As expected, the Monrovia City Council has adopted a resolution to call for a special election this November to allow the community to consider the Keep Monrovia Revenue Local Sales and Use Tax Proposal, also known as Measure K.
The city has spent moths considering the measure. According to the most recent City Manager’s Update, “The genesis of this idea was borne from the propensity of LA County to continue gaining approval for local sales tax rate increases, which have placed Monrovia on the precipice of hitting the State maximum rate of 10.25%.” Currently, LA County is looking to go back to voters to ask for additional sales tax increases in 2020 and 2022 and the city would like to keep any revenue arising from that 0.75% tax increase to stay in the city.
If approved by voters, Measure K would generate an estimated $4.5 million per year in additional sales tax revenue for the city. In May city staff outlined a proposed spending plan based on looming future fiscal threats, and to fund aspirational local priority projects that have been put on hold due to lack of funding. The key priority funding areas include:
- Fund an upgrade to the City’s Community Center.
- Achieve an AAA Credit Rating.
- Give money back to residents by lowering the monthly municipal services bill.
- Invest in capital upgrades, including parks, facilities and infrastructure.
- Set a fixed amount of money aside for community priorities, such as affordable housing, community based organizations, and schools.
According to the city, the proposed sales tax increase would cost consumers an additional 2 cents for a cup of coffee costing $2.49 or, to put it another way, an additional 38 cents for a $50 trip to the store.
The City Manager’s Office will continue to reach out to various community groups to gather additional feedback, and as the spending plan continues to develop, staff will keep everyone apprised of any new information over the coming months.
Voters will get their say on Measure K on Nov. 5, 2019.