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HomeMy WebLinkAboutStaff Report 2512-5701CITY OF PALO ALTO CITY COUNCIL Special Meeting Monday, August 10, 2026 Council Chambers & Hybrid 5:30 PM     Agenda Item     C.Sales Tax Digest Summary for Q1 2026 (January - March). CEQA Status - Not a project. City Council Staff Report From: City Manager Report Type: INFORMATION REPORTS Lead Department: Administrative Services Meeting Date: August 10, 2026 Report #:2512-5701 TITLE Sales Tax Digest Summary for Q1 2026 (January - March). CEQA Status - Not a project. ANALYSIS This report transmits information regarding the City of Palo Alto’s sales tax receipts for the first quarter (January - March) of 2026. Highlights from the report are included below. Detailed discussion and data can be found in the Sales Tax Digest (Attachment A). Regional and statewide sales tax - Benchmark Year (Attachment A, pg. 2): Palo Alto: increased by 0.2% San Francisco Bay Area: increased by 0.5% California statewide: decreased by 2.7% City’s most significant activity – Benchmark Year (Attachment A, pg. 1): Business Services: increased by $1.8 million, or 422.0%; represents 8.0% of sales tax revenue (excluding county pool). Miscellaneous Retail: increased by $0.8 million, or 29.7%; represents 11.7% of sales tax revenue (excluding county pool). Overall, the benchmark year results reflect mixed performance across industry segments rather than broad-based growth. Strong performance in the Business Services and General Retail segments helped offset declines in the Leasing and New Auto Sales segments, resulting in relatively flat overall local sales tax performance. The Business Services segment includes a diverse range of industries, and year-over-year results may fluctuate as the mix of taxable business activity changes. County Pool – 2026Q1 compared to 2025Q1 (Attachment A, pg. 4) Total County Pool: Increased by 8.8% or $2.4 million, from $27.3 million to $29.7 million Total Jurisdiction Share: o Percent of County Pool increased by 60 basis points, from 6.1% to 6.7% o Total share increased $0.3 million, from $1.7 million to $2.0 million Over the most recent four quarters, the City received approximately $8.1 million from the County Pool, representing about 22% of the City’s total sales tax revenue of $36.6 million during that period. Preliminary review indicates that recent growth may be attributable, in part, to the reallocation of certain large online retailer transactions into the county pool and other allocation adjustments. County Pool details are limited, making it difficult to determine the extent to which these factors contributed to the increase or whether the higher allocation levels represent a one-time occurrence or an ongoing trend. Staff will continue to monitor future allocations and trends. ENVIRONMENTAL REVIEW This item is not a project as defined by the California Environmental Quality Act (CEQA) because the sales tax digest summary report is for informational purposes only with no action required by the Council. ATTACHMENTS Attachment A: 2026 Q1 Sales Tax Digest Summary APPROVED BY: Lauren Lai, Administrative Services Director City of Palo Alto Sales Tax Digest Summary Collections through May 2026 Sales January through March 2026 (2026Q1) neumo.com (800) 800-8181 Page 1 California Overview For the year ending in the first quarter of 2026, cash receipts increased 2.7% statewide and S.F. Bay Area increased 5.0% in the same period. However, when adjusted for non-period-related payments, the overall economic sales tax activity for the year ending in the first quarter of 2026 decreased by 2.7% statewide and increased by 0.5% in S.F. Bay Area. City of Palo Alto For the year ending in the first quarter of 2026, sales tax cash receipts for the city increased by 7.1% from the prior year. However, when adjusted for non-period related payments, the overall economic sales tax activity in Palo Alto for the year ending in the first quarter of 2026 increased by 0.2%. The primary drivers of Palo Alto's sales tax increase were Business Services and Miscellaneous Retail. On an economic basis, Business Services sales tax revenue increased by 422.0%, representing 8.0% of the city's total sales tax for the year ending in the first quarter of 2026. Miscellaneous Retail increased by 29.7% over the same period, contributing 11.7% to the total sales tax revenue. Same quarter sales tax cash receipts increased by 1.9% in California from Q1 2025 to Q1 2026. Palo Alto citywide sales tax cash receipts increased by 11.0% over the Q1 2025 to Q1 2026 period. The key contributor to the Palo Alto increase on a cash basis during this period was the Business Services segment. According to the California New Car Dealers Association, registrations are projected to decline to around 1.74 million units in 2026, with first quarter registrations decreasing by 8.9% compared to Q1 2025. City of Palo Alto neumo.com (800) 800-8181 Page 2 Regional Overview The chart on page two shows adjusted economic benchmark year amounts, which shows the year ended first quarter of 2026 compared to the year ended first quarter of 2025 (benchmark years are rolling annual comparisons through the current quarter). The divergence in growth rates between California and Palo Alto is attributed to the stronger overall performance of sales tax generating businesses statewide compared to those operating in Palo Alto. Regional Overview Chart (Economic) BENCHMARK YEAR 2026Q1 COMPARED TO BENCHMARK YEAR 2025Q1 35.2 / 12.8 30.1 / -0.2 27.0 / 2.7 31.9 / 1.7 38.4 / -19.2 28.4 / 3.9 36.9 / 1.8 28.0 / 1.4 25.8 / -61.7 Food Products 21.3 / 6.8 22.4 / -0.5 24.2 / 3.5 15.0 / -18.9 15.1 / -13.4 24.2 / 0.9 18.8 / 1.1 19.9 / 2.0 30.1 / -51.6 Transportation 14.8 / -7.6 21.2 / -7.4 21.6 / -6.2 24.4 / -12.6 20.6 / -21.9 15.7 / -0.2 21.8 / -3.8 27.1 / -5.1 24.1 / -62.1 Business to Business 23.2 / -17.0 15.8 / -2.2 17.6 / -4.7 13.7 / -9.8 16.1 / -10.0 21.8 / -5.0 10.5 / 0.3 10.5 / 3.6 8.1 / -54.0 Misc/Other 4.7 / 16.6 10.5 / -4.5 11.3 / 1.7 12.2 / 0.0 9.9 / -21.1 9.9 / -1.2 12.0 / -6.6 15.0 / -2.9 11.8 / -37.2 Total 100.0 / 0.2 100.0 / -2.7 100.0 / 0.5 100.0 / -6.6 100.0 / -18.6 100.0/ 0.0 100.0 / -0.8 100.0/ -1.0 100.0 / -56.5 % of Total / % Change % of Total / % Change % of Total / % Change City of Palo Alto neumo.com (800) 800-8181 Page 3 Leasing 3.5% Restaurants 19.4% Auto Sales -New 11.4% Office Equipment 8.0% Apparel Stores 8.7% All Other 49.0% Net Pools & Adjustments 28.3% Gross Historical Sales Tax Cash Receipts by Benchmark Year and Quarter (Before Adjustments) Net Cash Receipts for Benchmark Year First Quarter 2026: $36,577,575 *Benchmark year (BMY) is the sum of the current and 3 previous quarters (2026Q1 BMY is sum of 2026 Q1, 2025 Q4, 2025 Q3, 2025 Q2) $- $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 $30,000,000 $35,000,000 Quarterly Benchmark Year City of Palo Alto neumo.com (800) 800-8181 Page 4 County Pool Results The California sales tax system is known as a "sales and use tax" system. County Pool revenues primarily reflect the use tax generated from transactions that do not involve a physical point of sale within California. Businesses report their use tax quarterly, based on activity conducted throughout the county. The County Pool is distributed each quarter based on a proportional formula. A jurisdiction's quarterly percentage is determined by dividing its total gross sales tax receipts for the quarter by the total gross sales tax receipts of all jurisdictions within the county. Consequently, if Palo Alto's gross sales tax receipts increase relative to the rest of the county during a quarter, the city's share of the total County Pool will also increase. This quarterly percentage is multiplied by the total countywide pool to determine the jurisdiction's quarterly County pool revenue. In the first quarter of 2026, cash receipts for the overall County Pool increased by 8.8% from the same quarter in the prior year. The City’s share of the Countywide Pool increased to 6.7%. The City’s revenues from the County Pool increased from $1,673,551 in 2025Q1 to $1,995,583 in 2026Q1. TOP 25 SALES/USE TAX CONTRIBUTORS The following list identifies Palo Alto’s Top 25 Sales/Use Tax contributors. The list is in alphabetical order and represents the year ended in the first quarter of 2026. The Top 25 Sales/Use Tax contributors generate 51.4% of Palo Alto’s total sales and use tax revenue. Anderson Honda Lucile Packard Children's Hospital Shreve & Co. Apple Stores Macy's Department Store Stanford Health Care Audi Palo Alto Magnussen Toyota Tesla Cartier Mercedes Benz of Palo Alto Tesla Lease Trust Govberg Neiman Marcus Tiffany & Company Hermes Nordstrom Department Store Varian Medical Systems HP Enterprise Services Restoration Hardware Volvo Cars Palo Alto JP Morgan Chase Bank Shell Service Stations Wilkes Bashford Louis Vuitton 2023Q2 2023Q3 2023Q4 2024Q1 2024Q2 2024Q3 2024Q4 2025Q1 2025Q2 2025Q3 2025Q4 2026Q1 Quarter Over Quarter Total County Pool 27,690,772 22,345,960 24,427,230 25,411,165 25,387,888 23,265,567 31,312,972 27,268,380 27,503,817 28,287,141 38,540,707 29,657,590 8.8% Jurisdiction Share 1,755,562 1,489,193 1,638,965 1,523,986 1,611,681 1,377,891 1,834,044 1,673,551 1,685,234 1,595,260 2,571,498 1,995,583 19.2% Jurisdiction % of Total 6.3% 6.7% 6.7% 6.0% 6.3% 5.9% 5.9% 6.1% 6.1% 5.6% 6.7% 6.7% City of Palo Alto neumo.com (800) 800-8181 Page 5 Sales Tax from Largest Non-Confidential Sales Tax Segments (Economic) $- $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 Benchmark Year 2026Q1 Benchmark Year 2025Q1 City of Palo Alto neumo.com (800) 800-8181 Page 6 Historical Analysis by Calendar Quarter The chart above shows the categories and segments in quarterly economic-based amounts. The total amount is the net cash receipts, and it was obtained by adding up the categories/segments with the “Net Pools & Adjustments” amount. City of Palo Alto neumo.com (800) 800-8181 Page 7 Historical Analysis by Calendar BMY from 2017Q1 to 2026Q1 The chart above shows the categories and segments in benchmark year economic basis amounts. The total amount is the net cash receipts, and it was obtained by adding up the categories/segments with the “Net Pools & Adjustments” amount. Benchmark year (BMY) is the sum of the current and 3 previous quarters (2026Q1 BMY is sum of 2026 Q1, 2025 Q4, 2025 Q3, 2025 Q2). Economic Category % 2026Q1 2025Q1 2024Q1 2023Q1 2022Q1 2021Q1 2020Q1 2019Q1 2018Q1 2017Q1 Business To Business 18.1% 6,620,097 7,974,492 10,028,952 9,522,565 7,585,836 7,569,553 8,136,987 6,870,341 5,718,987 4,986,753 Miscellaneous/Other 15.8% 5,765,393 5,868,298 7,241,369 6,021,645 6,585,297 5,930,718 6,873,241 8,280,213 6,550,120 6,321,980 General Retail 27.5% 10,041,136 8,899,929 7,960,731 7,780,875 7,457,250 4,379,589 7,424,879 8,201,828 8,138,165 8,656,005 Food Products 16.6% 6,072,518 5,687,346 5,312,541 4,971,875 4,076,087 2,409,718 4,778,562 4,869,761 4,709,078 4,644,442 Subtotal Economic (Local Business)77.9% 28,499,144 28,430,065 30,543,592 28,296,960 25,704,470 20,289,578 27,213,669 28,222,144 25,116,350 24,609,180 Net Pools & Adjustments 22.1% 8,078,431 5,710,811 6,498,742 5,710,235 5,648,197 6,191,100 5,598,849 6,935,015 3,727,133 4,721,113 Total 100.0% 36,577,575 34,140,876 37,042,335 34,007,195 31,352,667 26,480,678 32,812,518 35,157,159 28,843,483 29,330,293 Economic Segment % 2026Q1 2025Q1 2024Q1 2023Q1 2022Q1 2021Q1 2020Q1 2019Q1 2018Q1 2017Q1 Miscellaneous/Other 32.2% 11,782,259 14,932,885 18,016,302 16,570,065 14,919,631 14,209,804 16,004,647 16,156,028 13,941,770 12,614,827 Restaurants 15.1% 5,531,314 5,149,954 4,794,131 4,440,964 3,590,971 1,995,268 4,219,380 4,285,736 4,146,912 4,105,029 Miscellaneous Retail 9.1% 3,326,353 2,564,827 2,192,695 1,989,096 2,325,798 1,451,949 1,748,872 1,847,130 1,849,861 2,697,559 Apparel Stores 6.7% 2,467,174 2,150,907 2,012,709 1,830,782 1,511,507 807,464 1,700,695 1,910,114 1,822,843 1,752,315 Department Stores 5.3% 1,941,045 1,931,216 1,889,166 1,771,222 1,667,397 769,134 1,684,162 1,932,093 2,054,945 2,099,831 Service Stations 2.0% 721,565 806,702 863,509 899,601 724,684 412,493 691,181 693,763 136,028 132,110 Business Services 6.2% 2,270,903 435,044 332,072 370,375 581,689 319,054 717,710 940,162 682,192 738,701 Food Markets 1.3% 458,531 458,531 443,008 424,856 382,793 324,413 447,022 457,119 481,799 468,808 Subtotal Economic (Local Business)77.9% 28,499,144 28,430,065 30,543,592 28,296,960 25,704,470 20,289,578 27,213,669 28,222,144 25,116,350 24,609,180 Net Pools & Adjustments 22.1% 8,078,431 5,710,811 6,498,742 5,710,235 5,648,197 6,191,100 5,598,849 6,935,015 3,727,133 4,721,113 Total 100.0% 36,577,575 34,140,876 37,042,335 34,007,195 31,352,667 26,480,678 32,812,518 35,157,159 28,843,483 29,330,293 City of Palo Alto neumo.com (800) 800-8181 Page 8 Quarterly Analysis by Sales Tax Category: Change from 2025Q1 to 2026Q1 (Economic) Unlike the chart on page one which showed a ‘benchmark year’ through the first quarter of 2026, the chart above shows a comparison of one quarter only – first quarter of 2025 to first quarter of 2026. This chart is for local ‘brick and mortar’ businesses, and it excludes county pools and adjustments. Ge n e r a l R e t a i l Fo o d P r o d u c t s Tr a n s p o r t a t i o n Bu s i n e s s t o B u s i n e s s Mi s c / O t h e r 20 2 6 / 1 T o t a l 20 2 5 / 1 T o t a l % C h g La r g e s t G a i n Se c o n d L a r g e s t Ga i n La r g e s t D e c l i n e Se c o n d L a r g e s t De c l i n e Campbell 6.3% 3.7% 2.5% 0.2% -4.7% 2,380,777 2,340,349 1.7%Restaurants Florist/Nursery Health & Government Electronic Equipment Cupertino 5.2% 2.3% -11.5% -7.6% 4.0% 5,340,474 (5,290,228) -200.9%Office Equipment Electronic Equipment Department Stores Food Markets Gilroy -1.1% 4.6% -8.0% 0.3% 0.9% 3,857,666 3,693,647 4.4%Auto Sales - New Department Stores Heavy Industry Auto Sales - Used Los Altos 32.4% 3.8% -3.2% -35.5% 16.5% 565,604 547,040 3.4%Recreation Products Miscellaneous Retail Electronic Equipment Drug Stores Los Gatos 4.1% -5.0% -7.5% -29.3% 40.3% 1,287,080 1,395,748 -7.8%Miscellaneous Retail Service Stations Furniture/Appliance Auto Sales - New Milpitas 27.1% 8.1% -6.8% 22.3% 32.6% 6,330,197 5,874,739 7.8%Auto Sales - New Bldg.Matls-Whsle Electronic Equipment Leasing Morgan Hill -1.0% 3.9% -6.2% 3.4% 13.9% 2,353,877 2,268,025 3.8%Bldg.Matls-Whsle Restaurants Light Industry Business Services Mountain View 2.1% 4.2% 13.6% -4.2% 16.0% 4,167,277 4,054,455 2.8%Auto Sales - New Auto Parts/Repair Restaurants Auto Sales - Used Palo Alto 8.8% 4.8% 19.3% 11.2% -6.1% 6,784,665 6,179,799 9.8%Business Services Miscellaneous Retail Furniture/Appliance Auto Sales - New San Jose 7.3% 4.7% -3.9% -1.4% 5.6% 52,928,245 50,825,140 4.1%Office Equipment Light Industry Business Services Auto Sales - New Santa Clara 6.6% -3.4% 2.9% 42.0% 22.8% 16,229,019 15,824,474 2.6%I.T. Infrastructure Restaurants Light Industry Office Equipment County of Santa Clara 38.9% 0.9% -28.3% 6.4% 7.9% 1,026,795 966,601 6.2%Bldg.Matls-Whsle Light Industry Heavy Industry Health & Government Saratoga 18.9% 2.8% -3.7% -17.9% 4.9% 246,014 233,923 5.2%Restaurants Miscellaneous Retail Food Markets Food Processing Eqp Sunnyvale -11.0% 0.9% -25.0% 28.4% -5.8% 8,219,412 8,490,483 -3.2%Restaurants Heavy Industry Auto Sales - New Business Services City of Palo Alto neumo.com (800) 800-8181 Page 9 City of Palo Alto Geo Areas & Citywide Chart Data: Change from 2025Q1 to 2026Q1 (Economic) FOOD PRODUCTS 9.0% 115,339 105,795 68.6%67.3% GENERAL RETAIL 13.5% 19,157 16,875 11.4%10.7% ALL OTHER -3.0% 33,598 34,637 20.0%22.0% TOTAL 6.9% 168,094 157,307 100.0% 100.0% El Camino Real and Midtown % CHANGE QoQ 2026Q1 QE 2025Q1 QE 26Q1 % OF TOTAL 25Q1 % OF TOTAL ALL OTHER 1.2% 177,440 175,330 47.7%47.9% FOOD PRODUCTS 2.9% 160,466 155,970 43.1%42.6% GENERAL RETAIL -2.0% 34,166 34,869 9.2%9.5% TOTAL 1.6% 372,072 366,168 100.0% 100.0% Greater Downtown % CHANGE QoQ 2026Q1 QE 2025Q1 QE 26Q1 % OF TOTAL 25Q1 % OF TOTAL FOOD PRODUCTS 9.0% 574,826 527,387 66.4%56.7% GENERAL RETAIL -33.6% 228,940 344,639 26.4%37.0% BUSINESS TO BUSINESS -14.0% 32,583 37,883 3.8%4.1% TRANSPORTATION 55.1% 13,079 8,432 1.5%0.9% CONSTRUCTION 63.9% 9,743 5,943 1.1%0.6% MISCELLANEOUS 7.6% 7,027 6,529 0.8%0.7% TOTAL -6.9% 866,199 930,813 100.0% 100.0% Stanford Shopping Center % CHANGE QoQ 2026Q1 QE 2025Q1 QE 26Q1 % OF TOTAL 25Q1 % OF TOTAL GENERAL RETAIL -1.9% 1,425,538 1,453,095 87.9%88.5% FOOD PRODUCTS 3.6% 195,734 188,894 12.1%11.5% ALL OTHER -1.6% 421 428 0.0%0.0% TOTAL -1.3% 1,621,693 1,642,416 100.0% 100.0% City of Palo Alto neumo.com (800) 800-8181 Page 10 City of Palo Alto Geo Areas & Citywide Chart Data: Change from 2025Q1 to 2026Q1 (Economic) Cont. Town And Country Shopping Center % CHANGE QoQ 2026Q1 QE 2025Q1 QE 26Q1 % OF TOTAL 25Q1 % OF TOTAL FOOD PRODUCTS 16.2% 123,600 106,406 60.6%61.5% GENERAL RETAIL 10.4% 73,507 66,609 36.0%38.5% ALL OTHER 28749.4% 6,863 24 3.4%0.0% TOTAL 17.9% 203,970 173,039 100.0% 100.0% All Other Geos Combined % CHANGE QoQ 2026Q1 QE 2025Q1 QE 26Q1 % OF TOTAL 25Q1 % OF TOTAL GENERAL RETAIL -6.9% 1,841,072 1,977,756 37.1%30.0% FOOD PRODUCTS 4.9% 1,268,421 1,208,930 25.5%18.3% TRANSPORTATION -14.8% 928,829 1,090,059 18.7%16.5% BUSINESS TO BUSINESS -64.4% 793,111 859,690 16.0%33.7% MISCELLANEOUS 1.4% 73,333 72,356 1.5%1.1% CONSTRUCTION 142.2% 61,466 25,383 1.2%0.4% TOTAL -24.8% 4,966,233 5,234,173 100.0% 100.0% All Other Geo Area Totals with Balance of Jurisdiction Comparison 26Q1 & 25Q1 % CHANGE QoQ 2026Q1 QE 2025Q1 QE 26Q1 % OF TOTAL 25Q1 % OF TOTAL Balance of Jurisdiction -11.7% 1,734,206 1,964,429 34.9%37.5% Stanford Shopping Center -1.3% 1,621,693 1,642,416 32.7%31.4% Greater Downtown -6.9% 866,199 930,813 17.4%17.8% El Camino Real and Midtown 1.6% 372,072 366,168 7.5%7.0% Town And Country Shopping Center 17.9% 203,970 173,039 4.1%3.3% California Avenue 6.9% 168,094 157,307 3.4%3.0% TOTAL -5.1% 4,966,233 5,234,173 100.0% 100.0% Palo Alto citywide QE 26Q1 & 25Q1 % CHANGE QoQ 2026Q1 QE 2025Q1 QE 26Q1 % OF TOTAL 25Q1 % OF TOTAL GENERAL RETAIL 7.8% 2,312,415 2,145,621 34.1%34.7% BUSINESS TO BUSINESS 45.3% 1,657,595 1,140,997 24.4%18.5% FOOD PRODUCTS 7.2% 1,513,060 1,410,933 22.3%22.8% TRANSPORTATION -14.4% 936,669 1,093,645 13.8%17.7% MISCELLANEOUS -16.8% 295,492 355,330 4.4%5.7% CONSTRUCTION 108.7% 69,435 33,274 1.0%0.5% TOTAL 9.8% 6,784,665 6,179,799 100.0% 100.0% City of Palo Alto neumo.com (800) 800-8181 Page 11 City of Palo Alto Geo Area Pie Charts City of Palo Alto neumo.com (800) 800-8181 Page 12 FOOD PRODUCTS, 9.0%CHANGE, $574,826 66.4%TOTAL GENERAL RETAIL, -33.6% CHANGE, $228,940 , 26.4%TOTAL BUSINESS TO BUSINESS, -14.0% CHANGE, $32,583 , 3.8%TOTAL TRANSPORTATION 55.1% CHANGE, $13,079 , 1.5%TOTAL CONSTRUCTION, 63.9% CHANGE, $9,743 , 1.1%TOTAL MISCELLANEOUS, 7.6% CHANGE, $7,027 , 0.8%TOTAL Greater Downtown 2026Q1 SALES TAX AMOUNTS FOOD PRODUCTS, $527,387 , 56.7%TOTAL GENERAL RETAIL, $344,639 , 37.0%TOTAL BUSINESS TO BUSINESS, $37,883 , 4.1%TOTAL TRANSPORTATION $8,432 , 0.9%TOTAL CONSTRUCTION, $5,943 , 0.6%TOTAL MISCELLANEOUS, $6,529 , 0.7%TOTAL Greater Downtown 2025Q1 SALES TAX AMOUNTS GENERAL RETAIL $1,453,095 , 88.5%TOTAL FOOD PRODUCTS, $188,894 , 11.5%TOTAL ALL OTHER, $428 , 0.0%TOTAL Stanford Shopping Center 2025Q1 SALES TAX AMOUNTS GENERAL RETAIL, -1.9% CHANGE, $1,425,538 , 87.9%TOTALFOOD PRODUCTS, 3.6% CHANGE $195,734 , 12.1%TOTAL ALL OTHER, -1.6% CHANGE, $421 , 0.0%TOTAL Stanford Shopping Center 2026Q1 SALES TAX AMOUNTS City of Palo Alto Geo Area Pie Charts City of Palo Alto neumo.com (800) 800-8181 Page 13 FOOD PRODUCTS, 16.2%CHANGE, $123,600 , 60.6%TOTAL GENERAL RETAIL, 10.4% CHANGE, $73,507 , 36.0%TOTAL ALL OTHER, 28.7% CHANGE, $6,863 , 3.4%TOTAL Town And Country Shopping Center 2026Q1 SALES TAX AMOUNTS FOOD PRODUCTS, $106,406 , 61.5%TOTAL GENERAL RETAIL, $66,609 , 38.5%TOTAL ALL OTHER, $24 , 0.0%TOTAL Town And Country Shopping Center 2025Q1 SALES TAX AMOUNTS GENERAL RETAIL, -6.9%CHANGE $1,841,072 , 37.1%TOTAL FOOD PRODUCTS, 4.1% CHANGE, $1,268,421 25.5%TOTAL TRANSPORTATION, -14.8% CHANGE, $928,829 18.7%TOTAL BUSINESS TO BUSINESS, -64.4% CHANGE, $793,111 , 16.0% TOTAL MISCELLANEOUS, 1.4% CHANGE, $73,333 , 1.5%TOTAL CONSTRUCTION, 142.2% CHANGE, $61,466 , 1.2%TOTAL All Other Geos Combined 2026Q1 SALES TAX AMOUNTS GENERAL RETAIL, $1,977,756 , 30.0%TOTAL FOOD PRODUCTS, $1,208,930 , 18.3%TOTALTRANSPORTATION, $1,090,059 , 16.5%TOTAL BUSINESS TO BUSINESS, $2,225,704,33.7%TOTAL MISCELLANEOUS, $72,356 , 1.1%TOTAL CONSTRUCTION, $25,383 , 0.4%TOTAL All Other Geos Combined 2025Q1 SALES TAX AMOUNTS City of Palo Alto Geo Area Pie Charts City of Palo Alto neumo.com (800) 800-8181 Page 14 Balance of Jurisdiction, -11.7% CHANGE, $1,734,206 , 34.9%TOTAL Stanford Shopping Center, -1.3% CHANGE, $1,621,693 , 32.7%TOTAL Greater Downtown, -6.9% CHANGE, $866,199 , 17.4%TOTAL El Camino Real and Midtown, 1.6% CHANGE, $372,072 , 7.5%TOTAL Town And Country Shopping Center, 18.0% CHANGE, $203,970 , 4.1%TOTAL California Avenue, 6.9% CHANGE, $168,094 , 3.4%TOTAL All Other Geo Area Totals with Balance of Jurisdiction Comparison 2026Q1 SALES TAX AMOUNTS Balance of Jurisdiction, $1,964,429 , 37.5%TOTAL Stanford Shopping Center, $1,642,416 , 31.4%TOTAL Greater Downtown, $930,813 , 17.8%TOTAL El Camino Real and Midtown, $366,168 , 7.0%TOTAL Town And Country Shopping Center, $173,039 , 3.3%TOTAL California Avenue, $157,307 , 3.0%TOTAL All Other Geo Area Totals with Balance of Jurisdiction Comparison 2025Q1 SALES TAX AMOUNTS GENERAL RETAIL, 7.8% CHANGE, $2,312,415 , 34.1%TOTAL BUSINESS TO BUSINESS, 45.3% CHANGE, $1,657,595 , 24.4%TOTAL FOOD PRODUCTS, 7.2% CHANGE, $1,513,060 , 22.3%TOTAL TRANSPORTATION, -14.4% CHANGE, $936,669 , 13.8%TOTAL MISCELLANEOUS, -16.8% CHANGE, $295,492 , 4.4%TOTAL CONSTRUCTION, 108.7% CHANGE, $69,435 , 1.0%TOTAL Palo Alto citywide 2026Q1 SALES TAX AMOUNTS GENERAL RETAIL, $2,145,621 , 34.7%TOTAL BUSINESS TO BUSINESS, $1,140,997 , 18.5%TOTAL FOOD PRODUCTS, $1,410,933 , 22.8%TOTAL TRANSPORTATION, $1,093,645 , 17.7%TOTAL MISCELLANEOUS, $355,330 , 5.7%TOTAL CONSTRUCTION, $33,274 , 0.5%TOTAL Palo Alto citywide 2025Q1 SALES TAX AMOUNTS City of Palo Alto Geo Area & Citywide Pie Charts