When Californians vote in the November 5 election, they might get sticker shock when they find out local governments are asking them to approve $3.2 billion in new tax increases and $52 billion in bond debt.
The 531 local tax and bond measures on the ballot would dramatically increase the cost of living for the average Californian, driving up costs of everything – from electricity and gasoline to the cost of a home.
Government officials have submitted 110 sales tax hikes to the voters. The sales tax is regressive, meaning it hits low-income Californians the hardest. Cumulatively, if all of these sales tax measures are approved, taxpayers can expect to pay $2.7 billion in new taxes on everyday purchases.
In Los Angeles County, consumers might see local sales tax rates reach 10.75 percent after November. This would make the county – already one of the costliest places to live and do business – also have one of the highest sales tax rates in the nation.
For some local governments, going to the voters every year to ask for new sales tax increases was too much work. Two measures – in the cities of Lancaster and Palmdale – would allow the local sales tax to be increased automatically to the highest possible rate allowed under state law. These measures, written in anticipation of a just-approved state law that waives the sales tax rate limit in the two cities, not only fly in the face of the taxpayer protections enshrined in our constitution, but also deprive residents of the ability to review the city’s tax decisions before approving future increases.
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