The proposed tax will increase the price of consumer goods. Businesses must pay more for the products they buy, including machinery, office furnishings and computer equipment. The higher cost of doing business translates into higher prices for new products.
Increasing sales taxes is bad for businesses because the added tax burden results in consumers having less disposable income resulting in fewer goods purchased.
Twenty percent of the population of Tehama County is at or below poverty level. That’s one in five. This regressive tax would unnecessarily burden low-income citizens while benefiting the highest-income citizens, especially because the proposal does not yield any additional revenue for public programs.
In 2019 the Tehama County Board of Supervisors agreed to a quarter-cent sales tax increase to address an estimated $1.9 million shortfall in operations costs for the Tehama County Jail following expansion. This would have required a 2/3 majority voter approval in an election.
Seeing the writing on the wall that a 2/3 majority would most likely fail, the Board has decided to throw in the kitchen sink of county shortfalls to validate a simple majority election.
The projected revenue on this tax will be approximately $7.9 million annually, far exceeding the County deficit. The Board is already thinking about ways to spend the excess revenue.
The Tax Measure is a blatant attempt by local government officials to circumvent the two-thirds vote requirement for special taxes and the state accountability laws designed to ensure that taxes imposed for specific purposes are spent as intended.
This tax will be levied on sales within the Cities of Red Bluff, Corning and Tehama, but they will not benefit from them.
Vote NO on G!