Skip to content

L.A. County wants a healthcare sales tax. Cities are in revolt

It’s one thing most everyone agrees on: federal funding cuts have left the Los Angeles County health system teetering toward financial collapse.

But the supervisors’ chosen antidote — a half-cent sales tax to replenish county coffers — is being condemned by a slew of cities as its own form of financial catastrophe.

“I heard from every city in my district,” said Kathryn Barger, the only supervisor who voted against putting the sales tax on the June ballot.

The resounding reaction? “Absolutely not,” she says.

“People are fatigued,” Barger said. “I’m not convinced that it’s going to pass.”

Sign up to make sense of the often unexplained world of L.A. politics.

By continuing, you agree to our Terms of Service and our Privacy Policy.

Observers wouldn’t have sensed that fatigue from the rowdy crowd of supporters that filled the board meeting Tuesday, along with seldom-used overflow rooms. The supervisors voted 4-1 at the meeting to put the tax on the ballot.

“There really are no other viable and timely options,” said Supervisor Holly Mitchell, who introduced the measure along with Supervisor Hilda Solis. “Trust me, I looked high and low.”

The goal, supervisors say, is to generate $1 billion per year to backfill the dwindling budgets of local hospitals and clinics battered by federal funding cuts.

The county’s already bracing for impact. The Department of Public Health announced Friday it would shutter seven clinics. Officials say it’s just the beginning, with the county poised to lose more than $2 billion in funding for health services over the next three years. Hospitals could be down the road, they warn.

But many cities, some of which could have local sales tax hit more than 11%, are revolting on the plan.

“I have been getting calls and texts and letters like honestly I have not gotten in a long time,” Supervisor Janice Hahn told the audience as a message from Jeff Wood — the vice mayor of Lakewood — pinged on her phone. “They are really diving in on this one.”

In a series of opposition letters, the cities unleashed a torrent of criticism. Norwalk called the tax “rushed.” Palmdale said it had “significant flaws.” Glendale found it “deeply troubling and fundamentally unfair.”

Some bristled at the cost to consumers. Palmdale and Lancaster — some of the poorest cities in the county — could wind up with some of the highest sales tax rates in the state if the measure passes.

Some cities say the bigger issue is they don’t trust the county. They point to its checkered history of pushing ballot measures that don’t live up to their promises.

Measure B, a special parcel tax, was passed in 2002 to fund the county’s trauma center network. An audit more than a decade later found the county couldn’t prove it used the money for emergency medical services.

Measure H, the homelessness services tax measure, was passed in 2017 as a temporary tax. Voters agreed in 2024 to make the tax permanent and to double the rate — though some cities insist they’ve never gotten their fair share of the funds.

“It’s a historical issue,” said Glendora mayor David Fredendall, whose city opposes the sales tax. “We don’t trust it.”

The county decided to put the sales tax on the ballot as a general tax, meaning the money goes into the general fund. Legally, supervisors could use the money for whatever services they desire.

“They say ‘No, this is our plan’, but we’re going to expand from five to nine supervisors over the next few years before this tax expires,” said Marcel Rodarte, the head of the California Contract Cities Assn., a coalition of cities inside the county. “They may say we need to use these funds for something else.”

A general tax also is easier to pass, since it needs only a majority vote. Special taxes — levies earmarked for a specific purpose — need two-thirds of the vote.

The measure also asks voters to approve the creation of an oversight group that would monitor where the money goes. The supervisors also voted on a spending plan for the tax money, which would dedicate the largest portion of funds for uninsured residents over the next five years.

Some opponents predict the tax will stick around longer than advertised.

“A temporary tax is like Bigfoot,” said Jon Coupal, president of the Howard Jarvis Taxpayers Assn., a group that advocates for lower taxes. “It exists in fantasy.”

FRIENDLY FIRE: Three hours before the filing deadline, L.A. City Councilmember Nithya Raman jumped into the race for mayor, challenging her former ally Karen Bass. Her candidacy will be Bass’ most serious threat.

— DEFUND DETOUR: Shortly after, Raman staked out her position on cops, saying she doesn’t want the LAPD to lose more police. Raman called for department downsizing when she first ran for city council in 2020.

— LOYAL LABOR: The head of the AFL-CIO, the county’s powerful labor federation, blasted Raman as an “opportunist.” Federation president Yvonne Wheeler said her organization will “use every tool” at its disposal to get Bass reelected.

— PETITION PUSH: Scores of candidates for L.A. city offices picked up their petitions Feb. 7, launching their effort to collect the signatures they need to qualify for the ballot. The first to turn in a petition was Councilmember Traci Park, who is facing two challengers while running for reelection in a coastal district.

— EYES ON ICE: Los Angeles police officers must turn on their body cameras if they’re at the scene of federal immigration enforcement operations, according to a new executive directive issued by Bass. LAPD officers also must document the name and badge number of the agents’ on-scene supervisor.

— CONTESTING CLEANUPS: A federal judge ruled this week that the city of L.A. violated the constitutional rights of homeless people by seizing and destroying their personal property during encampment cleanups. Lawyers for the plaintiffs want U.S. District Judge Dale S. Fischer to issue an injunction requiring the city to give homeless people the opportunity to contest the seizure of their property.

— HOTEL HIKE: Voters in the June 2 election will be asked to hike the city’s tax on nightly hotel stays — increasing it to 16% from 14% — for the next three years. The tax would then drop to 15% in 2029.

— PAYDAY POLITICS: The county is considering a proposal that would remove supervisors’ final decision-making power in contract disputes involving sheriff’s deputies and firefighters. Supporters say it’ll take politics out of labor negotiations while opponents warn of bloated labor costs.

  • Where is Inside Safe? The mayor’s signature homelessness program went to Los Angeles City Council District 13, bringing 50 unhoused Angelenos indoors from an encampment.
  • On the docket next week: The county’s back to its marathon budget briefings. Tune in Tuesday for presentations from the sheriff, district attorney and probation department.

That’s it for this week! Send your questions, comments and gossip to LAontheRecord@latimes.com. Did a friend forward you this email? Sign up here to get it in your inbox every Saturday morning.

Read More

Leave a Reply

Your email address will not be published. Required fields are marked *