Eureka voters will decide in November whether to raise the city’s transient occupancy tax by 2% after the City Council voted 4-2 on July 7 to send the measure to the ballot.
According to the council meeting summary and agenda, the proposal would amend the municipal code, call a general municipal election for Tuesday, Nov. 3, 2026, and seek county consolidation with the statewide election. City staff said the tax increase could bring in about $700,000 a year for general city services if approved.
The measure drew sustained opposition from hotel operators and lodging representatives during the public hearing. In meeting footage archived by the city and in the meeting transcript excerpts, speakers including representatives from the Best Western Plus Humboldt Bay Inn, Home 2 Suites Eureka and the Arcata/Eureka lodging alliance argued the increase could discourage visitors, hurt local businesses and make Eureka less competitive with other destinations.
City staff framed the tax as a general levy tied to services affected by tourism, including police, fire, road repair, parks and recreation. Councilmembers Fernandez and Contreras-Deloche voted no, while the measure advanced with support from the rest of the council.
The July 7 agenda also identified the item as an ordinance to amend Title III, Chapter 35 of the Eureka Municipal Code and directed the city attorney to prepare an impartial analysis for the ballot.
