Overview
- The City Council unanimously set fiscal 2026 tax rates, lifting the commercial rate 22% to $14.07 per $1,000 of value and increasing the residential rate about 5% to $6.67.
- The total property-tax levy rises 8% to support a budget that grew 3.8%, with officials citing sharp valuation drops for offices and labs.
- City data show uneven impacts on bills: office owners up about 4.3% on average, retail and restaurant properties up around 10.4%, and hotels up nearly 26%.
- Business groups including the Harvard Square Business Association and Cambridge Local First say many were blindsided and warn the increase could trigger price hikes or closures.
- Officials defend the move as necessary to fund schools, public safety and universal pre-K, noting Cambridge’s commercial rate remains lower than Somerville and Boston.