Fairfax County Board considers implementing food tax despite voters rejecting it twice
September 18, 2024
By Nick Minock
FAIRFAX COUNTY, Va. (7News) — Your breakfast, lunch, and dinner bill may go up in Fairfax County if the Fairfax County Board of Supervisors moves forward with implementing a food tax which many people in the restaurant industry oppose.
“This would be a permanent tax on food which I think is the last thing you want to tax,” Gary Cohen, with Glory Days Grill, told 7News.
The Fairfax County Board of Supervisors and Chair Jeff McKay are considering a food tax on all prepared foods despite Fairfax County voters rejecting the tax at the ballot box twice.
This would apply to all sit-down restaurants and fast-food restaurants, but also supermarket buffets, gas station hot dogs, and even sushi made at the grocery store.
“I think it’s just crazy,” Waria Salhi, Co-Owner of Mezeh Mediterranean Grill said about the food tax proposal. “It’s not a very reasonable idea at this time especially when every cost went up. We are paying high rent, utilities is up, food cost up, labor is up, credit card processing is up, banking is up, [and] finances is up. And now we are going to get hit with this up to 6% additional? We are already paying 6%. When customers walk into the store, they’re already paying a 6% tax to the state. Now, Fairfax is thinking of adding 6%; that will make it 12% on the bill and that will make it very unaffordable for our residents.”
On Tuesday, restaurant owners, chefs, and servers protested outside the Fairfax County Government Center where the Fairfax County Board of Supervisors discussed implementing a food tax in the county.
“Sixty-six percent of our revenues is from the real estate tax,” said Fairfax County Supervisor Walter Alcorn. “That’s too high. It is just too high. And as hard as it is we have to find ways to diversify our tax structure locally.”
This week, county staff informed the Fairfax County Board of Supervisors that a 6% food tax would generate close to $200 million.
“It’s responsible for us to look at options to consider,” said Fairfax County Supervisor Rodney Lusk. “The opportunity here is to identify what options we might have other than the residential tax rate as a way to provide the critical services.”
“I appreciate the point that new revenue sources could reduce the reliance on real estate taxes that people pay here in Fairfax County,” added Lusk.
“If this board directs me and or staff to move forward, we will do a marketing outreach plan as well,” said Fairfax County Executive Bryan Hill.
Fairfax County Supervisor Pat Herrity raised concerns about the county’s marketing plan for the food tax.
“It’s all about how we are going to sell these taxes to our residents,” said Herrity. “It’s not about getting the impact from our residents and our businesses. I don’t see anything in these two slides that talks about us being in receive mode. We’ve already been in receive mode with the meals tax because our residents told us twice we don’t want it. Overwhelmingly twice.”
Fairfax County voters rejected a food tax twice and now Fairfax County Board Chair McKay and supervisors are looking at implementing a food tax despite what voters think.
McKay said he wants to diversify county revenue and give more tax money to schools.
“ to try to provide adequate funding for FCPS which is the driver of our economy,” said McKay. “That $586.7 million hole that the state has created that is money we should be getting based on their own analysis has to be filled by something if we want to have the school system we want to have.”
“At the end of the day, we get dealt a hand of cards,” added McKay. “How we play that hand of cards is really important. And looking for ways to make sure we are maximizing opportunities to bring revenue in from non-Fairfax county residents is an important part of that.”