The Rental Housing Association represents owners and managers of residential rental properties throughout the Sacramento Valley region, including the city of Davis. Our members understand that the quality of our neighborhoods affect the value of their property.
However, our association is opposed to Measure A on the May ballot. If the measure is adopted, it will bring the annual parcel tax on an apartment unit to nearly $200 and more than $500 for a single-family home.
This additional tax appears excessive, especially on the heels of the worst economic downturn since the Great Depression. Our region has been disproportionally impacted by the recession. With property values decimated and renters burdened with inflationary pressures, any additional costs can only undermine whatever fragile recovery may be under way.
The public school system in Davis is critical to a healthy community, but so is affordable housing. These higher costs likely will be passed on to renters in the form of higher rents at a time when other items are on the rise, including gasoline, food and other basic necessities.
The majority of renters in Davis are university students who are not registered to vote in the community. Yet, they will bear the brunt of any increase to pay for the tax. While some in the community may benefit from preserving existing public school programs, student renters do not use the local school system. It is difficult to see a nexus when the majority of those who will pay the tax won’t see any direct benefit.
Homeowners who believe that increasing their annual parcel tax by another $200 is reasonable should keep something in mind. When local governments are unable to pay for maintaining or providing services for their constituents, they will look to property owners to fill that void.
Members of our profession predicted years ago that another parcel tax measure would surface. Once parcel taxes are seen as a funding source for local services, it opens Pandora’s box. Today the critical issue is the public school system, but what about tomorrow? Should we expect parcel tax proposals for more police and firefighters or better parks? These are all critical needs, but where will it end?
Cory Koehler
Rental Housing Association senior deputy director, Sacramento