Supervisors Push for First-in-State Data Center Tax, Place Hotel Tax Hike on Ballot

Solano County's Board of Supervisors signaled it wants to be the first county in California to impose a business license tax on data centers — and supervisors say the initial proposal of $0.12 per square foot isn't nearly high enough. The board also unanimously voted to place a measure on the November 2026 ballot that would more than double the hotel tax in unincorporated areas, authorized a lawsuit challenging the Delta Conveyance Project, and approved more than $108 million in contracts for the coming fiscal year.

• Supervisors reject initial $0.12/sq ft data center tax rate as "very low," direct staff to return with dramatically higher numbers and research on air rights and behind-the-meter energy taxation
• Hotel tax increase from 5% to 12% headed to November 2026 ballot for unincorporated Solano County after unanimous 4-0 vote
• Board authorizes lawsuit against the Delta Stewardship Council over the Delta Conveyance Project certification, a major statewide water fight
• New EMS advisory committee approved after the county's split from the regional cooperative, with hospital, fire, dispatch, and community representation
• $108M+ in consent calendar contracts approved, with Supervisor Williams confirming homeland security grants carry no immigration enforcement strings
• 707 Week elevated to countywide celebration after inaugural Vallejo event drew 1,800 attendees and 73 vendors

The most consequential policy debate of the evening centered on how Solano County should tax data centers — massive energy consumers increasingly eyeing the county's open land and power grid.