Measure V passes Salinas City Council 5-2 - Central Coast News KION/KCBA

Salinas, Calif. - The City of Salinas has been dealing with a structural budget deficit for years, but Salinas Mayor Dennis Donohue told Central Coast News recently...each year it's been able to balance the budget.

But tonight, the Salinas city council passed measure V by a 5-2 margin, something that some say is bound to help a grim fiscal year ahead.

"This council and previous councils have done the right fiscal job at every step of the way." 

Speaking with the Mayor by phone Tuesday...he knows that the city has to find a way to keep the revenues coming in or the city will be in a world of financial hurt.  The city faces an almost 5 million dollar budget deficit next year. Financial experts say if a deficit is within 5 percent of the total budget it can usually be absorbed without losing services...but 5 million dollars is about 7 percent of Salinas' budget.

So, Tuesday night the city will decide to ask voters in November to either extend Measure V that added an extra half cent to the sales tax back in 2005. And/or add another measure that would add an additional half cent to the total sales tax...making the city's total sales tax 8.25%

We asked City Manager Ray Corpus if he felt the city had a gage on the public opinion on this issue.

"We did a survey and its 69.5 percent in favor of the measures." Many feel this favorable survey only pertains to Measure V and not new taxes.

Ultimately it's up to the voters to decide if they want to be continue a tax or add a tax. The city's tax rate is 7.25...measure v takes up to 7.75 and ends in 2016. That funds libraries, parks and police. This new measure...is nebulous at best, and would add another half a penney...to 8.25%

Central Coast News spoke to 5 of 7 council persons Tuesday...and while they say they need revenue...no one is sure what will happen or what voters really want.