Next victim of Jerry Brown/Democrats: Santa Barbara?

The local leaders of Santa Barbara really love Bernie Sanders and the Socialist Left.  This is a town with among the highest tax rates, cost of living, housing costs and environmental rules forcing business people to raise prices.  It is also, as is Sanders, anti-free market—they have just about killed the AIRBNB market in town—and along with it revenues and tourists coming to town.  Maybe the anti-AIRBNB policy also caused fewer tourists to come to town and with that the lower sales tax revenues?

“Santa Barbara received approximately $5.4 million in sales tax revenues during the quarter ended June 30, 2017, a 2.7% decrease over the same quarter last year. Since sales tax revenues are received quarterly from the State, and one quarter in arrears, the City receives the 4th quarter results for each fiscal year in September, which also marks the final sales tax payment for fiscal year 2017.

Approximately $21.4 million in sales taxes were received in fiscal year 2017, a decrease of about $97,000 from the prior year and below the adopted budget of $22,381,000.”

The anti-AIRBNB policy of many cities are going to harm the tourists trade, sales tax revenues and the economic health of communities.  The environmental radicalism will finish the job, killing off cities when CalPERS double the mandatory contributions.

Tax

Declining Growth in Santa Barbara’s Sales and Transient Occupancy Taxes

Edhat, 9/29/17

Sales Tax Results for the Quarter Ended June 30, 2017

Santa Barbara received approximately $5.4 million in sales tax revenues during the quarter ended June 30, 2017, a 2.7% decrease over the same quarter last year. Since sales tax revenues are received quarterly from the State, and one quarter in arrears, the City receives the 4th quarter results for each fiscal year in September, which also marks the final sales tax payment for fiscal year 2017.

Approximately $21.4 million in sales taxes were received in fiscal year 2017, a decrease of about $97,000 from the prior year and below the adopted budget of $22,381,000.

For additional information on recent sales tax results, click here.

Transient Occupancy Tax Down in August

The City of Santa Barbara collected approximately $2.14 million in Transient Occupancy Taxes (TOT) for the month of August 2017, which represents a 6.0% decrease compared to August 2016. TOT collected from hotels decreased 0.5% and short-term rentals experienced a decline of 75%. Since short-term rentals constitute a relatively small portion of overall TOT, the large decline in this sector does not have a corresponding impact on overall TOT growth. This anticipated decline in TOT from vacation rentals is the result of the City’s efforts, beginning in fiscal year 2017, to enforce existing zoning ordinances prohibiting vacation rentals in certain zoning districts.

The City has collected approximately $4.5 million through two months of this fiscal year, which runs from July 1through June 30.  The City’s adopted TOT budget is $19,262,400.

The Transient Occupancy Tax table can be viewed here.

 

About Stephen Frank

Stephen Frank is the publisher and editor of California Political News and Views. He speaks all over California and appears as a guest on several radio shows each week. He has also served as a guest host on radio talk shows. He is a fulltime political consultant.