The Mendocino County Board of Supervisors on Tuesday will consider withdrawing from a tax-sharing agreement with the cities of Ukiah, Willits, Fort Bragg, and Point Arena, citing concerns over a recently proposed annexation by the city of Ukiah. The annexation would nearly triple the size of Ukiah while potentially threatening core public services in the county.
Ross Liberty, founder and owner of Factory Pipe, said, “The loss of revenue will make the county not viable.” Ukiah city officials must know this, he added, “but they don’t care.” Liberty is a member of the No Ukiah Annexation Group.
County residents are invited to attend the meeting in person, via Zoom, or submit public comment online on agenda item 4f.
Residents who live in the areas targeted for annexation have consistently expressed opposition to the proposal.
Chamise Cubbison, the auditor-controller/treasurer-tax collector, has also testified that the annexation would increase the workload of her department, which is already stretched thin.
The tax-sharing agreement, known as the Master Tax Sharing Agreement (MTSA), was adopted in June 2024. The proposed annexation would be the first to take place under the new agreement.
According to a resolution scheduled for a vote on June 24, “the projected loss of property tax revenue under the MTSA’s formula, coupled with the magnitude of work needed to process and evaluate the annexation, threaten the County’s ability to maintain adequate staffing for core public safety services including the Sheriff’s Office, which is essential to fulfill the County’s constitutional and statutory obligations to provide for the public welfare.”
Sales tax revenue collected from some of the top sales tax producers in the county would also be transferred to the city of Ukiah, which would levy an additional tax—making these businesses less profitable, less competitive, or both.
The resolution states that “the County believes the purpose of the MTSA—namely, equitable, coordinated service delivery across jurisdictions—is jeopardized by the first annexation’s disproportionate financial impact.”
It further asserts that “the County desires to formally terminate the MTSA to preserve its fiscal integrity and ensure it can continue to fulfill mandated public service responsibilities.”
Supervisors will vote on the resolution after hearing public comment.
