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Calabasas council declares fiscal emergency, sets May mail ballot for 1% sales tax to keep revenue local
Summary
The Calabasas City Council unanimously declared a fiscal emergency and voted to place a 1% transactions-and-use tax on a May 5, 2026 all‑mail ballot, citing a projected structural deficit, declining reserves and more than $23 million in unfunded capital needs; the measure would be audited and overseen by a citizens advisory committee.
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The Calabasas City Council on Feb. 5 declared a fiscal emergency and voted to place a 1% transactions-and-use tax on an all‑mail special election ballot on May 5, 2026, saying the tax would keep an estimated $5.3 million a year in local control rather than diverting it to county programs.
City Manager Kendan Meek told the council the measure is time-sensitive after a recent county proposal for a half‑cent countywide sales tax. Meek said Calabasas currently sends roughly $3 million a year to the county under Measure A and that a local 1% tax could return about $5.3 million annually to the city for general governmental purposes. "If we do not act first then the county or another agency could claim that capacity," Meek said.
Pam, a staff presenter, outlined the four actions on the agenda: declare a fiscal emergency (a procedural prerequisite under Article XIII C, section 2(b) of the California Constitution), call a special all‑mail election, place the proposed 1% tax on the ballot, and direct staff to take procedural election steps. She said staff projects a structural deficit that would deplete reserves within five to six years absent new revenue and cited more than $23 million in unfunded capital obligations.
Public commenters were split but many urged keeping revenues local and creating transparent oversight. Brian Cameron, a longtime resident and public-safety commissioner, urged a yes vote and framed the cost in household terms, saying the resident share equates to about $22.61 per household per month. "This is for a city that needs the additional funds for some of the critical programs that we've adopted," Cameron said. By contrast, Michael Harrison, a planning commissioner, expressed concern about spending and staffing levels and urged the council to pair new revenue with stronger fiscal accountability.
City Attorney Anita Luck explained ballot timing and legal priorities, telling the council the city could not be preempted by the county if it files and calls the election first. Staff also confirmed the proposed measure includes independent audits, public reporting and creation of a citizens advisory committee to review expenditures if voters approve the tax.
On roll call the council unanimously approved Resolution No. 2026‑1994 declaring a fiscal emergency. The body then adopted Resolution No. 2026‑1995 to call the May 5, 2026 all‑mail special election to submit the 1% transactions‑and‑use tax measure to voters; that vote met the four‑fifths requirement. Council members then introduced Ordinance No. 2026‑422 (waiving full reading) to impose the tax if approved by voters and authorized the mayor to file the official pro‑argument and signers for ballot materials.
Council members who spoke in favor emphasized public safety, emergency preparedness and preserving local control of revenue. Several speakers and members asked for — and staff agreed to include — a citizens oversight advisory committee in ordinance language and for corrections to a minor typo spotted in the draft ballot text.
The meeting closed after staff confirmed all required procedural steps had been taken and that certified documents would be delivered to the county; the council adjourned at about 5:25 p.m. The measure, if approved by a majority of voters, will be implemented following state review and administration by the California Department of Tax and Fee Administration, with implementation anticipated in the quarter after approval.

