If Voter Approved, Contra Costa Sales Tax Measure Now Legal

LEGISLATIVE COUNSEL’S DIGEST

MEASURE B: CONTRA COSTA COUNTY

To help Contra Costa County address cuts in federal funding; support local services such as health care, supplemental food assistance, and other general county services; shall Contra Costa County adopt a five-eighths of one cent (0.625%) temporary general sales tax for 5 years, providing an estimated $150,000,000 annually, and subject to annual audits?

COUNTY COUNSEL’S IMPARTIAL ANALYSIS OF MEASURE B

The Contra Costa County Board of Supervisors has proposed a measure asking voters to approve a countywide retail transactions and use tax – a sales tax – of five-eighths of one percent (0.625%) to be used for general governmental purposes of Contra Costa County. The sales tax would be collected for five years.

Contra Costa County anticipates that this sales tax could generate approximately $150 million annually. Sales tax proceeds would be deposited into Contra Costa County’s general fund, and the Board of Supervisors would determine how to use the funds. The ballot measure states that the purpose of the proposed tax is “[t]o help Contra Costa County address deep cuts in federal funding” and indicates that sales tax revenue could be used for health care, supplemental food assistance, and other general county services. This measure does not restrict the use of sales tax revenue to these or any other specific governmental purposes.

The sales tax proposed by this measure will be collected on the gross receipts of sales of personal property in unincorporated Contra Costa County, and in incorporated cities within the county. The sales tax will not be collected on the sale of food or on other transactions that are exempt from the sales tax under state law.

This Contra Costa County sales tax would be levied in addition to the current Contra Costa County sales tax of one-half of one percent (0.5%) that expires in 2041.

This tax is a general tax, which requires approval of a majority of voters voting on the measure. In order for this tax to be collected, this measure must be approved by voters and legislation must be enacted to exempt this tax from the sales tax cap under Revenue and Taxation Code section 7251.1.

The measure requires the Board of Supervisors to appoint a fiscal oversight committee of at least five members to review and report on revenues and expenditures of sales tax revenues. Additionally, the measure requires the County’s auditors to annually report on the collection, management, and expenditure of tax revenues.

A “yes” vote is a vote in favor of authorizing this 0.625% sales tax within the County for five years.

A “no” vote is a vote against authorizing this 0.625% sales tax.

The above statement is an impartial analysis of Measure B. If you desire a copy of the measure, please call the Clerk of the Board of Supervisors at (925) 655-2000, or email the Clerk of the Board of Supervisors at [email protected], and a copy will be mailed at no cost to you. You may also access the full text of the measure on the county Web site at the following Web site address: https://www.contracosta.ca.gov/129/Clerk-of-the-Board.

More info: https://www.contracostavote.gov/m9010-en/