Tax Divide Deepens Across Sutter County
Sep 21, 2026 12:39PM ● By Susan Meeker
Logo courtesy of Sutter County
YUBA CITY, CA (MPG) – The city councils of Yuba City and Live Oak have signed off on their shares of Sutter County’s proposed 1% sales tax, leaving voters to decide Nov. 3 whether the latest attempt to raise local sales taxes moves forward.
The agreements come as Measure G has drawn increasingly pointed public debate, including on social media. At the Sept. 15 Yuba City Council meeting, Scott Kirschner of Yuba City urged voters to consider the financial pressures facing local government rather than become consumed by the rhetoric surrounding the proposal.
“The days of the old and obsolete phrase, no new taxes are over,” Kirschner said.
Kirschner said the current campaign has also produced more substantive exchanges than previous efforts.
“This time around there are actual constructive conversations in our community in private and in public,” Kirschner said.
Sutter County, Yuba City and Live Oak currently have a 7.25% sales tax rate. Measure G would add 1%, bringing the rate to 8.25% if approved.
Measure G marks the third attempt in four years to increase sales taxes locally. Sutter County voters rejected Measure A in 2022, a countywide 1% sales tax proposed for nine years. Two years later, Yuba City voters rejected Measure D, a separate 1% city sales tax.
The tenor of the current debate also drew concern from Yuba City Councilmember Toni Cole, who addressed the hostility surrounding Measure G and urged residents to allow room for opposing views.
“The people working on this are getting vilified and us as a community, we need to move past the stage in our psyche and evolution of vilifying people for having a different opinion than you,” Cole said. “We need to do better.”
She ended with a direct appeal aimed at the online debate.
“To our community, please just continue to respect each other online especially,” Cole said.
Yuba City approved its revenue-sharing agreement Sept. 15, followed by Live Oak on Sept. 16. Both agreements would take effect only if voters approve Measure G.
Under the Yuba City agreement, the city would receive 77.5% of Measure G revenue generated within its boundaries. Preliminary estimates presented to the council put Yuba City’s share at approximately $12.5 million annually, while Sutter County would receive about $9.2 million.
Yuba City would also assume law enforcement responsibility for the South Walton area, now served by the Sutter County Sheriff’s Office, by July 1, 2028.
Live Oak would retain 100% of Measure G revenue generated within the city, with a guaranteed minimum of $750,000 annually through June 30, 2029. Beginning July 1, 2029, the city would continue receiving all revenue generated within Live Oak.
Support for Measure G was not universal. Critics have questioned whether another sales tax is the right answer to the area’s financial pressures and raised concerns about how the money could ultimately be spent.
At the Live Oak meeting, Liz Cervantes argued that Measure G is a general tax, despite being promoted largely around needs such as public safety and roads.
“This is not a safety tax,” Cervantes said. “It is a general tax, therefore, a blank check out of the general fund.”
Cervantes also pointed to the unsuccessful Measure A effort and argued that local governments should find other ways to address ongoing budget pressures.
“How many times are they going to try this before they come up with some permanent solutions? Sustainable solutions,” Cervantes said.
The debate also extends beyond roads and public safety to broader questions about how limited public dollars should be divided among services, including those affecting quality of life.
Cervantes drew a sharp distinction between emergency services and other government programs.
“If my house is on fire, I’m not going to call the librarian,” Cervantes said.
She pointed to the Sutter County Library budget while questioning whether additional spending reductions could be made before voters are asked to approve another tax increase.
Live Oak City Manager Ben Moody said the city faces an approximately $800,000 structural deficit in its general fund and that further reductions would be necessary if the gap is not filled.
“There’s no silver bullet,” Moody said. “We’ve been looking at this budget and trying to figure out a solution on how to turn the ship around.”
Yuba City approved its agreement unanimously. Live Oak approved its agreement 3-0, with Councilmembers Ashley Hernandez and Nancy Santana absent.
The decision now rests with Sutter County voters.















