Place ballot measure to change business tax from per-employee to percentage of gross receipts

Police & Community SafetyBudgetFinanceResolution

In Plain English

Richmond currently taxes businesses based on number of employees. The proposed ballot measure switches to taxing businesses 0.06% to 5% of their gross receipts instead. If voters approve in November, the city collects business taxes differently but the total amount raised stays roughly the same.

Auto-generated summary. Source: official agenda documents.

Votes

Adopt Option 1 with amendments: use Berkeley's rental tax rate model; small landlords with four units or less receive credits for rent board payments; franchisee exemption language; addition of employee definition; addition of warehouse and wholesale distributors category with same rate schedule as business and personal services

Passed

4 to 2

NBTBBCDIEMJMMW

Why This Vote Matters

Richmond voters will decide in November whether to change how the city taxes businesses, switching from employee-based taxes to a system based on gross receipts ranging from 0.06% to 5%. The council voted 4-2 to place this measure on the ballot, with Mayor Butt and Vice Mayor Bates dissenting and Councilmember Johnson abstaining. The approved version includes special provisions like tax credits for small landlords with four or fewer units who pay rent board fees, and exemptions for franchisees. While the tax collection method would change, the city expects to raise roughly the same total amount from businesses.

Auto-generated context. Source: official meeting records.

Community Discussion

This discussion was submitted to the City Clerk as part of the public record.

Comments are submitted to the Richmond City Clerk before the meeting. By commenting, you agree to have your name and comment included in the public record.