By allowing ads to appear on this site, you support the local businesses who, in turn, support great journalism.
Exploring tax measure is among goals
city manteca logo

Exploring a potential tax measure for voter consideration in 2024 is one of 180 items elected leaders have embraced as the work plan for City Manager Toni Lundgren and senior management.

The work plan presented to the Manteca City Council earlier this month reflects goals and priorities beyond the day-to-day running of municipal operations that elected leaders outlined in workshops and previous public meetings.

The goals given the heaviest emphasis — generating new revenue — are key to delivering on almost every other priority listed in the work plan given they almost all need an infusion of additional taxes to accomplish.

Other major sources of revenue identified to improve the city’s ability to provide services and amenities for a growing city are:

*Vetting and selection applicants for the city’s first three cannabis storefront retail operations that will provide “community benefit” funding for the city on top of sales tax revenue.

*Revising the property sharing agreement with San Joaquin County.

All property in the county pays property taxes but not specific city property taxes unless they are within that city.

When land is annexed to a city, the county is no longer responsible for providing a wide array of services from police and fire to street maintenance.

Currently, cities receive 20 percent of the county’s property tax from land that is being annexed.

The city is negotiating for a 40 percent cut, arguing that it is justified based on the grounds the city is now providing direct services to the property and not the county.

The current 80-20 split in most annexations provides a razor thin cushion for the city, if that, between taxes from a property and the cost for services they generate.

The 60-40 splits is designed to make sure the county has an adequate cash flow without starving the ability of cities financially when it comes to providing services to new residents.

The county benefits from development that an annexation generates given construction of new homes as it increases assessed values.

The county receives basically 22 percent of every dollar paid in basic taxes. That means development more than compensates the county especially when their costs go down as they are providing less services.

 

To contact Dennis Wyatt, email dwyatt@mantecabulletin.com