California Voters to Decide 2/3 Threshold for Local Tax Hikes in November

Q: Will a new tax-limiting measure be forced to pass by the same high bar it sets for all other local taxes?

No. Under the latest deal, the new tax-limiting measure would not have to clear the same two-thirds hurdle it would impose on certain local taxes. Originally, that possibility existed because Assembly Constitutional Amendment 13 was set up to require any ballot measure that raises the vote threshold for future measures to pass by that same higher threshold. If ACA 13 had remained on the ballot and passed, a tax-limiting initiative imposing a two-thirds standard could itself have needed two-thirds support. But the searched reporting indicates that changed in a last-minute compromise. The Howard Jarvis-backed initiative was withdrawn, and in exchange state leaders agreed to place a different constitutional amendment on the ballot raising the vote requirement for some local taxes. As part of that agreement, ACA 13 was removed from the ballot. That means the new measure is expected to face California’s normal statewide ballot standard, not the supermajority standard it would apply to local tax proposals. In practical terms, voters would decide whether to impose a tougher two-thirds rule on certain local taxes by the usual statewide approval threshold, rather than by two-thirds.

Q: Could a new ballot measure retroactively cancel tax increases that your community has already voted to approve?

No. Under the latest version headed to California voters, the measure would make it harder to pass certain future local tax increases, but it is not expected to wipe out tax increases your community already approved. That distinction matters because an earlier proposal from the Howard Jarvis Taxpayers Association did include retroactive language. It sought to invalidate some existing local special taxes and certain charter-city real estate transfer taxes that had passed without a two-thirds vote. That raised alarms for cities, counties and special districts because it could have stripped away revenue from taxes already on the books. But that earlier version was withdrawn as part of a compromise. The replacement measure now expected on the November 2026 ballot would raise the approval threshold for certain local taxes going forward, generally requiring a two-thirds vote, rather than canceling past voter-approved taxes. So if your city, county or district already passed a tax under the rules in effect at the time, that tax is not expected to be retroactively undone by the new ballot measure. The practical effect would be on future proposals, not on taxes already approved and being collected.

3 articles · Updated · Bloomberg · Jun 26

November's ballot will ask California voters whether certain local tax increases should need two-thirds approval instead of the current simple-majority standard.
The measure would make it significantly harder for cities, counties and other local agencies to raise revenue through ballot-box tax proposals.
If approved, the higher threshold would tighten local funding options by requiring broader voter backing for future tax hikes.