Ten California cities had sales tax measures on the ballot on November 5th and nine of them passed by significant margins. Only Modesto’s tax measure was voted down and I’m here to tell you how a bit about how it happened.
The campaign for Measure X, a one percent sales tax increase tied to a non binding city council resolution calling for the bulk of the new revenue to be spent on police and fire, was spearheaded by Mayor Garrad Marsh and funded almost entirely by the public safety unions. Being a general tax increase with a caveat, similar to a measure in neighboring Stockton, Measure X required a simple majority to pass.
With Modesto’s finances in a $6 to $11 million dollar hole depending on who you asked and, like most municipalities, facing crippling pension costs, the mayor and city council tossed the measure together late last summer and got it on the ballot. Police and fire unions began pouring money into a campaign to pass the measure and, by early September, no organized opposition had formed.
Knowing a bit about Modesto’s finances as I do, something had to be done. With little time to organize a campaign I turned to the Stanislaus Taxpayers Association and their President, Dave Thomas. Dave and I quickly formed a plan to fight the measure with whatever means we could muster. We were against quite a juggernaut, facing both the City of the Modesto and the public safety unions who had already raised over $100,000 and pledged at least $50,000 more.
Early on we were confronted with all the things a tax-hungry city will do to influence a municipal election that promised a waterfall of newfound cash. In the spring the city had commissioned a $35,000 survey to gage support for the measure, a push poll that unsurprisingly showed overwhelming support. The survey was later handed gratis to the Yes on X campaign who proceeded to hire the same consultant who took the poll. When the Taxpayer’s Association asked for a copy of the publically funded poll they were told to take a hike. The city later relented under pressure but have yet to charge the Yes side for the poll. Later, the City of Modesto stuffed pro Measure X propaganda into the city water and garbage bills.