Overview

Los Angeles County voters are set to decide on Measure ER, a proposed sales tax increase of one-half percent, during the upcoming vote on June 2. If passed, this measure would raise the county's sales tax rate from 9.75% to 10.25%, with some cities already having higher rates.

Supporters of Measure ER argue that the funds are necessary to prevent the collapse of the healthcare system in the county. However, critics contend that the measure is misleading and that the funds could be allocated for various purposes, not just healthcare.

Key details

  • Measure ER proposes a sales tax increase from 9.75% to 10.25% in Los Angeles County.
  • Many cities in the county, including Lancaster and Palmdale, have even higher sales tax rates, currently at 11.25%.
  • If approved, Measure ER would raise Lancaster and Palmdale's rates to 11.75%.
  • Sales taxes are considered regressive, disproportionately affecting lower-income individuals.
  • Supporters describe the tax increase as a mere “half a penny” needed for healthcare funding.
  • The measure includes a spending plan that states funds will be allocated to healthcare, overseen by a committee.
  • As a general sales tax, the funds can be used for any purpose, not strictly healthcare.
  • The oversight committee’s role is limited to observation, without authority over spending decisions.
  • Measure ER is set to expire in five years, but similar past measures have led to extensions under different guises.
  • Supporters blame federal government cuts for the need for this tax increase, citing the loss of Medi-Cal coverage for many individuals.
  • Changes in federal rules and administrative adjustments have contributed to fewer Medi-Cal recipients, impacting revenues for healthcare providers.
  • Without the tax increase, supporters warn of a potential collapse of the healthcare system in Los Angeles County.

Context

The push for Measure ER comes less than two years after a previous sales tax increase, raising concerns among voters about the cumulative financial impact on residents already facing affordability challenges.

What happens next

As the vote on Measure ER approaches, voters will need to weigh the arguments for and against the proposed tax increase, considering its implications for healthcare funding and overall financial burden.

What we don't know yet

Details regarding the specific allocation of funds if the measure passes and the potential impact on healthcare services remain unconfirmed.