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Consideration of Placing a Measure on the November 5, 2024, General Municipal Election Ballot updating the Business License Tax. (Karen Chang, Finance Director and Greg Henry, Financial Services Manager)
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RECOMMENDATION
Recommendation
Staff recommends that City Council:
1. Review and discuss the proposed updates to the Business License Tax selecting the preferred changes and methodology; and
2. Adopt a Resolution of the City Council of South San Francisco ordering the submission to the qualified voters of the City at the general municipal election to be held on November 5, 2024, a measure to amend certain sections of Chapters 6.04, 6.08, 6.12, and 6.16 within Title 6 of the South San Francisco Municipal Code based on the City Council's selection; authorizing the submittal of ballot arguments in favor of or against the measure; providing for rebuttal arguments; and directing the City Attorney to prepare an impartial analysis; and
3. Authorize the Mayor and/or designee to develop a written argument in favor and rebuttal
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BACKGROUND/DISCUSSION
This staff report follows the latest study session on updating the Business License Tax held on June 26, 2024, during which the Council directed staff to continue to proceed with updating the Business License Tax, with additional refinements.
In South San Francisco, all businesses are required to secure a business license, which must be renewed annually by January 31st. This requirement, managed by the City's Finance Department, has been in place since 1976 and applies to all business activities. South San Francisco Municipal Code (SSFMC) Title 6, last updated in 2008, outlines the business license tax based on business type, with tax rates adjusted annually by the Consumer Price Index for Urban Wage Earners and Clerical Workers ("CPI-W") for the San Francisco Bay Area.
However, the current tax model is outdated due to the rise of the gig economy and significant economic changes, including growth in the...
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