Yes on Measure GG
Like all Piedmont residents, we benefit from exceptional city services that are heavily supported by the taxes we pay to the city for the privilege of living here.
Measure GG — which proposes an increase in the city’s real estate transfer tax from 1.3% to 1.75% is, we believe, a necessary and long overdue measure. This is a one-time tax incurred when a home is sold, and it has not changed in over 30 years. The Budget Advisory and Financial Planning Committee (BAFPC) recommended last May that the City Council adopt an ordinance to increase the tax to bring it in line with neighboring cities.
For comparison, look at the transfer tax rates of our neighbors: In Oakland, the rate is 1.75% for sales between $2 million and $5 million and 2.5% for sales above $5 million. In Berkeley, the rate is 2.5% for sales of $1.6 million or more. Piedmont’s proposed increase merely brings the city in line with those cities — and should generate $1.5 million annually, the city says.
We must periodically tax ourselves to maintain the high quality of services in town because the city’s revenue-raising levers have always been constrained by the lack of a meaningful commercial tax base. Measure GG is a necessary step to address the city’s real budget needs.