Superior Court issues tentative decision in utility users tax lawsuit

Published on April 04, 2023

Menlo Park, Calif. — On April 3, the San Mateo County Superior Court issued a Tentative Decision and Proposed Statement of Decision in an ongoing class-action lawsuit, Fogel v. City of Menlo Park, regarding the City’s Utility Users Tax (UUT).

In 2006, Menlo Park voters passed the UUT that included a tax on gas, electric and water usage, as well as cable, telephone and wireless services. The lawsuit challenges the City’s collection of its UUT on the basis that the City Council did not make findings in 2016, 2018 or 2020 that the UUT continued to be necessary for the City’s financial health.

The Court’s tentative decision concludes the UUT expired December 31, 2016, because the City Council did not make the required findings. The Court further concluded that plaintiffs and a class of taxpayers will be entitled to refunds on the UUT assessed since October 28, 2020. By May 3, 2023, the Court will issue a Final Statement of Decision on the merits.

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Contact: Public Engagement Manager Clay Curtin