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Committee approves measure letting Hercules voters consider up to 1% local sales-tax increase

California State Senate · January 14, 2026
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Summary

SB 762 authorizes the city of Hercules to place on the ballot a transactions-and-use tax increase up to 1% by lifting the statutory cap and giving voters the choice; committee referred the bill to the committee on local government, passing 4-1.

Senator Arguin presented SB 762 as a district-specific bill to allow the city of Hercules to ask voters to increase the local transactions-and-use tax by up to 1 percent. Arguin emphasized the bill does not impose a tax but "gives the voters the opportunity" to decide whether to increase the cap.

Carlyn Shelby, speaking on behalf of the city of Hercules, testified that the narrowly tailored authority would let residents consider funding for public safety, parks, infrastructure and other essential services. Shelby told the committee the proposal preserves transparency and local control and remains subject to full constitutional voter requirements.

The committee debated briefly; the recorded roll call shows Senator Valadares voting "no," and the motion passed 4-1. SB 762 was reported to the committee on local government for further consideration.