California Voters to Decide on Tax Hikes in LA and Bay Area

Measures aim to offset losses in federal health care funding and shore up public transit systems

Published on Mar. 5, 2026

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California voters will face a series of ballot measures this year that would raise local sales tax rates in Los Angeles County and the San Francisco Bay Area. The tax hikes are intended to offset reductions in federal health care spending and close operating deficits for public transit systems like BART. However, the proposals have drawn criticism from some local officials and commentators who argue the transit agencies need to right-size operations rather than rely on tax increases.

Why it matters

These tax measures reflect the ongoing financial challenges facing California's largest urban centers, as they grapple with the impacts of the pandemic, federal funding cuts, and the need to maintain critical public services like healthcare and transportation. The outcome of these votes could have significant implications for residents' pocketbooks as well as the future of public transit in the region.

The details

In Los Angeles, officials are asking voters in the June primary to approve a half-percentage point increase to the county's already high sales tax rate, which tops 10% in most cities. The revenue would help offset an expected $2.4 billion loss in federal health care funding over the next three years. Meanwhile, voters in four Bay Area counties will decide in November whether to add another half-percentage point to sales taxes, while San Francisco residents will be asked for a full percentage point increase, all to shore up the finances of local public transit agencies like BART. These measures come on top of a string of previous local tax hikes that have pushed California's sales tax rates to among the highest in the nation.

  • The Los Angeles County sales tax measure will be on the June 2026 primary ballot.
  • The Bay Area transit tax measures will be on the November 2026 general election ballot.

The players

Holly Mitchell

Los Angeles County Supervisor who led the effort for the health care tax increase.

Marcel Rodarte

Executive officer of the California Contract Cities Association, which has opposed the Los Angeles County sales tax hike.

Gavin Newsom

Governor of California, who has provided a $590 million loan to Bay Area transit systems to avoid service cuts.

Daniel Borenstein

Columnist for the Bay Area News Group who has criticized Bay Area transit agencies for threatening "doomsday effects" if the sales tax measure doesn't pass.

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What they’re saying

“Cities said if we wanted to do our own sales tax measure (increase), this makes it more difficult for cities.”

— Marcel Rodarte, Executive officer, California Contract Cities Association (ukiahdailyjournal.com)

“We can't keep putting Band-Aids on the region's transportation financing problems. The plea for the loans to cover ongoing operating expenses stems from a failure to right-size operations to meet post-pandemic demand. That's especially true of BART, which is threatening voters with shuttered stations if the sales tax measure doesn't pass in November. Never mind that BART is carrying less than half as many passengers as it was before the pandemic while providing more train service. It's nuts.”

— Daniel Borenstein, Columnist, Bay Area News Group (ukiahdailyjournal.com)

What’s next

The Los Angeles County sales tax measure will be on the June 2026 primary ballot, while the Bay Area transit tax measures will be on the November 2026 general election ballot. Voters in these regions will decide whether to approve the proposed tax hikes.

The takeaway

These tax measures highlight the ongoing financial pressures facing California's major urban areas, as they seek to maintain critical public services like healthcare and transportation in the face of federal funding cuts and pandemic-related challenges. The outcome of these votes could have significant impacts on residents' wallets as well as the future of public transit in the region.