The 2026 State of the City Address for Novato highlighted significant progress in economic development, community engagement, and fiscal stability. Key achievements include the adoption of the city's first balanced budget in over five years, enabled by Measure M, a sales tax initiative that funds critical services such as road maintenance, parks, and public safety. The city has enhanced service delivery by restoring essential staff positions and implementing an online permit portal to increase efficiency. Economic development efforts are underway with the hiring of a full-time economic development manager and the development of a strategic plan to attract new businesses and support local entrepreneurs. Housing remains a priority, with multiple projects in progress to provide diverse and affordable options, addressing workforce needs and community vitality. Public safety initiatives include strengthened police staffing and the launch of the SAFE program for specialized crisis response. Infrastructure improvements, including street paving and utility undergrounding, are ongoing. The city is also advancing environmental sustainability through a newly adopted climate action plan and related initiatives. Community input is actively sought through surveys, workshops, and public meetings to guide budget priorities and development plans, emphasizing transparency and collaboration.