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Greg Cowart - Mortgage Broker or Lender at The Securus Group
Greg Cowart - Roseville Loan Guy

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“Crash tax” no more…

A lot has been said about Sacramento’s recently approved “crash-tax.” Most of it not all that nice…  The tax, as it does in sixty other municipalities, requires a non-resident to pay the costs of the fire department’s response if the driver is in an accident within city limits.

But this idea wasn’t new to the city of Sacramento, or even the Sacramento area. Roseville has had a crash-tax for about the last year and a half. Well, they did until this month anyways. Roseville is the first of sixty California cities/counties to repeal it’s crash tax. The city council voted unanimously to repeal the policy in full on Wednesday.

Mayor Pauline Roccucci said it was a mistake to pass it, agreed that the tax possibly could deters visitors, and she hoped to remind both residents and non-residents that Roseville is a business-friendly community. John Allard, the councilman that originally suggested repeal of the tax, said “I think it was an experiment — let’s try it and see how it works.”

However the experiment has seemed to fail. While the city expected to collect many hundreds of thousands of dollars in revenue (to pay police/fire costs for the wrecks) they have only brought in about $40,000 in the 18 months since the tax was implemented. That may be one of the reasons it was so easily, and quickly, repealed. That, and it’s probably the right thing to do.

How do you feel about the crash tax in Roseville or any city?

~Greg

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