Fullerton Sales Tax Measures in 2026

What is being proposed?

According to official City of Fullerton agenda materials and local reporting, city officials have been preparing two possible half-cent special sales tax measures for a future ballot: one focused on infrastructure and road repairs, and one focused on public safety. Reporting in late 2025 described these as separate 0.5% measures under discussion.

What is Fullerton's current sales tax rate?

The California Department of Tax and Fee Administration's city rate table lists Fullerton at 7.75% effective April 1, 2026. Any additional voter-approved local sales tax would be added on top of that existing rate.

Why is this coming back now?

City budget discussions have intensified after officials publicly discussed financial pressure and deficits. A City of Fullerton budget update in March 2026 referenced a planned structural deficit of about $9.4 million in the earlier budget process, while local reporting in March 2026 said city staff were projecting roughly a $13.7 million deficit for the next fiscal year.

Additional concerns in 2026

In addition to the tax proposals themselves, residents should review the mounting evidence of budget mismanagement and the city's failure to control spending.

• A reported $2.9 million accounting error disclosed in spring 2026
• Projected deficits and pressure on reserves
• Questions about whether new revenue would solve structural issues or delay them

Grant Thornton's five-year forecast (July 2026)

In July 2026, the independent CPA firm Grant Thornton presented a five-year financial forecast that makes the case against new taxes even stronger. The numbers show a city that cannot manage the money it already has:

• $2.9 million deficit projected for FY 2027-28 after required transfers—even with an apparent surplus before transfers
• Reserves below required minimums under all three scenarios. City policy requires a 10% minimum contingency reserve with a 17% long-term goal. None of the three options presented maintain 17%, and most fail to meet even the 10% floor.
• $650,000 police overtime gap. The budget allocates roughly $1.8 million for police overtime, but actual costs have averaged $2.45 million annually. This chronic underbudgeting undermines every financial projection.
• Infrastructure funding already falls short. Even the $4 million annual transfers that are driving the deficit are not enough to meet the city's identified infrastructure needs.

Despite all of this, the report's conclusion points toward raising taxes on residents rather than addressing the spending problems that created these shortfalls. Fullerton does not have a revenue problem—it has a spending and management problem. Voters should demand fiscal reform before being asked to pay more.

Key questions voters should ask

• Exactly how much would each measure add to the current 7.75% sales tax rate?
• Would the taxes sunset after a fixed number of years?
• What legal protections would ensure the money is spent only on what is promised?
• What spending reforms would happen with or without the tax?
• How would Fullerton compare with nearby cities if one or both measures passed?