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Shafter council places 1% sales-tax measure on November ballot to shore up city finances
Summary
After a detailed forecast showing multi-year deficits, the Shafter City Council voted unanimously to place a 1% general transactions and use tax measure on the Nov. 3, 2026 ballot. Finance Director Roger Sanchez told the council the measure would avoid drawing reserves and help maintain services.
The Shafter City Council voted unanimously to place a 1% general transactions and use tax measure on the Nov. 3, 2026 ballot, after Finance Director Roger Sanchez warned the city faces multi-year deficits driven by inflation, rising construction costs and growth.
Sanchez told the council the city’s five- and 10-year forecasts show operating expenses will outpace revenues unless the city adds revenue: "If the voters were to approve and if the council were to authorize this ballot measure, then we would be in a positive" position, he said. He illustrated the household impact with an example: "The impact on this $500 shopping is a dollar 86¢."
Council members pressed staff on who would carry the burden and the measure’s likely effects. Several members, while reluctant to ask residents to consider a tax increase, said they preferred letting voters decide rather than risk cutting services. "I don't wanna see us in a reduced service level," the Mayor (presiding) said during the discussion.
The presentation highlighted a key revenue dynamic for Shafter: roughly 80% of its sales tax revenue derives from industrial purchases and large equipment buys, not from routine grocery purchases, staff said. City staff also noted the city's relative disadvantage within Kern County for property-tax allocations and said a local sales tax would help the city maintain staffing and match grant-funded projects.
Council member Prout moved and Mayor Pro Tem Olvera seconded the motion to adopt three resolutions (3103–3105) to place the measure on the ballot, request consolidation with the county election, and set procedures and deadlines for ballot arguments and rebuttals. A roll call vote recorded unanimous approval.
The council did not set campaign language or an implementation plan; if voters approve the measure in November, the city said it would use the additional revenue to stabilize general fund services and improve the city’s financial position over the coming five to ten years. If voters reject the measure, staff warned the council would need to revisit spending priorities and possible service reductions.
Next steps include consolidation with Kern County’s election calendar and administrative deadlines for filing direct and rebuttal arguments under the adopted procedures.
