Editorial: La Habra City Council Wins Tax Hike Vote, Slams Critics, Starts Spending Unrealized Revenues

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By:OC Independent Editorial

As OC Independent has previously reported, the La Habra City Council unanimously placed a sales tax increase on the November ballot. As is often the case, the “Yes” side was generously funded by city employees and city vendors. For example, the trash hauler contributed $5,000, the streetsweeper gave $2,000, and the city’s lobbyist gave $2,500. All told, the “Yes” side raised over $70,000, with the “No” side spending almost nothing. The tax increase, called Measure V, was approved by the voters.

If you thought the City Councilmembers would be gracious in victory, you would be mistaken. Councilman James Gomez lashed into the La Habra Chamber of Commerce for opposing Measure V by saying “Despite the efforts of the chamber of commerce trying to defund our police department and public safety, I want to thank our public who voted for it…I thank you for seeing through the fact the chamber tried to derail it…they are so out of touch…they have lost heart for this community.”

As far as we can tell, the chamber’s entire effort to oppose Measure V consisted of making a Facebook post opposing the measure. Not exactly a world-class campaign. Having said that, the chamber was doing what a chamber should be doing: advocating for the businesses of their community. With a higher sales tax in La Habra than in neighboring cities such as Fullerton or Brea, La Habra’s businesses are naturally in a less competitive situation.

Councilman Gomez suggests opposing Measure V meant you were in favor of “defunding the police”. We beg to differ. The only reason funding for the police was in jeopardy was because the council had prioritized other spending, giving the police what was left over. How about prioritizing the police first, other departments get what is left? To prove the point, note that nothing has changed with the city’s tax structure since 2008. Why is it they suddenly can’t afford to fund the police? They clearly had other priorities.

To take this from the ridiculous to the laughable, moments before this tirade against the chamber of commerce the City Council had unanimously spent $850,000 of general fund money buying a house. This item was on the consent calendar, with no comment from the council or the public. Not exactly a picture of transparency. The stated reason the house was purchased is to evict the residents, plow the house over, and make the lot available for parking. The staff report does not state how much parking this will create, but a simple glance at a map shows it won’t be much.

Furthermore, the house was appraised by the city at $800,000 – but the City Council is paying $850,000, which is $50,000 more than its appraised value. Can anyone say “gift of public funds”?

After he was finished unfairly attacking the chamber of commerce, Councilman Gomez asked that the next meeting include an item to have the council immediately start spending their newfound fortune from the tax increase. His wish has been granted: at the December 2nd council meeting the staff has an item to add $770,246 in spending. The staff report reads they can spend this money “based on the additional new revenue expected in the last quarter of the current fiscal year.” In other words, money they haven’t even collected yet, but think they will because of the higher tax.

Rushing to spend money they don’t even have yet is a window into the thinking of this council, and the reason they got themselves into such a predicament in the first place.

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The OC Independent is dedicated to providing factual, informative reporting on Orange County government, politics, education and quality of life issues such as homelessness and access to housing. We seek to illuminate aspects of issues, movements and trends that receive little or no attention from more established, mainstream outlets. Our editorial philosophy is grounded in the principles of the American Founding: limited government, federalism, the separation of powers and equality before the law as indispensable to securing our liberties. The opinions and stances articulated in OC Independent editorials flow from those principles, and are grounded in facts.