Palo Alto residents have a direct line to City Hall on how the city should spend its shrinking dollars, starting with the Aug. 13 launch of its 2026 Annual Community Survey.
The city's 2026 Annual Community Survey launched Aug. 13, with mailed invitations going to a random sample of households. On Sept. 15, the survey opens online to all residents citywide.
The timing matters. The city is staring down an $8 million sales tax shortfall for the fiscal year that ended June 30, with projected general fund deficits of $14.9 million in fiscal year 2027 and double-digit gaps through 2032, according to Palo Alto Online. University Avenue's retail vacancy rate sits at 13.4% as of the first quarter, per CoStar data reported by Palo Alto Online. And voters face a November ballot measure on a sales tax increase to fund the Cubberley Community Center purchase.
"This is a structural deficit. It's simply a fact that our expenses are growing faster than our revenues," budget manager Jonathan Rewers said at a December 2025 Finance Committee meeting, as reported by Palo Alto Online.
Against that backdrop, survey results go directly to the City Council and staff to shape spending priorities and service decisions.
What the survey covers
The survey is administered by Polco/NRC, a firm the city describes as "a leader in developing national benchmarking surveys." Polco's National Community Survey instrument covers 10 domains of community livability, including governance, economy, safety, mobility and community characteristics like housing, according to the firm's methodology. The format uses statistically valid random sampling so results represent the full community, not just the loudest voices at public comment. The city has not published the specific questions for its 2026 survey.
Last year's survey, with results released in January, found residents gave high marks to schools, parks and neighborhoods but expressed concerns about building, planning and code enforcement. Sentiment on affordable housing showed little change despite a decade of City Council attention to the issue, Palo Alto Online reported.
How to participate
Residents who received a mailed postcard or letter can take the survey now. Everyone else can participate when the citywide online version opens Sept. 15. Questions can be directed to (650) 329-2392, the city's listed contact number.
Why it matters for business
The Council adopted "enhance business vibrancy" as a 2026 priority and in June approved a package of retail zoning reforms aimed at reducing downtown vacancies. Chamber of Commerce CEO Charlie Weidanz said in June that 'successful business districts require flexibility, clear regulations and an environment that allows businesses and property owners to respond to the changing market conditions,' as Palo Alto Online reported.
The Council heads into a fall with three open seats and the Cubberley sales tax measure on the Nov. 3 ballot.
