With our free press under threat and federal funding for public media gone, your support matters more than ever. Help keep the LAist newsroom strong, become a monthly member or increase your support today.
Santa Monica could reach highest sales tax rate in the country if measures approved
FILE: Sales tax measures on the ballot this November could push some cities in Southern California to have among the highest tax rates in the country.
(
Aranami via Flickr
)
Listen
0:51
Santa Monica could reach highest sales tax rate in the country if measures approved
As Southern California counties and cities gather their ballot measures for November, a tax policy expert says Santa Monica could find itself joining another city with the highest sales tax rate in the country.
"The tax rate in Santa Monica would be 10 and a half percent, which would be tied with Chicago for the top rate in the nation," said Jared Walczak, a policy analyst at the Tax Foundation in Washington, D.C.
Santa Monica currently has a 9.5 percent sales tax rate. The popular beach city is proposing to increase the sales tax by one half of one percent to help pay for community services.
“[A] 1/4 cent would go to support affordable housing in our community, and 1/4 cent would go to continue to support our public schools,” said Santa Monica's City Manager Rick Cole.
Sponsored message
On top of that, Los Angeles County is proposing to raise the sales tax by a half cent for transportation projects and programs. Together, the measures would put Santa Monica in Chicago's top rate category.
Los Angeles, San Diego and Ventura are among the Southern California counties that are asking voters to approve sales tax increases this November.
Walczak cautioned that with high sales tax rates, residents' cost of living can take a hit.
He advised voters to think about whether higher tax rates can be sustained over time. He said sales taxes don’t change as often as corporate or individual taxes.
"They’re one of the few taxes that rarely go down," he said.
Cole said that a significant section — probably a majority — of sales tax revenue in Santa Monica comes from tourists. And the results, he said, are things the community can enjoy.
“Citizens see the benefit right in their own home community of improved street work, improved park maintenance, improved public safety from police and fire. And they see it in their local schools,” he said.
Sponsored message
Downey and Lynwood in Los Angeles County are also asking voters to approve city-level sales tax measures. Lynwood wants to start a one cent sales tax and Downey wants to increase its sales tax by one half of one percent.
Officials say their tax measures will help fund such critical services as police and fire protection and projects that include road repairs and bridge retrofitting.
Residents in dozens of municipalities are also voting this year on school bond measures that include property tax increases.
This story has been updated.
At LAist, we believe in journalism without censorship and the right of a free press to speak truth to those in power. Our hard-hitting watchdog reporting on local government, climate, and the ongoing housing and homelessness crisis is trustworthy, independent and freely accessible to everyone thanks to the support of readers like you.
But the game has changed: Congress voted to eliminate funding for public media across the country. Here at LAist that means a loss of $1.7 million in our budget every year. We want to assure you that despite growing threats to free press and free speech, LAist will remain a voice you know and trust. Speaking frankly, the amount of reader support we receive will help determine how strong of a newsroom we are going forward to cover the important news in our community.
We’re asking you to stand up for independent reporting that will not be silenced. With more individuals like you supporting this public service, we can continue to provide essential coverage for Southern Californians that you can’t find anywhere else. Become a monthly member today to help sustain this mission.
Thank you for your generous support and belief in the value of independent news.
But the game has changed: Congress voted to eliminate funding for public media across the country. Here at LAist that means a loss of $1.7 million in our budget every year. We want to assure you that despite growing threats to free press and free speech, LAist will remain a voice you know and trust. Speaking frankly, the amount of reader support we receive will help determine how strong of a newsroom we are going forward to cover the important news in our community.
We’re asking you to stand up for independent reporting that will not be silenced. With more individuals like you supporting this public service, we can continue to provide essential coverage for Southern Californians that you can’t find anywhere else. Become a monthly member today to help sustain this mission.
Thank you for your generous support and belief in the value of independent news.
Senior Vice President News, Editor in Chief
