Measure G Myth Busters!!!

In response to many of the questions or mischaracterizations of Measure G, we hope you find our Myth Busters helpful. Sadly, we are in an era where it is easier to confuse or mispresent. Our goal has always been to speak the truth with facts.

Myth: Folsom does not have a revenue problem; the city has a spending problem.

Response: For more than a decade, the city has been actively cutting costs and stretching dollars to minimize cuts to public services. Hats off to them but the city has fewer employees today than it did in 2008. There are staffing shortages in nearly every department, and all departments are doing more with less, even as our population continues to grow. The city has cut costs, but it is not enough, and now we must make some tough decisions.

Since 2017, sales tax growth has languished and is projected to decrease over last year. Why? Buying habits have changed, principally due to online shopping. For online sales, the city receives a much smaller portion of the sales tax collected (approximately 25% on each dollar spent – a loss of 75%) than if the item was purchased in a Folsom store. Online shopping and increasing costs that we all experience, puts the city in a “structural deficit” where total needs within the city outstrip the available revenues to pay for essential services.

Additionally, just like a person’s home, regular maintenance must be performed on the city’s vast network of infrastructure to keep it safe and functional for its expected life. There are millions of dollars (estimated at $20 million annually) of unfunded or underfunded needs that the city has deferred, year after year, including streets, storm drain systems, parks and recreation facilities, and trails and open space.

We all enjoy the quality of life the City of Folsom has to offer, including high levels of public safety and great property values. Cutting services or levels of service is not an option. The city can raise revenue or cut more services and continue to defer maintenance of existing city facilities. We believe enhancing the quality of life is the answer, not further cuts.

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Myth: Measure G revenues will go directly into the city General Fund.

Response: No, Measure G is a special sales tax measure not a general tax. All revenue generated by Measure G will be deposited into the Folsom Residents Supporting Public Safety and Quality of Life Initiative Fund, separate and apart from the city’s General Fund. The Measure G revenues will be used solely for core essential services in Folsom including: 20% to police services; 20% to fire and emergency services; 15% to parks, trails and recreation facilities; 15% for street repairs, traffic congestion and repairs to aging stormwater systems; 15% to build long-range capital projects such as matching funds for freeway interchanges and parking garages; and 15% to implement robust economic development and community enhancement. Measure G requires an annual audit and oversight and expressly prohibits the use of Measure G revenues to supplant existing city budget expenditures.

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Myth: Measure G is a blank check, with no spending accountability or transparency.

Response: It is difficult to track the city budget process. Measure G, however, requires the city council to establish a nine-member Citizens’ Oversight Committee to ensure accountability, transparency, and consistency with Measure G requirements. The committee will include representatives from the city Finance Department, Police Department and Fire Department; one representative from a city recreational sports organization and one from a city parks and trails organization; one representative focused on streets and environmental stormwater; one representative from a business organization within the city; and two at-large members. Imagine residents, looking at revenue generated from Measure G, receiving input from the public at meetings open to all, making recommendations to city council on how funds should be spent and providing a report on Your Tax Dollars at Work.

The voters of Folsom elect the five city council members. Only the elected city council, and not the oversight committee, can appropriate Measure G funds but oversight provides a valuable tool to make sure our tax dollars are spent wisely.

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Myth: Measure G is a forever tax.

Response: Does anyone think that online shopping is going away? It is not, and this year local sales tax revenues were less than last year. If we want to keep police officers and firefighters employed, there must be a dependable revenue stream. If Measure G were to “sunset” (or terminate) then we are back to square one. How does a city hire police and firefighters but not have a secure way to pay them in the future?

If Measure G or the funding formula is not working down the road, Folsom residents, or the city council, could place a subsequent initiative on the ballot and let the voters decide whether to modify or repeal Measure G.

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Myth: Measure G will place more of a financial burden on seniors and lower-income residents.

Response: Many of the items our seniors and lower-income residents need, such as groceries, prescriptions, and healthcare, are not subject to a sales tax. Because these residents rely more heavily on city services daily, the consequences for them are much greater if those services are cut or eliminated. Some people in our community may have options when cuts are made but some of the most vulnerable do not. Measure G ensures that funding is available for ALL residents in Folsom.

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Myth: The structural deficit is $20 million but this measure will generate $29 million a year.

Response: The structural deficit means costs are going up for the SAME LEVEL OF SERVICE – existing services must be cut if there is no new revenue. Reducing the same level of service means fewer police officers than in 2008; no ambulance crew for south of 50; no funding for parks or trails; no matching grants for interchanges like Empire Ranch; no funds for revitalizing the Central Business District or the River District; and the list goes on. All these services and programs require NEW REVENUE. Without a new revenue stream, some minor work may be done but nothing to dramatically improve the quality of life here in Folsom.

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Myth: People will just shop elsewhere.

Response: People come to shop in Folsom for a reason. We have great retail stores, and it is a safe community. Shoppers are not going to forego buying a $10 deli sandwich because it costs a dime more or drive elsewhere to save $1 on a $100 purchase. Nearly all other communities across Sacramento County have approved sales tax revenue measures to support police, fire, parks, and roads. Measure G increases the sales tax rate 1% to an overall sales tax rate of 8,75%, which is the same as neighboring municipalities, except Citrus Heights. Keeping Folsom the great place it is and investing in our community will attract business, not deter it.

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