At its February 3 meeting, the Pleasanton City Council approved next steps to advance a potential hotel (transient occupancy) tax measure, following staff analysis and stakeholder engagement.
City staff presented the results of outreach with local hotel operators and regional partners, along with a recommended approach for the City Council’s consideration. Pleasanton’s current hotel tax rate of 8 percent has been in place since 1983 and is among the lowest in Alameda County.
Hotel taxes are paid by overnight visitors staying in hotels and similar lodging and are commonly used by cities across California to support general city services. Based on current hotel occupancy levels in Pleasanton, staff estimates that a 10 percent hotel tax rate could generate approximately $1.4 million annually, while a 12 percent rate could generate approximately $2.8 million annually. Actual revenues would depend on hotel activity and future voter action.
Based on stakeholder feedback and regional comparisons, staff recommended that the City Council consider a phased increase to a 12 percent hotel tax rate, implemented over two years. The recommendation reflects the City’s ongoing effort to evaluate potential revenue options as part of long-term financial planning.
During the meeting, City Council unanimously directed staff to proceed with developing potential ballot language for a hotel tax measure to be considered by voters in the November 2026 election.
If the City Council ultimately decides to place a hotel tax measure on the ballot, voters would make the final decision. Proposed ballot language will return to the City Council for consideration at a future public meeting, anticipated in June 2026.