Voters in Fort Bragg and Point Arena will decide on proposed sales tax increases in November, as both cities grapple with the financial strain of rising costs and stagnant revenue.
Fort Bragg is asking voters to approve a 0.375% sales tax increase, which would bring the city's total sales tax to 9.25%. The city’s portion of the tax would rise to 2.375%. Meanwhile, Point Arena is proposing a 0.875% increase, also bringing its total sales tax to 9.25%. If approved, the city’s share of the tax would increase to 0.925%, up from the current 0.06%.
Point Arena Mayor Barbara Burkey emphasized the importance of the increase for the small coastal city, highlighting the financial challenges it faces.
“Small cities are facing really big challenges because we have to supply so many services to our citizens, and those services do not come cheap,” Burkey said. She pointed to rising costs for employee payroll, benefits, and even basic materials like paper goods for public restrooms.
Point Arena’s aging infrastructure is also a concern. The city recently received a $483,000 grant from the Coastal Conservancy to study the cost of replacing its pier. However, the grant requires the city to pay upfront for studies, permits, and consultants, leading to significant out-of-pocket expenses.
“Our wastewater treatment plant is an old facility that needs a lot of work, and the maintenance alone costs hundreds of thousands of dollars,” Burkey said, adding that the city is focused on building reserves for future repairs.
If approved, Point Arena’s tax increase is expected to generate about $90,000 annually, nearly 10% of the city’s annual budget of just under $1 million.
While local leaders support the measures, some business owners in Fort Bragg have expressed concerns. Vance Cooke, owner of Imaginations, voiced his opposition to Fort Bragg’s proposed tax increase.
“I don’t think it’s good. I think we pay enough taxes now and probably need to reallocate how they’re spent,” Cooke said.
Mia Braga, who works at Reynolds Men's Wear, also opposed the increase, citing the financial burden on local shoppers.
“I disagree with the measure because I don’t think our sales tax needs to be raised anymore,” Braga said. “Prices are already up, and it’s hard for locals to spend money locally.”
The vote comes as both cities work to address the challenges of inflation and rising costs.
