Santa Maria facing $21 million budget deficit

October 4, 2024

By KAREN VELIE

With costs outpacing revenues, Santa Maria is struggling with a $21 million budget deficit. The city is considering raising taxes and cutting expenditures.

The primary cost driver is increased salary and benefits for city staff, according to a staff report. At the same time, both sales tax and occupancy tax revenues are under performing budget expectations.

The city is considering several fee and tax raising options to increase revenue, including raising the sales tax by a half cent, raising the transient occupancy tax from 10% to 14%, raising taxes on businesses and allowing pot shops in order to enact a cannabis tax.

As an alternative to raising taxes and fees, Santa Maria is contemplating ordering city staff to cut costs.

City staff presented the options to the Santa Maria City Council during its Oct. 1 meeting. The council directed staff to continue analyzing the options with direction to bring their suggestions back to the council in Feb. 2025.

 


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Gee whiz what a surprise incompetent politicians over spending tax payers money. These intelligent people also vote to give theirselves raises to over inflate the budget without a care in the world.


If they don’t waste it, they can’t ask for more (taxes). My parents didn’t open up my bedroom door and just throw more money at my mess. They told me to clean up my act. Stop voting these wasteful people into office.


And Alice Patino is seeking yet another term as mayor. Vote her out, Santa Marians!


So the occupancy revenue is down and the solution is to raise it by 40%?

How about answering the question of why anyone would stay with in Santa Maria? Not exactly a Mecca for tourists.