Measure N: N – City of Santa Ana, Santa Ana Streets, Public Safety, Essential City Services Measure

In plain language

Measure N would keep Santa Ana's 1.5 cent sales tax in place with no end date. Voters approved this tax in 2018. Right now it is set to drop to 1 cent on April 1, 2029, and end on April 1, 2039. Measure N removes both the drop and the end date. The money goes to general city services, such as 911 response, fixing potholes and removing graffiti and litter. The City Council could also use it to address an expected budget gap. The current citizen oversight committee, yearly audit and spending reports would stay. A YES vote keeps the tax at 1.5 cents until voters end it. A NO vote keeps the planned drop to 1 cent in 2029 and the end of the tax in 2039. The measure needs a majority vote.

Fiscal impact

Keeps the 1.5 cent sales tax with no end date, raising about $84,000,000 a year for general city services.

Impartial analysis

City of Santa Ana Measure N Measure N titled the “Santa Ana Streets, Public Safety, Essential City Services Measure” was placed on the ballot by a vote of the Santa Ana City Council. It seeks to indefinitely continue the existing sales tax past 2039, by removing both the sunset provision and the 2029 reduction, as originally contained in Article VII of Chapter 35 of the Santa Ana Municipal Code. In 2018, Santa Ana’s voters enacted an ordinance creating a 20-year local transactions and use tax in at a rate of one and one half (1.5) cents, until March 31, 2029 with a reduction to one (1) cent until March 31, 2039, to fund general city services. With the exception of those items that are exempt, the transactions and use tax applies to most over-the-counter sales of tangible goods and restaurant purchases. Measure N amends the previously enacted local transactions and use tax by removing the rate reduction from 1.5 cents to 1 cent scheduled to occur on April 1, 2029 and removing the sunset provision which would have ended the local transactions and use tax altogether on April 1, 2039. If the measure is approved, the local transactions and use tax would remain at 1.5 cents without an end date. If approved by more than 50% of the voters, Measure N will continue the local transactions and use tax at a rate of 1.5 cents generating approximately $84,000,000 every year for general city services. General city services may include, but is not limited to, maintaining 9-1-1 emergency response services, fixing potholes, and removing graffiti and litter. The continued revenue from the transactions and use tax would also be used to address the city’s anticipated structural deficit at the discretion of the City Council. Measure N does not amend the existing requirement for a citizen oversight committee, an annual audit by an independent certified public accountant, or an annual disclosure by the City of expenditures made from the transactions and use tax revenue. These requirements would remain in place. Measure N requires a majority of the Santa Ana voters that vote in the election of November 3, 2026 to vote in favor of the measure to become law. In summary: A “YES” vote on the measure is a vote in favor of continuing a local transactions and use tax in the City of Santa Ana at the current rate of one and one half (1.5) cents without a rate reduction or sunset provision to fund general city services until ended by the voters. A “NO” vote on the measure is a vote against removing the rate reduction from one and one half (1.5) cents to one (1) cent scheduled to occur on April 1, 2029 and against removing the sunset provision which would end the transactions and use tax on April 1, 2039. The above statement is an impartial analysis of Measure N. If you desire a copy of the measure, please call the City Clerk at [phone number omitted] and a copy will be mailed at no cost to you. Santa Ana City Attorney

Official ballot arguments

Filed for the official voter guide by each side, printed as submitted.

The official arguments will appear here once both sides’ arguments are on file.