The California Court of Appeal has rejected a challenge to Santa Clara County’s most recent increase to the county sales tax approved by voters in 2025, declining to review a lower court ruling against opponents who tried to block the November 2025 referendum that approved the sales tax.
The appeals court, in a ruling published Sept. 23, concluded that the county Board of Supervisors’ declaration of a fiscal emergency – used to justify the small sales tax increase – was “reasonable” and that the board’s decision to place Measure A on the Nov. 4 2025 election ballot was valid.
The measure increased the county sales tax by five-eighths of a cent for every one dollar spent, raising roughly $330 million annually. The measure was approved by a 57% to 43% margin.
Anticipating a loss of over $1 billion in funding within five years from President Trump’s “Big Beautiful Bill,” county supervisors had declared an emergency to justify the temporary sales tax increase.
“We conclude that the [Santa Clara County] board’s determination of emergency was reasonable, and the resolution to place Measure A on the November 4 special election ballot was not invalid,” the appeals court wrote, affirming an August 2025 order denying the petition to block the referendum – and added that the county is entitled to payment of court costs.
“The Court of Appeal’s decision affirms that the Board of Supervisors took appropriate action when it declared a fiscal and public health emergency and placed Measure A on the November 2025 ballot,” County Executive James R. Williams and County Counsel Tony LoPresti said in a joint statement. “With this core legal question answered, the county is one step closer to ending meritless challenges that threaten the life-saving services our communities depend on.”
“This is a major victory for the County of Santa Clara, for the residents who rely on the county for healthcare and other essential safety net services, and for the voters who overwhelmingly supported Measure A,” the county officials said in the statement.
