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Oakland officials briefed on Orange County plan for potential transportation/infrastructure surtax
Summary
Town staff updated the commission about Orange County talks to revisit a countywide transportation or infrastructure surtax, describing two surtax models, an estimated revenue scenario and a county timeline that could lead to a November ballot measure if the county commission votes to proceed.
Town staff told the Town Commission that Orange County has restarted conversations about a countywide surtax to fund transportation and infrastructure, and that the county is weighing two models: a transportation system surtax (which can be used for capital, operations and maintenance of transportation projects) and a local government infrastructure surtax (which cannot fund operations but can fund parks, stormwater, land acquisition and related infrastructure).
The presenter said the county estimates an annual revenue scenario of about $757,000,000 under one modeled option and emphasized that jurisdictions are not guaranteed an allocation; "there is no requirement for [the county] to share the funds with the city," the presenter said. The presenter also reminded commissioners of the 2022 referendum, which failed (58% opposed, 42% in favor), and explained that distribution concerns that surfaced then—examples cited included 45% to county, 45% to transit and only 10% to cities in one earlier model—remain a material point of discussion.
Staff described recent outreach the county has done, including peer briefings with other counties and a market-research effort by a firm identified in the presentation as Great Blue. According to staff, Great Blue ran surveys and focus groups across districts to test priorities such as roadways, transit options, stormwater and other infrastructure needs. Staff said the county plans key decision points this winter: a Board of County Commissioners discussion in mid-December, more community engagement through February, a March 24 public hearing to decide whether to move forward, and, if the county approves placement on the ballot, an effective surtax date of Jan. 1, 2027.
Commissioners raised timing and fairness concerns for smaller municipalities. One commissioner noted Oakland’s small population relative to other jurisdictions and asked whether the city’s share would be meaningful; staff replied that local shares are calculated in part by population and that, under prior models, Oakland’s share could have been comparatively small. Staff urged caution that the county-level process—and any final distribution formula—remains under the county commission’s control and that the town may have limited leverage over allocations.
The presentation did not propose a town position; commissioners were given the overview for informational purposes and told staff would return with any updates as the county process advances.
