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• More Sales Taxes on the Way? Fortuna City Council Adds Measure to November Ballot

Though Fortuna’s money problems haven’t yet hit residents hard, the upcoming years could be tough on the city — and long-term solutions are still being worked out.

Fortuna’s city council decided earlier this week to add a measure to November’s ballot asking voters to add a 0.75% sales tax to transactions completed within city limits (specifics under discussion). It’s a necessary step, they argue, because Fortuna’s $1.8 million short of where they should be every year. Fortuna is earning about $500,000 less in sales tax and TOT revenue (the tax levied on travelers who stay in hotels or Airbnbs) every year than it was in 2020, and annual liability insurance is also $500,000 more. Charts shared by city staff at the council meeting earlier this week showcase a big ‘ol arrow pointing out the gap in between Fortuna’s projected revenue, and the amount it’s actually making. 

Why the decline? Reached by phone earlier today, city manager Amy Nilsen pointed the finger at the implosion of the cannabis industry, a familiar culprit behind many local economic woes. A hostile national economy and expensive gas are likely contributing, she said.

Fortuna’s feeling the strain. City hall implemented a hiring freeze in November of 2025 for all positions paid with general fund money, forcing two jobs (a River Lodge Conference Center coordinator and position in the police department) to remain unfilled. The city council made exceptions for two positions, allowing the appointment of a community development director and a public safety dispatcher in March. 

There will be more cuts. The city council will discuss the city budget and service reductions during their April 27 meeting; Nilsen wasn’t willing to comment about specifics until then. 

Nilsen said hiring the community development director would hopefully allow them to find some strategies that would pull Fortuna out of its rut, but they’re in the “infancy phase;” she said they were still figuring out what those were. 

Expanding Fortuna’s sales tax base will be crucial. If the sales tax measure fails in November, any number of important city departments — parks, community development, street maintenance, public works, the police department — could have its funding slashed. Any issues left unaddressed could compound over time. 

“The city may need to make a pretty intensive effort on economic development,” Nilsen told the Outpost. “…That’s really the long-term solution. That’s going to be pivotal in the future.”