Novato City Manager Highlights Financial Comeback Year Powered by Measure M

NOVATO, CA — Novato’s financial footing, housing pipeline and local business scene all took center stage at the Novato State of the City 2026 address, delivered Friday by City Manager Amy Cunningham.

Cunningham, giving her third State of the City address, framed the past year as a turning point for the city’s stability and services, repeatedly crediting residents, staff and voters for the progress.

One of the headline milestones was Novato’s first balanced budget in more than five years, a shift Cunningham tied directly to voter-backed Measure M, the local sales tax measure approved in November 2024.

“This signals that we're turning a corner, made possible by your trust and support of Measure M,” Cunningham said. “We're building a strong foundation to embrace opportunities and shape what's next, guided by the voices and ideas of our community. This is momentum. This is progress, and this is Novato moving forward.”

Throughout the speech, Cunningham emphasized the role of city employees — who she collectively called Team Novato — in turning policy and funding into visible results.

She highlighted staff work on everything from financial audits and after‑school programs to storm response and pothole repair, noting that years of doing more with less are beginning to ease as vacancies are filled and turnover drops. Labor agreements and restored positions, Cunningham explained, have helped improve recruitment and service delivery.

Economic development was another major theme. Cunningham pointed to a new full‑time economic development manager, revived tenant improvement grants for downtown, new and incoming businesses, and work on an economic development strategic plan aimed at strengthening Novato’s business climate and downtown vitality.

Housing, Cunningham told the audience, is tightly linked to that economic future. She cited hundreds of units in the pipeline, including mixed‑use projects downtown, the large redevelopment of the former Fireman’s Fund site, and an 80‑unit Habitat for Humanity project on Redwood Boulevard, which she said is the largest of its kind in California.

Cunningham also underscored the city’s long-term planning on climate and safety, including adoption of Climate Action Plan 2030 and updates to the city’s safety element to address flooding, wildfire and sea level rise.

Reflecting on the year’s progress, Cunningham repeatedly came back to Measure M and community engagement.

During the question‑and‑answer session, when asked what accomplishment she was most proud of, she answered without hesitation

“I’m most proud of the community support of Measure M," Cunningham said. "That’s really making a huge difference for the organization, and I hope that the community is starting to see that.”

She closed by urging residents and businesses to stay involved through workshops, online surveys, and upcoming community pop‑ups, saying that city priorities must continue to be guided by the voices and ideas of our community.