Utility users tax

Tax rates

As part of the 2006 general election, Menlo Park voters passed a ballot measure imposing a maximum 3.5% tax on gas, electrical, and water usage, and a maximum 2.5% tax on cable, telephone, and wireless services. These maximum tax rates became effective on April 1, 2007.

On June 19, 2007, and with each subsequent year through 2022, the City Council has annually adopted a resolution to reduce the tax rate on all utilities to 1% (effective beginning Oct. 1, 2007).  

On May 23, 2023, the City Council adopted a resolution to reduce the tax rate on all utilities to zero percent (0%) effective immediately. The Utility Service Providers have been advised of the rate reduction. Pursuant to California Public Utilities Code Section 799(a)(5), service providers must implement the rate reduction within 60 days upon notification.

On May 7, 2024, the City Council adopted a resolution to extend the reduction of the tax rate on all utilities at zero percent (0%).

Utility users' tax ordinance