Permanent source of youth funding to be on ballot in November

Sacramento (July 19, 2022) - The Sacramento City Council Tuesday voted 8-1 to place a measure on the November 2022 ballot that would create a dedicated source of funding for youth in the city budget without raising taxes.

Voters will have their chance to weigh in on The Sacramento Children and Youth Health and Safety Act this November and decide if a portion of the existing cannabis business taxes collected should be set aside specifically for youth-related programming. The measure, which would pass with a simple majority of voters, is expected to provide between $9 million and $12 million dollars a year by repurposing existing cannabis business license taxes.

“This is a statement that not only do we value young people but we believe we should grant them real power, because that is what makes a difference in our society, and in our city and in the way we make decisions,” said Mayor Darrell Steinberg. Mayor Darrell Steinberg previewed the initiative at his State of the City address in June.

Cannabis businesses pay a license fee to the City of Sacramento that is 4 percent of their gross receipts in a fiscal year. If the measure passes, an amount equivalent to 40 percent of that fee must be set aside in the Sacramento Children’s Fund. Instead of raising an additional tax, this measure takes the business taxes that are already being collected and creates a permanent source of youth funding as a baseline for the city.

From right to left: Councilmember Jay Schenirer, Councilmember Mai Vang and Youth Coalition Leader Monica Ruelas-Mares at the launch of ballot initiative in June 2022

Councilmember Jay Schenirer, who has worked on similar efforts in the past, “Without ongoing funding, it gets difficult to focus on the important piece and the important piece is again, supplying the assets that young people need to be successful.” said during the council meeting presentation.

Funding collected and set aside under the potential measure could only be used to support the mental health and wellbeing of children, reduce youth homelessness, prevent and reduce youth substance abuse, prevent and reduce youth violence, and support healthy development of early learners. Programming that would meet these goals includes investing in counselors, street outreach and case management, youth job training and development initiatives, afterschool and summer enrichment activities.

The measure also creates an oversight body, the Sacramento Children’s Fund Planning and Oversight Commission. The new commission would work with the Sacramento Youth Commission and the City Council to create a five year strategic plan that will help guide and inform spending decisions from the Sacramento Children’s Fund.

“Thank you to the Mayor and members of the City Council who voted today in favor of prioritizing youth in our City! This is a huge win for our youth, for families, and for the future of our community. My heart is with my nephews, nieces, and all the youth that will grow up in Sacramento for generations to come - children and youth deserve to be prioritized,“ said Sacramento Kids First Coalition leader Monica Ruelas-Mares in a prepared statement.

Mayor Steinberg and Councilmember Loloee and community members posing with the Grant Drumline after the 2022 State of the City address.