Political leaders ditch competing measures, jointly urge Oakland voters to overhaul business taxes

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If approved, it’s expected to generate an extra $22 million annually for the city’s general fund, which proponents say could be used toward services like reducing homelessness and clean…

putting multiple competing proposals on the November ballot

Council President Nikki Fortunato Bas, who has spearheaded the effort to update the city’s business license tax over several years, said the goal is to “make the system more equitable and fair.” About 67% of the businesses in the affected sectors would have no change in their business taxes, while about 23% would see a tax reduction averaging $110 per business. About 10% of the affected businesses would see taxes increase an average of approximately $9,719 per business, according to a report by Fortunato Bas, Fife and two other councilmembers who are sponsoring the proposal: Sheng Thao and Dan Kalb.

But business groups like the Oakland Metropolitan Chamber of Commerce opposed the proposals, arguing they would have hurt businesses still reeling from pandemic lockdowns and prompted more companies to avoid or flee setting up shop in Oakland. They offered their own measure, which also called for a “progressive” structure but offered more tax relief for businesses and would have brought in less revenue for the city.

“This is a new day,” Fife said before cracking a joke about going to the podium with one of the leaders of the chamber of commerce.

 

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