June 23, 2026
The National City Council is considering a proposal to place a measure on the November ballot asking voters to expand and increase the city’s Gross Receipts Tax. The proposal would increase overall Gross Receipts Tax revenue from approximately $700,000 to over $7 million. The City has stated the measure is needed to increase revenue and offset projected future budget deficits beginning in 2028. However, this change would shift the cost of annual operating licenses to a tiered structure at the expense of businesses, in addition to taxing the gross receipts of property owners who are currently renting their homes.
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The Chamber team has been working with members, business coalition partners, and the National City Chamber of Commerce to advocate against this proposal and meet with elected leaders to express our business community’s concerns. President & CEO Chris Cate shared details on these concerns at an interview with ABC10 earlier this month.
The proposal was initially scheduled to be heard at the June 16th City Council meeting, but the item was pulled from the agenda the night before the hearing date. The item is now scheduled to be heard at the June 30th meeting; the Chamber will be present, making public comment opposing this proposed ballot initiative.