Title
Introduce, waive reading, and set August 25, 2026, at 10:30 a.m. as the date and time to consider adoption of an ordinance amending Chapter 5.40 of the Monterey County Code to impose a 2% increase to the transient occupancy tax from 10.5% to 12.5%, contingent upon voter approval in the November 3, 2026, election.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors introduce, waive reading, and set August 25, 2026, at 10:30 a.m. as the date and time to consider adoption of an ordinance amending Chapter 5.40 of the Monterey County Code to impose a 2% increase to the transient occupancy tax from 10.5% to 12.5%, contingent upon voter approval in the November 3, 2026, election.
SUMMARY/DISCUSSION:
In general, County Board of Supervisors can raise local revenues through taxes, assessments, or fees. Each of these local revenue sources has its own constitutional and statutory authority and unique laws governing its use. Section 2(b) of Article XIII C of the California Constitution, added by Proposition 218 effective November 1996, requires that a ballot measure proposing a general tax be submitted to the voters at an election consolidated with a regularly scheduled general election for members of the governing body of the local government. Revenue and Taxation Code section 7280, et seq. further authorizes a county board of supervisors to levy, increase, or extend a transient occupancy tax in the unincorporated areas of the county.
In accordance with this authority, the County of Monterey Board of Supervisors has determined it is in the best interest of the County and its residents to submit to the voters a ballot measure authorizing the Board to increase the transient occupancy tax for lodging from 10.5% to 12.5%. On July 8, 2026, the Board adopted Resolution No. 26-223 calling for an election for the purpose of submitting to the qualified electors Monterey County a ballot measure to increase the transient occupancy tax (“TOT”) in the unin...
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