While voting in the November 2022 General Election, Arroyo Grande residents will be able to vote on Measure D-22, a proposed 1.0% local transactions and use tax ("sales tax"). The 1.0% sales tax applies only to goods and services sold within Arroyo Grande, such as bars, restaurants, and retail stores like clothing and appliance stores. The Arroyo Grande City Council voted unanimously to place the Measure on the ballot.
If a simple majority of voters pass Measure D-22, it will generate approximately $5.6 million annually for the General Fund to help Arroyo Grande address important community needs. The proposed sales tax would begin on April 1, 2023, for a partial-year implementation in FY 2023-24 and full implementation in FY 2024-25.
Residents have previously approved an increase in the sales tax. In 2006, a majority of voters supported Measure O-06, a .5% sales tax increase that currently generates $2.5 million a year which has helped Arroyo Grande provide services, staff the police department, and dramatically reduce liabilities.