Santa Ana Weighs Sales Tax Revival as Infrastructure Projects Advance
Santa Ana, CA – April 3, 2026 – City leaders debate reviving a sales tax measure while major transit and neighborhood upgrades move ahead.
Santa Ana city leaders are facing a pivotal stretch as budget pressures collide with long-planned infrastructure upgrades.
Sales Tax Measure Back in Discussion
City officials are debating whether to revive a local sales tax proposal or instead move forward with deeper budget cuts. The discussion comes as revenues from Measure X show signs of softening and long-term deficits loom.
Council members are weighing how to stabilize funding for core services, including public safety, parks and neighborhood programs. Some leaders have signaled interest in returning to voters with a revised tax measure, while others are urging cost controls and departmental reductions.
The debate is expected to intensify in the coming weeks as the city begins shaping its 2026-27 fiscal plan.
Transit Investment Continues
At the county level, transportation officials recently advanced funding tied to bus rapid transit improvements along Harbor Boulevard, a key corridor linking Santa Ana with neighboring cities. Signal upgrades at dozens of intersections are designed to improve reliability and reduce travel times for riders.
Meanwhile, the OC Streetcar project connecting Santa Ana and Garden Grove is moving closer to service, with prior projections targeting a 2026 launch after construction delays. The project is seen as a long-term economic development tool for downtown and surrounding districts.
Neighborhood Infrastructure Upgrades
On the local front, the city’s Alley Improvements Program is slated to begin construction this month, targeting pavement, drainage and accessibility fixes in residential areas. The short-duration project is part of a broader push to address deferred maintenance in older neighborhoods.
Contract requirements and performance timelines have been outlined ahead of the expected April start, with completion projected within a few months.
What’s Next
The next City Council meeting later this month is expected to include early budget direction and updates on capital projects. With economic uncertainty and infrastructure needs converging, Santa Ana’s fiscal decisions this spring could shape services and development for years to come.
Sources
Will Santa Ana Revive Sales Tax Measure or Make Budget Cuts?
https://www.octa.net/about/leadership/board-of-directors/board-actions