SHAFTER, Calif. (KERO) — The city of Shafter is considering a sales tax increase that would cost residents an estimated $1 per day per household, with the additional revenue being reinvested into city services and infrastructure improvements.
City officials presented the proposal during a special city council meeting Tuesday night, emphasizing that while the city's current financial position is stable, additional revenue will be needed to maintain services and fund future capital projects.
"Going forward, that's the shaded green on the right side. And as you can see, once we add the capital projects, we can kind of see that there's a deficiency going towards the future," City Finance Director Roger Sanchez said.
The city is exploring two funding options to prevent future budget shortfalls: a sales tax increase and a community facilities district. A community facilities district is a special tax voted on by community members within a specific area, with those tax dollars going directly toward residents in that area.
The city estimates the sales tax increase would generate approximately $4 million annually, while the community facilities district would bring in about $280,000 per year.
City staff indicated the sales tax increase is more likely to address the city's future financial needs because it can begin generating revenue immediately and doesn't place the entire tax burden solely on residents.
"If we add that, you're going to see an increase based on our annual rate of 280,000 per year, increasing that fund, which will take more than 10 years to even produce half of what the sales tax is, and it's 100% on our residents," City Manager Lance Lippincott said.
According to the presentation, Shafter is currently the only city in Kern County operating at the standard sales tax rate of 7.25%.
City staff and council members declined to comment on the meeting. Local business owners and residents also declined to speak on camera about the potential sales tax increase.
The city plans to conduct additional outreach and research on the issue. If officials decide to move forward with the proposal, Shafter residents would make the final decision when they receive their ballots in November.
This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
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