Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Municipal Finance topic
No spam. Unsubscribe anytime.
Cupertino Council directs polling on extending/modernizing utility users tax; adds parkland question to survey
Summary
Facing an uncertain county sheriff contract and changes to sales tax allocations, Cupertino Council directed staff to conduct voter polling on extending and modestly modernizing the existing Utility Users Tax (UUT) and to include a brief parkland ballot question; motion passed by roll call with one member absent.
At its March 17 regular meeting, the Cupertino City Council directed staff to move forward with public polling on potential revenue measures after staff presented options and fiscal context including a large proposed increase to the county sheriff contract and upcoming local changes to sales‑tax allocation.
Acting Administrative Services Director Jonathan Orozco and consultant HDL presented three revenue pathways: extend or modernize the City’s existing Utility Users Tax (UUT), consider a local sales tax increase, or adjust the business license tax. Orozco said the county has proposed a significant sheriff‑contract increase that, if implemented, would materially affect the city’s long‑term outlook; he described staff's role in examining revenue and expenditure strategies and seeking Council direction on next steps including polling and outreach.
Council debate emphasized trade‑offs: the UUT is relatively stable and familiar to voters but can be regressive; sales tax shifts some burden to nonresidents but is economically volatile; business license changes present competitiveness concerns. Several Councilmembers said they favored beginning with the known option—extending or modestly modernizing the existing UUT—while directing staff to test small rate adjustments and to study whether to broaden the tax base (for example, to reflect modern telecommunications/internet services).
Council also asked staff to include a short question about a potential parkland funding measure in the same poll to conserve resources and obtain broader public sentiment. Mayor Moore and others noted the county Measure A sales‑tax increase takes effect April 1, which affects local receipts and the timing of any local measure.
Council approved a motion directing staff to: (1) engage a polling consultant; (2) test public appetite for extending the UUT at the current rate and for modest increases and modernization options; and (3) include a brief parkland ballot question in the same poll. The motion passed by roll call with Councilmember Wong absent.
Next steps: staff will return with a contract for polling work, polling results, recommended ballot language (if supported by results), and a timeline consistent with ballot deadlines for a November 2026 measure if Council chooses to proceed.
