Santa Barbara County Approves Wine Improvement District, New 1% Sales Tax Starts April 1

SANTA BARBARA COUNTY, Calif. — The Santa Barbara County Board of Supervisors unanimously approved a plan Tuesday to create a Wine Improvement District.

The plan imposes a 1% assessment on wine sold directly to consumers at wine-tasting facilities. The new charge is expected to generate $1.5 million annually to promote the county’s wine industry. The assessment takes effect April 1 and will apply to all wine facilities in the county for the next five years unless renewed.

City councils that voted to support the Wine BID include Santa Maria, Solvang, Buellton, Guadalupe and Goleta. Lompoc’s City Council initially voted to opt out of the district but reversed its decision last Friday.

(ORIGINAL POST on Feb. 5) The Santa Barbara City Council voted unanimously Tuesday to advance the Wine Business Improvement District (BID).

The BID would affect wine tasting rooms, many of which are located in the Funk Zone, adding a 1% assessment on wine sold directly to consumers.

“The really neat thing about the BID is that it’ll benefit all the wineries that are involved, from the smallest to the largest,” said Ashley Parker of Fess Parker Winery.

Revenue from the assessment would be invested into the Santa Barbara County Vintners Association, funding additional marketing efforts to promote the region’s wine industry and boost the local economy.

“It gives them more flexibility to do more promotional work, which, once again, brings people to the area and reflects well on the city,” said Santa Barbara Mayor Randy Rowse. “Whatever we do that preserves our agriculture, preserves those traditions, and preserves that land for agriculture is a really good thing. Some of those appellations that grow certain grapes should really be preserved in perpetuity, and this will help with that.”

If approved by the Santa Barbara County Board of Supervisors next Tuesday, the district is expected to generate approximately $1.65 million annually for the promotion of Santa Barbara County wine-tasting facilities.

“People know Santa Barbara as a destination for the beach and the beautiful architecture, and wine has become really linked with that,” Parker said.

City councils that voted to support the BID include Santa Maria, Solvang, Buellton, Guadalupe and Goleta. Lompoc opted out.