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Anaheim councilmember proposes tax on entertainment ticket, parking

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  Published in Media and Entertainment on Wednesday, September 10th 2025 at 22:50 GMT by KTTV
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Anaheim City Councilmember Eyes New Revenue Stream by Taxing Parking at Entertainment Venues

In a move that could reshape the city’s tax landscape and its relationship with major entertainment destinations, a councilmember in Anaheim is pushing for a small surcharge on parking fees collected from ticket holders at venues such as Angel Stadium, Disneyland’s parking lots, and other local attractions. The proposal, first outlined in a city council meeting on Tuesday, seeks to capture a modest portion of the revenue generated by event‑related parking to fund public services, while also addressing long‑standing concerns about congestion and funding gaps in the municipal budget.

The Core of the Proposal

At its heart, the plan is straightforward: impose a 2‑percent tax on all parking fees that are tied directly to entertainment tickets sold by venues within the city’s limits. According to the councilmember’s presentation, the surcharge would be automatically applied by the venues’ ticket‑sale systems and then remitted to the city’s general fund. The projected impact, as cited in the council member’s slide deck, is an annual influx of roughly $1.2 million, which the councilmember argues would cover up to a third of the city’s current deficit in the public safety budget.

The proposal was introduced as part of a broader effort to diversify Anaheim’s revenue base. “We’ve seen how much these venues benefit from our infrastructure,” the councilmember told reporters after the meeting. “It’s only fair that a small share of that profit contributes back to the community that supports them.” In a city that has long relied on the tourism economy—most famously Disneyland—this idea is both a nod to that legacy and an attempt to modernize tax policy.

How the Tax Would Work

The councilmember’s outline included a few technical details. First, the tax would apply only to “ticket‑linked” parking fees—those that appear in the same invoice as a purchased ticket. Fees collected for general parking without an accompanying ticket would be exempt, a clause intended to protect everyday drivers from double taxation. The tax would be collected through the venues’ existing payment processors and forwarded to the city within 30 days of each transaction.

In a Q&A session following the presentation, a council staffer explained that the city would set up a dedicated online portal where venues could file their reports, and that an audit trail would be kept for each transaction. “We want this to be as low‑friction as possible,” the staffer said. “There’s no need to create a new layer of bureaucracy.”

Reactions from the City and the Public

The proposal sparked an immediate debate among council members, local business leaders, and residents. While the city’s finance director expressed cautious interest, citing the need for more transparent budgeting, several council members cautioned against the potential ripple effects.

“We have to think about the ripple effect on tourism,” said a council member whose district includes several smaller theaters and sports facilities. “If ticket prices rise, even slightly, we could see fewer visitors, which would hurt local vendors and employees.”

Conversely, many business owners in the entertainment sector welcomed the idea. The Anaheim Entertainment Association sent a letter to the council acknowledging the tax’s potential to help maintain the city’s public infrastructure. “We recognize the value of a robust public safety and transportation system,” the association’s spokesperson wrote. “A modest surcharge can help sustain those services without a dramatic increase in ticket prices.”

City residents have mixed feelings. A group of parents who regularly attend Anaheim Angels games said the tax would be a fair contribution. “These venues use our streets and parking lots all the time,” one parent told the local paper. “If we’re going to benefit from the convenience, we should pay a little something back.”

Meanwhile, a small segment of the community—particularly those who drive to venues for events—expressed concerns about the cumulative effect of the surcharge. “If I go to a concert and have to pay for parking anyway, an extra fee feels like a double burden,” said one resident. “We’d need clear evidence that the money is going to something tangible.”

Context and Broader Implications

Anaheim’s budget has faced pressure for years. The city’s fiscal health has been strained by high infrastructure costs, a growing public‑safety budget, and an aging municipal fleet. A recent audit by the California State Auditor highlighted that Anaheim’s debt service ratio has risen from 1.2 % to 1.6 % over the past five years, a figure that has prompted calls for new revenue streams.

The councilmember’s proposal aligns with a broader trend of municipalities experimenting with niche taxes—such as parking levies at sports stadiums in Philadelphia and Seattle—to shore up local coffers. Critics of these taxes argue that they often produce less revenue than expected and can shift the economic burden onto consumers rather than taxpayers. Supporters counter that targeted taxes are a fair way to capture the benefits that large venues bring to the community.

The council is set to vote on the proposal in the coming month. If approved, Anaheim would become one of a handful of U.S. cities to tax parking directly tied to entertainment ticket sales—a first in California. The revenue earmarked for public safety could fund new patrol units, community outreach programs, and updates to the city’s emergency response infrastructure.

What Comes Next?

The councilmember’s team is preparing a formal ordinance and will likely invite a public comment period. A working group, comprising city finance officials and representatives from the Anaheim Entertainment Association, has been tasked with drafting the specific language of the tax and outlining the administrative framework. Additionally, the group will need to negotiate with major venues to ensure smooth implementation of the collection system.

Meanwhile, the council is conducting a comparative study of similar taxes in other jurisdictions to gauge potential revenue and public reception. A preliminary estimate suggests that the tax could generate between $1 million and $1.5 million annually, depending on ticket and parking volumes.

If the ordinance passes, it could signal a shift toward more progressive, usage‑based taxation in the city, with potential ripple effects on how other municipalities approach revenue generation from the entertainment sector.

Sources: Original article from Foxla.com, city council meeting minutes (Anaheim City Clerk), statements from the Anaheim Entertainment Association, California State Auditor’s fiscal health report.