Councilmembers will consider setting a tax rate to fund the maintenance of exhibits at the San Diego Zoo. They will also consider extending the hours of cannabis outlet operations by two hours each day.

From the Office of Council President Joe LaCava 

City Council Meeting – June 30, 2025 – 10 a.m.

Council Meeting Agenda

10 a.m. – Closed Session Public Comment, Closed Session – Agenda

2 p.m. – Discussion Items, Non-agenda Public Comment

Discussion Items

Item 200 - Fiscal Year 2026 Tax Rate Ordinance for the Maintenance of Zoological Exhibits

This item would adopt an Ordinance which sets the tax rate for funding the maintenance of zoological exhibits in Balboa Park. The tax levy for Zoological Exhibits Maintenance is $0.005 per $100 of assessed valuation. Funding is appropriated in the Fiscal Year 2026 Adopted Budget for Zoological Exhibits Maintenance in the amount of $21,757,366.

The San Diego Zoo receives partial funding from property taxes due to a voter-approved section of the San Diego City Charter (Section 77a). Section 77a was originally approved by San Diego voters in 1934 and applied a fixed property tax levy of $0.02 per $100 of assessed valuation to provide funding for the maintenance of zoological exhibits in Balboa Park.

In 1981 the California Revenue and Taxation Code changed the definition of the assessed valuation on which property taxes are levied from 25 percent of a property’s value to 100 percent of a property’s value. Pursuant to Section 135(d) of the California Revenue and Taxation Code, a conversion factor of one-fourth (¼) was applied to the Charter-defined zoological exhibits tax rate, changing the levy from $0.02 per $100 of assessed value to $0.005 per $100 of assessed value for purposes of translating the Charter Section 77a tax rates to the new definition.

For Fiscal Year 2026, the rate of $0.005 per $100 of assessed value will be applied to taxable property assessed at full value. As required by Section 77a, the revenue generated from this tax levy will be used by the San Diego Zoological Society for the maintenance of zoological exhibits in Balboa Park.

Item 201 - Fiscal Year 2026 Tax Appropriations Limit (Gann Limit)

This item establishes the Fiscal Year 2026 Tax Appropriations Limit (Gann Limit) as required under California Law, Division 9 of the Government Code.

This item would approve a resolution to establish a Tax Appropriations Limit (Gann Limit) of $6,235,868,546 for Fiscal Year 2026.

Item 202 - Bayshore Bikeway Barrio Logan Pedestrian Overpass – Project No. PRJ-1119877

This item would approve all actions necessary to vacate a public easement to access the existing pedestrian overpass located at 3225 E Harbor Drive, the intersection of Harbor Drive and South 32nd Street, 32nd St Naval Base entrance.

The intersection of South 32nd Street and Harbor Drive is a standard signalized intersection with four approaches that does not currently support at-grade pedestrian movements across any approach of the intersection as there are not marked pedestrian crossings or curb ramps on any of the corners.

Pedestrians crossing South 32nd Street and Harbor Drive are directed to the existing pedestrian bridges which span across South 32nd Street north of Harbor Drive and across Harbor Drive west of South 32nd 2 Street. These pedestrian bridges, owned by the City of San Diego, are accessible through stairways that do not comply with current Americans with Disabilities Act (ADA) standards.

Removal of the non-ADA compliant pedestrian bridges was approved with the previous Bayshore Bikeway Barrio Logan project (PRJ-619732). The scope of that project includes the construction of approximately 2.5 miles of a shared-use, Class I bicycle and pedestrian path, removal of the existing non-ADA compliant pedestrian bridges, and replacement with ADA-compliant at-grade pedestrian crossing of South 32nd Street.

Item 203 - Amendment to Hours of Operation for Cannabis Outlets

This proposal aims to align the City of San Diego’s regulations with those of the State of California by extending the hours of operation for permitted cannabis outlets within the City of San Diego by two hours per day. Currently, the City's operating hours are from 7:00 a.m. to 9:00 p.m., which are more restrictive than the hours permitted by the State of California.

This item would extend business hours by one hour in the morning (opening at 6:00 a.m.) and one hour in the evening (closing at 10:00 p.m.). The recommended change aims to enhance economic opportunities, increase tax revenue, and align San Diego’s regulations more closely with those of the State.

Item S400 - Draft FY 2026 Annual Action Plan for HUD Programs, FY 2026 Annual HUD Programs Allocations, and Associated Actions

This item seeks a Council resolution to approve a FY 2026 Annual Action Plan for the City of San Diego U.S. Department of Housing and Urban Development (HUD) programs to accept, appropriate and expend the anticipated Community Development Block Grant (CDBG), Emergency Solutions Grants (ESG) and HOME Investment Partnerships Program (HOME) FY 2026 Annual Entitlement Allocations and Successor Agency repayments to the CDBG program.

The actions will also seek a Council resolution to approve funding recommendations for the City’s FY 2026 Community Development Block Grant (CDBG) program and approve other associated actions.

Item S401 - Fiscal Year 2026 Appropriation Ordinance

The Appropriation Ordinance (AO) sets the legal levels at which the Mayor and Chief Financial Officer (CFO) control operational and capital project expenditures. Pursuant to Section 69 of the Charter of the City of San Diego, the AO shall be adopted by the City Council no later than June 30. Authorities are requested to allow for the financial transactions required to conduct the affairs of the City throughout Fiscal Year 2026.

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