Milpitas adds existing sales tax measure to November ballot

Residents will need to vote to reauthorize Measure F funding this November or risk losing thousand of dollars for several city services.

MILPITAS — In a move aimed at securing long-term funding for essential city services, Milpitas has added a local tax measure to the upcoming ballot.

The Milpitas City Council voted Monday to let residents decide whether to continue authorizing Measure F funds. The measure is a quarter-cent local transactions and use tax that helps the city keep services up and running including police and fire protection; 9-1-1 emergency response and natural disaster preparation, repairing park equipment and maintaining parks and recreation centers.

The measure was first approved during the 2020 elections, guaranteeing about $7 million annually to the city until 2029. A city committee currently advises the City Council on Measure F-related funding. However, residents need to vote this year to reauthorize the measure, or risk losing the money for services. The deadline for the city to to add the measure on the ballot is Aug. 9.

Milpitas has a combined state and local sales tax rate of 9.38%.

Assistant City Manager Matt Cano said the measure will help the city secure funding for 911 services and city maintenance issues. Milpitas police officers responded to 6,712 total calls in 2023, an increase of 700 incidents compared to 2022. The city last year received 1,259 service request for various maintenance issues, including pothole and street repairs. The current backlog of street and sidewalk repairs, is “a never ending challenge,” Cano said.

He added that the measure will also help city staff to plan for the upcoming budget cycles. Staff anticipates a 10-year budget deficit of $1.2 million in 2027-28 to $5.9 million in 2028-29.

“If we can take care of the most significant piece of that challenge, it will help us focus on how we solve the rest of it over the coming years,” he said Monday.

In the spring, the city surveyed residents to gauge their support for the measure. According to the survey results, 50% believe Milpitas has a “great/some need for additional funding.” They want the city to prioritize maintaining 911 emergency police, fire and local ambulance response services, repairing streets and fixing potholes, addressing homeless encampments and maintaining parks, public facilities and public sewer and wastewater system.

The city has been raising awareness Measure F-funded services to the public since the beginning of this year. Councilmember Hon Lien said the promotion should also highlight that the funds can to be used to attract and retain local business, which will benefit the city.

“That is very very important for the economy in our city and that’s where it generates the most revenue as well,” Lien said Monday.

Councilmember Gary Barbadillo asked how receptive residents are to Measure F information and the city’s desire to reauthorize the measure. So far, Cano said, residents have been “understanding” of the need.

“When we provide education materials again in the fall before November,” Cano said “It will be the second or third time they’ve seen it. It will be deeper and stronger with them.”