DA may investigate promises made by backers of the new sales tax, Measure A

Santa Clara County District Attorney Jeff Rosen said he may look into allegations that backers of Measure A, the sales tax increase for county-run hospitals, made a deal to share the tax proceeds with law enforcement unions, but now have reneged on that promise.

County leaders characterized the 5/8ths-of-a-cent sales tax increase approved Nov. 4 as a lifeline for their massive public hospital system. They warned the hospital system was in jeopardy amid federal spending cuts under President Trump.

County Manager James Williams said last week he would recommend that the Board of Supervisors put all money raised by Measure A, about $330 million a year, into the hospital system. That recommendation isn’t final — and still needs approval from the supervisors.

Williams’ message sent consternation through law enforcement union leaders, who supported the tax believing they would get a part of it.

“Along with many law enforcement leaders, I supported Measure A because we were assured it was a general tax that would support critical county programs and services such as our criminal justice system, deputy sheriffs and mental health services … Those assurances appear questionable,” Rosen told San Jose Spotlight, a San Jose news website. Spotlight first reported that Rosen was considering an investigation.

“As district attorney, I have a duty to ensure the law is adhered to and determine whether voters were deliberately misled,” he said.

Measure A is a general tax where spending is not restricted to a specific use. The county opted not to author Measure A as a special tax, which would have legally restricted funds to hospitals. Special taxes require 66.7% voter approval — a more difficult threshold to win over an unusually short campaign cycle — whereas a general tax needs a simple majority.

Santa Clara County Government Attorneys Association President Max Zarzana — whose union representing county prosecutors endorsed the tax — shared Rosen’s reaction.

“Was an unethical electoral bait and switch perpetrated on county voters?” Zarzana told San Jose Spotlight. “It is clear that this was a single purpose tax and we are quite sure a deeper look is warranted as to who orchestrated this apparent bait and switch that will have devastatingly negative impacts to the safety of county residents.”

Looming legal disputes

Williams said law enforcement still benefits from Measure A because it softens the blows of the federal cuts to the county’s budget.

Dolores Alvarado, CEO of Community Health Partnerships, which runs a network of non-county primary care clinics, said the money from Measure A was intended to help the county’s hospitals

“The No. 1 issue the people chose was to use money for hospitals,” she told San Jose Spotlight. “That was a no brainer at the (Community Health Partnership). Without specialty care we would have to send people to who knows where, maybe San Francisco, and that would be really expensive.”

Sheriff Bob Jonsen said he supported Measure A because it effectually reduced the severity of further cuts to his department.

“Before the passage of Measure A, the Santa Clara County Sheriff’s Office was facing significant budget reductions that would have impacted essential operations, services and public safety investments,” Jonsen said.

San Jose Mayor Matt Mahan held off on endorsing Measure A during the campaign’s initial months. He even cast doubt on the county hospital system as he negotiated a Measure A endorsement with the county. He eventually stood alongside Rosen and the public safety unions endorsing the measure in October.

Mahan declined to comment.

The tax faced opposition from the Silicon Valley Taxpayers Association, the Libertarian Party of Santa Clara County and the Santa Clara County Republican Party. Opponents attempted to block the measure through a lawsuit that was rejected by a Santa Clara County Superior Court judge. An appeal now sits before state appellate judges.