By Staff
Our small town of Benicia is starting to have to face some major struggles that have been brewing since the late 90’s. We have a dwindling youth population and a tax foundation that started in the 1990s that hasn’t changed since. This has presented an issue to the citizens of Benicia: we cannot keep surviving the way we have been. Changes must be made to progress towards the future. Our city manager, Mario Giuliani, has released information about new legislation that will be affecting Benicia. The following information comes from the letter Giuliani sent to the citizens of Benicia. Giuliani discusses two new measures that are currently on the March ballot, attempting to be implemented to fix the pressing issue of tax revenue.
The first measure is called Measure A—the Hotel Tax. Hotel guests staying in Benicia will see a raise in taxes when footing the bill. Currently hotel tax is 9% but would be raised to 13%. This tax is expected to draw in $250,000 a year. One of the concerns with this tax is the idea of tourism. It’s possible that such a measure could push away visitors to other nearby towns (like Vallejo or Berkeley). Benicia, though it is a nice town, is not the most popular town in California, meaning that the amount of visitors or tourists entering to stay may be limited and may continue to dwindle because of Benicia’s lack of tourist “hotspots” and lack of development, which cannot change because of lack of revenue. The issue is tied to the solution, which puts the city in a tough spot of merely hoping that visitors will continue to arrive.
The second measure is Measure B, the Public Safety and Essential Services Measure. This measure also focuses on drawing new tax revenue. This would tax businesses slightly more, coming from the customer’s wallet. The example given from the city mayor was the service at restaurants. When one is out to dinner, the tax at the end will be raised from 8.375% to 9.125%. The same thought process of alienating visitors and tourists applies to this situation, except this tax poses a threat to alienating our own residents. If residents start having to pay more to eat out, it poses a threat to businesses’ customer base. However, when put into perspective, the city of Benicia only receives $1.88 from such a tax, and the price increase is only by 0.66 cents. Often, hearing the words “tax increases” strikes fear or anger in people, but when one truly examines the outcome, 0.66 cents is not as terrible as such a tax could be. This measure would be placed into effect October 1, 2024.
As an overview, Benicia is currently striving to thrive with these two new measures that may be implemented. In order to keep the luxuries we enjoy, like public parks and services—police officers and firefighters—we must find solutions. For now, the city has decided that measure A and B are the best options to keep our town afloat. Still, though these measures provide temporary solutions, long-term, Benicia may continue to crumble unless we raise interest in our town—appealing to younger audiences while keeping long-term residents satisfied. If you have questions or would like to voice your concerns or opinions, a meeting is happening at the Benicia Community center January 25, 6-8pm. We hope to see you there!
beniciapaw.com 