Pleasanton voters will decide in November whether to approve Measure HH, a ballot initiative that proposes increasing the city's transient occupancy tax rate. If passed by a simple majority, the measure would raise the hotel tax from the current 8% to 10% beginning in July 2027, with a further increase to 12% taking effect the following year.
City officials estimate that the full 12% rate could generate up to $2.8 million annually for general municipal services, including police and fire protection, park maintenance, and recreation programs.
The proposal follows a two-year period of budget adjustments after voters rejected a similar sales tax increase in 2024. In August 2025, the City Council directed staff to explore additional revenue sources to address structural deficits.
A financial forecast cited by city leaders indicates that annual General Fund operating deficits are projected to range between $4.4 million and $8.3 million over the next decade, with the most significant impact expected in the first five years.
Mayor Jack Balch stated in a July 9 press release that the city has spent the past year working toward fiscal sustainability and engaging with the hospitality industry. He expressed confidence that the measure presents a reasonable option for voters.
The city notes that its 8% tax rate has remained unchanged since 1983, while ten of the fourteen cities in Alameda County currently levy hotel taxes between 10% and 14%.
