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Oakland voters to choose new mayor, decide on controversial sales tax hike

Oakland voters to decide on increasing sale taxes in special election
Oakland voters to decide on increasing sale taxes in special election 02:49

On Tuesday, Oakland voters will head to the polls to elect a new mayor following a recent recall — but the high-stakes mayoral race isn't the only item on the special election ballot.

Voters will also decide the fate of Measure A, a proposed half-cent sales tax increase that city officials said is essential to address a financial crisis. If approved, the city's sales tax would rise from 10.25% to 10.75%, making it the highest in the state — a level already matched by neighboring cities like Alameda, Hayward, and San Leandro.

City leaders estimate the tax hike would generate approximately $30 million annually for Oakland's general fund, helping to close a projected $140 million budget deficit for the next fiscal year.

Given the city's dire financial outlook, some residents feel they have little choice but to vote in favor of the tax.

"We have 20 people in the store right now. It's great," said Henry Wimmer, owner of Open Mind Music in the Rockridge District.

However, Wimmer also expressed concern that a higher sales tax could negatively impact his business. 

"I think that can have some weight. And that can mean maybe a customer doesn't come back as frequently or maybe they don't buy as much or as often," he said.

Longtime Oakland resident Al Flor already cast his vote in favor of Measure A, driven by personal experience with slow emergency response times.

"I voted yes because I think that we need more money to pay for valuable services here in town," said Flor, who recalled waiting nearly 40 minutes to reach a 911 dispatcher during a burglary in progress. "I feel like we need to do it. No one likes to do it. No one likes to pay more in sales taxes. But the alternative is pretty bleak."

But not everyone agrees. Critics argued that Oakland already imposes some of the highest taxes in the region, yet fails to provide consistent basic services. They said the city should focus on improving how it manages the money it already has.

"I'm going to vote no. I believe the sales tax is way too high as it is," said voter Sarah Marth. 

She worried the increase would disproportionately impact low-income residents and could drive shoppers elsewhere. 

"When I want to buy a car or a larger purchase, I would avoid having [to do so] in this higher tax climate," she added.

Back at Open Mind Music, Wimmer remained focused on the broader impact on small businesses and the local economy. He said he understands the city's financial needs and is ready to adapt based on the outcome of Tuesday's vote.

"We need more success, and hopefully, the arrow points up through these difficult times.  Hopefully, we can all come together," Wimmer said.

If passed, Measure A would remain in effect for 10 years, with proceeds intended to support essential city services amid continued budgetary shortfalls.

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