The Santa Ana City Council Votes to Lower Home-Based Business Fee

Santa Ana, CA -The Santa Ana City Council recently made a significant change to the Home Occupation Permit (HOP) fee, reducing it from $320 to $50.32. This change was made with the goal of better serving the needs of modern, small home-based businesses and making it more affordable for these types of businesses to operate in the city.

The Santa Ana Municipal Code requires that all businesses operating from residential premises must secure a HOP and comply with all the applicable provisions of the City’s Municipal Code relating to home-based businesses and home occupations. The establishment of a HOP dates back to 1982, but over the years, the fee charged for this permit has increased alongside the Certificate of Occupancy fee. In comparison to other municipalities in the county, the City of Santa Ana had historically had considerably higher fees for both the Certificate of Occupancy and the Home Occupation Permit.

The reduction in the HOP fee for home-based businesses in Santa Ana is in line with the spirit of Measure W, a ballot initiative that was approved by voters last November. Measure W contains a Tax Holiday component for unlicensed, past-due, and under-assessed businesses, making it easier and more affordable for small and home-based businesses to obtain a business license. Before applying for a Santa Ana Business License, home-based businesses must first apply for and receive an approved HOP.

The growth of home-based businesses and the gig economy has been significant in recent years, particularly in the wake of the pandemic. This trend is likely to continue, and reducing the HOP fee will help these businesses thrive and grow, which will, in turn, benefit the city as a whole. The City of Santa Ana recognizes the importance of home-based businesses and is taking steps to support these businesses through measures such as the reduction in the HOP fee.

It’s worth noting that the HOP fee is not the only cost associated with operating a home-based business in Santa Ana. Businesses will still be required to pay for a business license and comply with all other regulations and requirements related to home-based businesses. However, the reduction in the HOP fee is a positive step forward for these businesses and demonstrates the city’s commitment to supporting small and home-based businesses.

In conclusion, the Santa Ana City Council’s decision to reduce the HOP fee is a positive development for home-based businesses and will help to create a more supportive environment for these businesses to operate in. By reducing the financial burden associated with operating a home-based business, the city is making it easier for these businesses to start and grow, which will ultimately benefit the city as a whole.