City Council - 2026-03-03 - Tuesday Agenda Revised Added S500-S501
Meeting Intelligence Preview
Meeting Summary
San Diego City Council voted 8-1 to place an empty homes tax measure on the June 2026 ballot. The proposed tax would impose $8,000-$10,000 annually on residential properties vacant more than 182 days per year, with an additional $4,000-$5,000 surcharge for corporate-owned properties. The IBA estimates the measure could generate $9.2-$24.2 million in net general fund revenue, targeting approximately 5,140 identified vacant homes citywide.
Key Decisions (3)
Empty Homes Tax Ballot Measure
Council voted 8-1 to place a measure on the June 2, 2026 ballot that would tax residential properties vacant more than 182 days annually. Base tax of $8,000 in 2027 increasing to $10,000 in 2028, with corporate surcharge of $4,000/$5,000. Council member Campillo voted no citing lack of detailed legal analysis memo. Approximately 5,140 homes identified as potentially subject to tax, concentrated in Downtown, La Jolla, Pacific Beach, and Peninsula communities.
Consent Agenda Items 50, 60, 100, 101, S500
Council approved consent items including MiWater SD web portal software service agreement (Item 50), California building standards codes updates (Item 60), outside counsel panel for city attorney (Item 100), FY26 community programs funding for Rancho Penasquitos town council Fiesta de los Penasquitos (Item 101), and resolution excusing council member Von Wilpert from certain meetings (S500).
Proclamations - Soroptimist International and Diana Adams Recognition
Council approved proclamations declaring April 25 as Soroptimist International of San Diego Day recognizing 95 years of service, and March 3, 2026 as Senior Chief Deputy City Attorney Diana Adams Day honoring her 28+ years of city service.
Market Signals (4)
Housing Demand
Over 5,140 homes identified as vacant second homes in San Diego, with 45% concentrated in Downtown, La Jolla, Pacific Beach, and Peninsula communities, indicating significant housing stock not available to residents.
Housing Demand
Coastal communities face severe housing constraints - Ocean Beach, Pacific Beach, Mission Beach, La Jolla, and Peninsula have 1,700 empty second homes but permitted only 526 non-ADU homes since 2021.
Housing Demand
80% of empty second home owners in downtown and coastal areas are not local to San Diego, suggesting significant out-of-area investment in San Diego residential properties.
Sentiment
Strong public testimony from young professionals, teachers, firefighters, and students expressing inability to afford housing in San Diego, with many commuting from outside the city or county.