Nevada County is set to pay a $31,500 fine after state regulators determined it illegally used more than $34,000 in taxpayer money to promote a sales tax increase that voters ultimately rejected.

The California Fair Political Practices Commission (FPPC) is scheduled to vote on a proposed settlement on August 20, stemming from the county's promotion of Measure V, a 2022 ballot initiative that sought to raise the county sales tax by half a percentage point for 10 years.

Measure V was presented as a means to generate approximately $12 million annually for wildfire prevention, emergency services, and disaster preparedness. However, the measure failed to pass, receiving only 48.41% of the vote.

FPPC investigators concluded that two mailers sent to residents in October 2022 crossed the line from informing the public to political advocacy. The first mailer, costing $17,708 and sent to 33,351 residents, highlighted the measure's benefits such as preventing wildfires and improving evacuation routes, while minimizing the details of the tax increase by printing it in the smallest font. Regulators found that this approach was likely intended to persuade readers rather than objectively inform them.

A second mailer, costing $16,906 and sent to 33,101 residents later that month, emphasized the high fire hazard severity in the county and presented Measure V as a solution for emergency response and evacuations. Similar to the first mailer, regulators found it promoted the measure's advantages while downplaying the tax hike and other potential drawbacks.

The FPPC charged Nevada County with seven violations, including prohibited campaign-related mass mailings at public expense, disclosure violations, and failures to timely file campaign statements and independent expenditure reports. The commission characterized the county's actions as having a "high degree of public harm" that threatens election integrity.

As part of the settlement, Nevada County has agreed to pay the $31,500 penalty, which amounts to $4,500 for each of the seven violations, and has filed corrective campaign reports. County officials did not immediately respond to requests for comment regarding the fine and the use of public funds.

Nevada County Republican Party Chairman Mac Young commented on the situation, stating, "I find it deeply ironic that the government would use taxpayer dollars to campaign for increasing taxes on those very same taxpayers. Public funds belong to the people, and they should never be used to persuade the public to give the government even more of their money."

Local Republicans have indicated they will continue to monitor county tax measures for transparency and accountability.