylaw changes, Desiree Fox raised concerns about Sacramento LAFCO's participation in CalAFCO affairs, stating that staff did not feel prioritized when the executive officer was serving as interim CalAFCO executive director. She also mentioned being removed from the analyst listserv after asking about other analysts' experiences, without being given a proper corrective process.
• On the Astral Sheet and correspondence, Desiree Fox noted that she requested removal from the Airport South Industrial project due to discomfort and potential liability, and questioned policy on staff access to commission counsel (new counsel Josh Nelson stated personnel issues should go to County Personnel Services, not LAFCO counsel).

Discussion Items

• Election of Officers: By practice, the public member (Commissioner Chris Little) was elected Chair, and a special district representative (Commissioner Jones) was elected Vice Chair for 2026. Chair Little was sworn in by the executive director.
• Budget FY 2026-27 (Item 12): Executive Director Jose presented a proposed budget of $1.2 million, a 7% increase driven by staff costs and health insurance. Retirement costs were offset by lower unfunded liability. Non-recurring costs include office relocation and furniture replacement. Seven to eight MSRs are in progress (outsourced: 6-8 months; in-house: about a year). Commissioner Hume suggested moving to a two-year budget format starting next year to better anticipate cost trends like healthcare and IT. Chair Little opened and closed the public hearing; the motion to approve the budget with added language for a two-year budget next year passed unanimously.
• Legislative Support for Water Systems (Item 13): Staff recommended supporting legislation (born from a UC Berkeley study) with three components: (1) LAFCO ability to initiate annexations or out-of-agency service agreements for underperforming water systems; (2) requiring agencies to respond to MSRs in public meeting; (3) requiring private water providers (mutual water companies, mobile home parks) to report data to LAFCO. Due to mixed support among CalAFCO members, staff tweaked the recommendation: support the MSR component and support in concept the out-of-agency service extension component, to allow further dialogue. The motion passed unanimously.
• CalAFCO 2026 Special Meeting (Item 14): Staff presented three bylaw changes for approval at the February 23, 2026 CalAFCO special membership meeting: (1) eliminate seat categories on CalAFCO board of directors (allow any commissioner or executive officer to serve regardless of category); (2) allow executive officers to be voting board members; (3) cleanup non-substantive inconsistencies. The commission appointed Commissioner Jones as voting delegate (with Executive Director Jose as alternate) and directed them to vote in favor. Motion passed unanimously.
• Executive Officer, Commission Counsel, and Astral Sheet (Item 15): New commission counsel Josh Nelson (Best Best & Krieger) was welcomed. Policy Analyst Grabo updated that the Airport South Industrial annexation and Florin County Water MSR are tentatively scheduled for March. A letter was sent to the governor supporting a local government omnibus bill with technical LAFCO changes.
• Commissioner Comments: Commissioner Jones requested a moment of silence in memory of former Executive Officer Don Lockhart, which was observed.

Key Outcomes

• Officers Elected: Chair Chris Little and Vice Chair Commissioner Jones for 2026; Chair Little sworn in.
• Budget Approved: The FY 2026-27 proposed budget ($1.2 million, 7% increase) was unanimously approved with a policy direction that starting next year, staff shall present a two-year budget (current year plus one out-year).
• Water System Legislation Supported: The commission unanimously supported the MSR component and supported in concept the out-of-agency service component of proposed state legislation.
• CalAFCO Voting Delegates Appointed: Commissioner Jones (primary) and Executive Director Jose (alternate) were appointed to vote in favor of the proposed bylaw changes at the February 23 special meeting.
• Closed Session: The commission moved to closed session in hearing room one (no actions reported in open session).
• Adjournment in Memory: The meeting adjourned with a moment of silence for former Executive Officer Don Lockhart.