Voters in Santa Clara County appear to have approved Measure A, a new sales tax aimed at protecting local hospitals and public safety services amid major federal funding cuts.

The measure is expected to generate $330 million annually to support healthcare services, particularly as the county faces a $1 billion reduction in federal Medicaid funding — the primary revenue source for Santa Clara Valley Healthcare.

Paul Lorenz, CEO of Santa Clara Valley Healthcare, described Measure A as a “lifeline,” noting that it will help preserve essential operations such as emergency and trauma care.

“We are going to preserve the critical and essential services, including ER capacity and trauma care,” Lorenz said.

County Executive James Williams cautioned that while the tax provides vital relief, it won’t fully bridge the financial gap. “What Measure A does is get us to an important step, but we still have hundreds of millions to go,” he said.

Santa Clara County operates four hospitals — Valley Medical Center, Regional Medical Center, O’Connor Hospital in San Jose, and Saint Louise Regional Hospital in Gilroy. Lorenz emphasized the need to continue consolidating and streamlining services across these facilities to ensure efficiency.

“For now, thanks to voters, Measure A will help ensure county hospitals can continue providing essential care — not just in emergency rooms, but also in cancer treatment and behavioral health,” Lorenz added.

The Measure A sales tax increase will take effect in April of next year and is set to expire after five years.