The motion aimed to introduce a tax on properties that have been vacant or used for purposes other than grocery stores or pharmacies since 2017, starting in 2027. It was scheduled for a public hearing in July 2026 but has been killed and will not proceed.
Motion calling from the Budget and Finance Committee, pursuant to Board Rule 3.38, the proposed Initiative Ordinance (File No. 260693) to impose an excise tax, commencing in tax year 2027, on persons keeping vacant or using differently parcels last used, in whole or in part, as formula retail grocery stores or formula retail pharmacies on or after January 1, 2017; and scheduling the Board of Supervisors to sit as a Committee of the Whole at the meeting on July 21, 2026, at 3:00 p.m. to hold a public hearing to consider the proposed Initiative Ordinance.
How it got here
The legislation originated from a proposed Initiative Ordinance aimed at imposing an excise tax on vacant retail grocery and pharmacy properties.
The proposed Initiative Ordinance (File No. 260693) was introduced to impose an excise tax on vacant or differently used parcels that were last used as formula retail grocery stores or pharmacies.
The 30-day hold period for the Initiative Ordinance, as per Municipal Elections Code, Section 305, expired, allowing for further consideration.
The Initiative Ordinance was not scheduled for consideration at the Budget and Finance Committee's regular meeting, leading to concerns about the timeline for amendments and submission to the Department of Elections.
A motion was made to call the Initiative Ordinance from the Budget and Finance Committee to the Board of Supervisors for a Committee of the Whole hearing scheduled for July 21, 2026.
The Board of Supervisors was scheduled to convene as a Committee of the Whole to hold a public hearing on the proposed Initiative Ordinance.
Reconstructed from attached documents & the official record
An internal Board decision: Motion ordering submitted to the voters at an election to be held on November 3, 2026, an city law changing the the city's business-tax rules to impose an excise tax, commencing in tax year 2027, on persons keeping vacant or using differently parcels last used, in whole or in part, as formula retail grocery stores or formula retail pharmacies on or after January 1, 2017.
This legislation proposes a public hearing to discuss a new tax on property owners who keep grocery stores or pharmacies vacant or use them for different purposes, starting in 2027. The hearing is scheduled for July 21, 2026, pending approval of a related motion.
This legislation proposes a public hearing to discuss a new tax on property owners who keep grocery stores or pharmacies vacant or use them for different purposes, starting in 2027. The hearing is scheduled for July 21, 2026, pending approval of a related motion.
An internal Board decision: Motion ordering submitted to the voters at an election to be held on November 3, 2026, an city law changing the the city's business-tax rules to impose an excise tax, commencing in tax year 2027, on persons keeping vacant or using differently parcels last used, in whole or in part, as formula retail grocery stores or formula retail pharmacies on or after January 1, 2017.