Elk Grove City Council to consider placing one-percent local sales tax increase on November ballot

 : UPDATED 8:30 a.m. |  Following up on an extensive ongoing public relations campaign with the Cosumnes Community Services District, the El...


 :

UPDATED 8:30 a.m. | 

Following up on an extensive ongoing public relations campaign with the Cosumnes Community Services District, the Elk Grove City Council will consider placing a one-percent sales tax increase measure on this November's ballot. The discussion will happen at this Wednesday's Elk Grove City Council meeting. 


According to the staff report released on Friday, to have the measure placed on the November ballot, it needs approval from four of the five city council members. If a simple majority of voters approves the measure, it is expected collection of the new tax will start in April 2023.

The taxpayer-funded public relations and companion public polling campaign said about 63 percent of respondents would support, to some degree, the higher sales tax. Elk Grove and the CCSD have positioned the tax hike necessary to address the city's growing homeless population and ensure ongoing public safety.   

Sales taxes on Elk Grove purchases are currently 7.75-percent. If the local measure and another one-half percent countywide tax measure, also on the November ballot, which is expected to be approved by voters, Elk Grove purchases would be taxed at 9.25-percent.

According to Kelly Blue Book, the average new car price is $47,000. The two new taxes would add $705 to the cost of that vehicle, and the total sales tax burden before registration costs for Elk Grove residents will be $4,347.50.

New car sales at the Elk Grove Auto Mall are one of the city's largest sources of tax revenue. California vehicle sales taxes are paid based on the purchasers' residency, not the point of sale.
 
The staff report says the news tax would generated about $21.3 million annually. Wednesday's meeting starts at 6 p.m.

The story was updated to reflect the estimated annual new revenue generated by the proposed tax increase. 
 
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4 comments

Capt. Benjamin Willard said...

Given this would not be on the agenda without four affirmative city council votes, either Mr, Hume or Mr. Spease have gone to the dark side, from their political perspective. They are now tax and spend liberals.

You can't help but wonder how much money will be earmarked for Madame Mayor Singh-Allen's zoo?

D.J. Blutarsky said...

I don't know about you, but I will gladly support a higher sales tax to help pay a portion of the annual operating cost of the Elk Grove Zoo! The way I see it, the prestige of living in Elk Grove with a zoo will immensely improve my quality and life and just think about how my home property value will shoot up. Zillow is gonna have to update their website listing practically every day! Besides, when I travel around the country and people ask me where I'm from, they will say "wow, you live in Elk Grove where the zoo is at!".

Atticus Finch said...

It's disgusting and despicable that our elected officials have their dirty hands out and want more money from their constituents. Newsflash - They can't even manage the money they have now responsibly. They don't even read the staff reports. The sad part is, voters can easily reject their malfeasance tendencies and simply vote NO for tax increases. If you are happy with the way things are now in Elk Grove, then you'll vote to re-elect BSA and the clown show we call our city council. If you are unhappy with how this city is performing, then at the very least, vote NO on new taxes!

Josie said...

Atticus Finch..."I'll second that"

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