Folsom Sales Tax Increase to be Decided by Voters this Fall

Over 8,000 Folsomites Signed to Get the Measure on the Ballot

Folsom Takes Action, the citizen’s initiative which would see a Folsom sales tax increase of 1%, has qualified for the November ballot, and will be decided on by the voters.

The initiative was spearheaded by a group of Folsom residents aiming to address the city’s projected budget shortfalls and fund improvements in several key areas. If approved, the measure could generate up to $29 million annually, going directly toward public safety, traffic management, park and trail maintenance, and economic development.

The group points out that the City laid off dozens of staff and cut budgets during the last recession, and has held the line as much as possible. As a result, the city has 9 fewer police officers than they did in 2008, while the population has increased by about 12,000. The condition of city parks and trails has noticeably deteriorated, and there is no money for much needed infrastructure projects.

Folsom Tax Rates Among Region’s Lowest

At 7.75%, Folsom has boasted as having one of the lowest tax rates in Sacramento County, and the 1% increase would bring it up to the level of Sacramento, Rancho Cordova, and Elk Grove. Meanwhile, sales tax revenues are declining due to online shopping, where the money is managed by the state. Revenue raised by the tax increase would stay in Folsom. .

Local business owner Jim Snook said, “The City can’t cut its way out of this issue and much of the escalating cost of running a City and declining revenue are out of its control. This is the best solution.”

Committee to Monitor Spending

If approved, a citizen oversight committee would monitor how the tax revenue is spent, ensuring transparency and accountability. Additionally, proponents highlight that up to 40% of the generated revenue would come from visitors, lessening the burden on Folsom residents.

The City Council initially considered a similar sales tax increase but ultimately endorsed the citizen-led initiative. With enough signatures collected, the proposal will appear on the November ballot. Residents will have the chance to decide if they support the tax increase to fund Folsom’s future growth.

For more information, check out Folsom Takes Action