SHAFTER, Calif. – At a public meeting in Shafter earlier this month, around 30 residents gathered at the city’s Veteran's Hall as City Manager Lance Lippincott made a case for raising their sales taxes.
It was one of two meetings city leaders held for residents to understand Measure Q, a proposal on the ballot that would raise the sales tax on all purchases made within the city from 7.25% to 8.25%.
“We're estimating that this will create about another $4 million in sales tax revenue for the city per year,” Lippincott told residents.
This extra funding would go toward city services like hiring more police, improving parks and fixing streets.
Shafter currently has the lowest sales tax rate of any Kern County city. Residents of other cities pay as much as 9.25%.
It’s now one of 10 cities from Merced through Kern counties that placed sales tax measures on their ballots this midterm election cycle in order to generate revenue for public services.
Lippincott told the gathered residents that Shafter is rapidly growing and city officials want a surplus of cash to help expand services. He said it's surprising that Shafter has been able to operate at its current rate for so long.
“I want to be honest with you guys, that's not going to be perfect, but it closes the gap enough that we can actually effectively plan around it,” Lippincott said.
Some residents at the meeting were concerned Measure Q would raise their cost of living more as prices of everything increase. But Lippincott told the crowd that many Shafter residents already spend money in cities with higher tax rates.
Shafter has no major retail or grocery stores, which leads most to do their shopping in nearby cities.
“I don't want to wait...to bring this up to where we have to declare a fiscal emergency and we have to look at cuts,” Lippincott said.
Similar sales tax measures elsewhere
Cities and counties throughout the San Joaquin Valley have placed sales tax measures on their ballots. Most are asking for a general tax increase, meaning revenue generated can be spent for general governmental purposes.
For instance, residents in Merced will vote on a 1% sales tax increase known as Measure B. The current sales tax is 8.25%. City officials estimate the measure would raise approximately $18 million annually.
In Tulare County, Measure S is a proposed 0.75% sales tax in Dinuba and is estimated to provide an additional $3.4 million annually. Revenue would go towards essential services, public safety and general city improvements.
The city of Tulare is also asking residents for a 1% general sales tax increase through Measure A. It is estimated to generate an estimated $16 million. The current sales tax in Tulare is the lowest in Tulare County at 8.25%.
Tax measures more varied in Fresno, Kern counties
Four sales tax measures are appearing on ballots in Fresno County.
Measure J would increase the sales tax in Coalinga by 1%. Residents currently pay 8.975%. It is anticipated to generate $2 million annually.
Three other measures in Fresno County come as a response to the expiration of Measure C, a 0.5% transportation sales tax that all county residents have been paying for 40 years. Measure C expires next year.
Measure S is a county-wide 0.5% sales tax that would replace Measure C and is estimated to generate $7.4 billion in its 30-year lifespan. It would allocate 65% of funds to fixing neighborhood roads, which is nearly double the amount spent on neighborhood roads in Measure C.
Measure D in the city of Fresno would also replace the 0.5% sales tax lost with the expiration of Measure C. City leaders proposed the tax when it wasn’t clear Measure S would make it onto the ballot, and it’s anticipated to raise $65 million annually for ten years. If both measures pass, Fresno’s leaders have written into Measure D that it will sunset when Measure S goes into effect.
In Fowler, Measure T would increase the sales tax by 0.5% and generate approximately $300,000 annually. Fowler’s sales tax is currently 8.975%. Like Fresno’s Measure D, this measure was also proposed as a response to the expiration of Measure C, though the revenue would be spent more generally on city services.
Kern County also has three sales tax measures this midterm election. Besides Measure Q in Shafter, Measure H aims to increase the sales tax in Arvin by 1%. Tax rates are currently set at 8.25%. The city estimates it would generate $2.35 million annually.
Measure Z is a countywide sales tax, and it’s being brought before voters for one specific purpose.
Revenue from the proposed 0.125% sales tax would go towards improvements and operations at Calm Zoo in Bakersfield. Officials anticipate Measure Z would generate $24 million annually.