Sacramento Could Charge “Crash Taxes”

Budget Crunch Pushes City to Adopt Stricter Measures

In a move which has caused no small amount of controversy, Sacramento has joined many of it’s fellow cities in adopting a policy of levying fines for motorists who are found at fault for car collisions. The controversy stems from the decision to enforce these rules only against out-of-towners.

As of this February, Sacramento became the 60^th city in the state of California to enact a ‘crash tax’ law. The decision is spurred by the looming budget crisis which was afflicted the state recently. Non-residents would be forced to pay a fee, which could range anywhere from $495 to $2,275, as both a punishment to discourage reckless driving, and as a way to pay for the crash services provided by the city.

Thanks to a variety of political and economic problems that plague the state, Sacramento has joined many fellow cities in running large budget deficits. With as much as $35 million in budget shortfalls projected for the future, law-makers in the city are trying to find new ways of raising funds for the cash starved municipal government.

Controversy Heats Up Over Proposed Tax

Perhaps unsurprisingly, many states have raised concerns over the perceived unfairness of the tax, which only targets visitors from out of state.

But locals in California cities that have adopted the bill say it is a necessary measure to maintain essential services.

“This is cost recovery for a state recovering from a budget black hole,” says Dorothy Holzem, associate legislative representative for the League of California Cities. “All these cities are trying to do is maintain 24/7 response for their residents.”

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