Orange is one of Orange County's most unique and desirable communities. Residents value the City's historic character, safe neighborhoods, strong public safety services, quality parks, community programs, libraries, and high quality of life.

Like many California cities, Orange faces growing financial challenges as the cost of providing services continues to rise faster than revenues. After years of reducing staff and enacting cost savings, Orange  projects operating deficits absent additional revenues, expenditure reductions, or a combination of both.

To help address a projected $27.6 million deficit, one of the largest financial challenges in the City's history, the City Council has placed two local funding measures before voters.

On November 3, 2026, Orange residents will vote on the:

• Measure I - City of Orange Public Safety/Essential Services Measure
• Measure J - City of Orange Hotel Guest Tax Modification Measure

The City Council placed Measure I & Measure J before voters as part of a comprehensive strategy to stabilize Orange's finances, rebuild our community, and maintain high-quality essential services that our community expects.

This webpage is provided for informational purposes only. It is intended to provide factual information regarding Measure I & Measure J. Nothing on this webpage is intended to advocate for or against either ballot measure.

Fiscal Outlook

Orange is projected to face more than $122 million in cumulative deficits over the next six years, placing increasing pressure on the City's ability to maintain essential services.

Orange has already made substantial service reductions and implemented significant cost-saving measures. Additional reductions would increasingly affect the services residents see, use, and rely on every day.

If approved by Orange’s voters, these measures could generate approximately $40 million combined annually in locally controlled funding to support local essential services.

The measures were designed to complement one another by addressing different sources of potential City revenue. Together, they include contributions from residents, visitors, businesses, shoppers, and others who benefit from Orange's services and programs.

Every dollar generated by these measures would remain in the City and locally controlled to be spent for purposes relating to Orange residents, businesses, and neighborhoods.  Revenue generated by these local measures would remain with the City rather than being allocated to the State or County.

Any local sales tax revenue would include independent financial oversight and public reporting to ensure the funds are spent only to benefit the Orange community.

Measure I would establish a temporary one-cent local sales tax expected to generate approximately $37 million annually in local funding.

Orange receives only a small share of the sales tax generated within its borders, making local sales tax one of the few revenue options available to protect essential City services.

Measure J would update the City's Transient Occupancy Tax, also known as a hotel tax, from 10% to 14% for hotels with 11 rooms or more generating approximately $3 million annually. The measure would also apply the tax to online and other travel companies. 

Orange residents do not pay the hotel tax unless they choose to stay in a hotel or lodging establishment within the City. Otherwise, the hotel tax is paid by visitors staying in hotels, motels, inns, and other lodging establishments within Orange.

Visitors use City streets, public spaces, police services, fire protection, and other community resources during their stay. The hotel tax helps ensure visitors contribute their fair share toward the cost of those services.

Orange has spent years implementing numerous expenditure reductions and cost-saving measures before considering asking voters to approve additional local revenue.

• Holding police officer and firefighter positions vacant
• Reducing sworn police staffing
• Freezing officer and supervisory positions
• Deferring street, park, and infrastructure improvements
• Reducing library hours
• Restructuring or eliminating community programs and services
• Delaying vehicle replacements, including emergency vehicles
• Eliminated or froze nearly 40 additional positions in FY27