San Jose has four construction-related taxes, but for the purposes of this discussion only two are pertinent: The Building and Structures Construction Tax, and the Commercial- Residential-Mobilehome Park Building Tax (also known as the CRMP Tax). These two taxes represent a sizeable proportion of the cost of many building permits issued by the City of San Jose and fund the majority of the Traffic Capital Improvement Program, that includes projects and programs such as pedestrian and traffic safety, pavement maintenance, traffic signals, and grant project required local matches. The remaining elements of project permitting costs can be attributed to administration, plan check and inspection fees, which are 100% cost-recovery, and Impact Fees (parks, traffic, affordable housing etc.).
City Identified Problems:
Root cause of the problem lies with outdated ordinance enacted in the 1970‚Äôs that narrowly defines ‚ÄúIndustrial‚Äù and ‚ÄúCommercial‚Äù uses.
The way that buildings are being used now, and the way city zoning code defines them, is different than it was 10, 20 or 30 years ago.
Standard operating procedure has always been to consider anything that is not explicitly ‚ÄúIndustrial‚Äù (1%), as ‚ÄúCommercial‚Äù (4.5%).
Construction taxes are applicable to all building permits including both new construction and ongoing tenant improvements.
Construction taxes are collected against the valuation of the project derived from the higher of either the International Code Council‚Äôs building valuation data table or the submitted valuation estimate by the project proponent (not market value).
Building Department Permit Specialists administer the process/advise applicants on their use.
Current suspension for ‚Äúoffice, research and development‚Äù ends March 31, 2017
City Staff Goal:
Create Implementation Clarity and Consistency ‚Äì Clear definitions and consistent treatment to aid staff and development community, minimize required refunds
Maintain funds for transportation infrastructure ‚Äì Ensure any changes do not to impact transportation infrastructure funding
Limit the Impact to Development ‚Äì Avoid impacting to San Jose‚Äôs attractiveness to driving industry companies
Create a new suspension from the commercial rate (4.5%) for all ‚Äúoffice uses‚Äù reducing to 2.5%
San José is the 10th largest city in the United States, yet it is stuck in the 1980’s with a management structure more suited for small cities. In times of crisis, we need government to be nimble, responsive, and accountable to the community for results and to bring local government into the 21st century. As we face the greatest series of crises in our lifetime – a global pandemic and the deepest economic recession since the great recession – we must have the people’s choice, an elected Accountable Mayor, be directly responsible for the city.
As of June 5th, San Jose Al Fresco is in full swing allowing businesses to utilize sidewalks to conduct business during shelter-in-place. The City of San Jose is now accepting applications, and it's FREE to apply! Once your application is submitted, you will be able to start utilizing the space in front of your business immediately, as long as you meet the terms and conditions described in the application. We put together some simple FAQ's about how you can participate in San Jose Al Fresco, and all the thing you need to know before applying!
Southwest announced their plans to keep middle seats open through at least September 30, reinforced its face mask policy and added another layer of confidence for travelers by requiring Customers to complete a Health Declaration prior to traveling. As Customers begin to travel again, Southwest also launched a sale offering low domestic fares starting at $49 one-way to select destinations today through June 18, 2020, 11:59 p.m., CDT.