DATE: November 17, 2026
TO: Mayor and City Council
FROM: Director of Finance
SUBJECT
Transient Occupancy Tax: Resolution Denying Appeal from Fairfield Inn & Suites Hayward and Upholding Tax and License Administrator's Decision to Deny Administrative Waiver of a Portion of Transient Occupancy Tax Payments
RECOMMENDATION
That the City Council deny the appeal and adopt a resolution (Attachment II) upholding the Tax and License Administrator’s decision requiring payment of Transient Occupancy Tax (TOT) at the rate of 14% beginning on February 1, 2026.
SUMMARY
In November 2020, Hayward voters approved Measure NN, which authorized a TOT rate of up to 14%. Due to impacts of the pandemic, the Hayward City Council deferred the proposed increase. On June 17, 2025, the Council adopted Resolution No. 25-109, increasing the TOT rate from 8.5% to 12% effective August 1, 2025. On December 16, 2025, the Council adopted Resolution No. 25-210, raising the TOT rate to 14% effective February 1, 2026. In addition to collection of TOT, hotel operators are responsible for collecting an excise tax of 2% resulting in total required collections of 16%.
On July 15, 2026, Hogan Hospitality Group, on behalf of Fairfield Inn & Suites Hayward (Fairfield Inn), requested an administrative waiver and refund of TOT for the period of February 1, 2026, through June 30, 2026 from the Director of Finance, who is the Tax and License Administrator for the City of Hayward. In a letter dated July 16, 2026, the Acting Director of Finance, serving as Tax and License Administrator in the Director’s absence, denied the request. On July 17, 2026, Hogan Hospitality Group filed a written appeal to the City Council.
ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution
Attachment III Notification of City Council Consideration of TOT increase
Attachment IV Emails from City Notifying Fairfield Inn of Incorrect Collection Amount
Attachment V Letter from Hogan Group Requesting Administrative Wa...
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