Cupertino extends contract with Sheriff’s Office

Cupertino officials are buying themselves more time in a growing dispute over the cost of law enforcement.

The City Council on Tuesday voted unanimously to extend its contract with the Santa Clara County Sheriff’s Office through Sept. 30, allowing negotiations to continue while an independent review examines whether the county’s proposed cost increase complies with state law.

The extension comes months after county officials proposed a jump in Cupertino’s contract costs. City officials said the proposal could significantly affect Cupertino’s economic health, prompting it and neighboring communities to challenge how certain expenses are being charged.

“Cupertino generates substantial property tax revenue, but the city keeps only a small share of it — which is one of the lowest among cities within the county — due to an antiquated and inequitable allocation formula,” Cupertino City Manager Tina Kapoor told San José Spotlight.

Kapoor said the city has limited alternatives because Cupertino contracts with the sheriff’s office rather than operating its own police department.

“Unlike Saratoga, Cupertino has no short-term ability to change police service providers,” Kapoor said. “The county has been inflexible in their approach and has threatened to withhold police services to the city unless we capitulate to their terms.”

County Executive James Williams said the county remains committed to partnering with the three cities “in a fair and fiscally sustainable way that reflects the true cost of services.”

“Law enforcement is a core city responsibility,” Williams told San José Spotlight. “These contracts represent a voluntary service, with excellent service provided by the sheriff’s office, but it would be unlawful for the county to continue subsidizing the cost of law enforcement for the cities.”

Cupertino has contracted with the sheriff’s office for law enforcement services for decades. Earlier this year, city officials warned the county’s proposal would increase annual contract costs from roughly $19 million to more than $25 million — a jump far larger than the 5% to 20% increase city leaders had anticipated.

The proposed increase prompted discussions about future service reductions and possible new revenue sources. In March the council directed city workers to poll residents about a potential increase to Cupertino’s utility users tax as officials grapple with long-term budget pressures.

According to city staff, Cupertino, Saratoga and Los Altos Hills began requesting information from the county in July 2025 as they prepared to negotiate new contracts.

The county’s initial proposal would have increased Cupertino’s annual law enforcement costs from approximately $19 million to $26.5 million. After months of negotiations, the county revised the proposal twice, lowering the projected cost to about $25.4 million.

City officials said the reduction reflects progress in negotiations, but significant disagreements remain over administrative and support costs.

“The concern is not whether costs should increase,” Acting Administrative Services Director Jonathan Orozco said during the meeting. “The cities have consistently focused on one primary issue, ensuring that the costs allocated to the contract cities are appropriate, transparent and consistent with state law.”

Orozco said Cupertino, Saratoga and Los Altos Hills selected accounting firm Vasquez & Company to conduct an independent review of the county’s cost-allocation methodology. The assessment is expected to begin this month and conclude in late July or early August.

The review will evaluate whether costs comply with California Government Code Section 51350, which limits the types of overhead costs counties can pass on when providing contracted services.

The contract discussion also prompted concerns about school resource officers as one potential area where future service reductions could lower costs. Councilmember J.R. Fruen said the discussion should focus on how the program is funded rather than whether it should exist.

“If (school resource officers) are that important, it’s this question of where it fits within our mandate,” Couincilmember Ray Wang said at the meeting.

Educators, parents and school leaders urged councilmembers to preserve the program, arguing the officers provide benefits beyond emergency response and law enforcement.

“Reducing school resource officers may seem like a budget decision today, but it risks weakening relationships and supports that have taken years to build,” Homestead High School Principal Denae Nurnberg said at the meeting.

The city will explore potential cost-sharing options with Fremont Union High and Cupertino Union school districts while continuing negotiations with the county.

“We are aware that some cities do not support (school resource officer) programs in the same way that Cupertino has,” Graham Clark, superintendent of Fremont Union High School District, said at the meeting. “Those systems are not better, and our system is working well, and I don’t think we should break it because I don’t think our schools can take it.”

Contact Maryanne Casas-Perez at [email protected] or @CasasPerezRed on X.