> California's reliance on state income taxes over property taxes should help soften the blow
Assuming someone leaving the Bay Area will go elsewhere in California. And even if they move to e.g. Sacramento, why would their tax dollars continue going to the Bay? Their votes moved with them.
It's kind of beside the point, but it's because of how California collects taxes from citizens. Property taxes are artificially low due to Prop 13. In order to collect needed taxes, California has instituted a high (very graduated) income tax rate. Income taxes are collected by the state and property taxes typically by the county and/or city.
In my state, Illinois, we have the opposite problem. Our state income tax is a flat rate (4.95%). In order for politicians to raises taxes, they target property taxes. The result is one of the highest property tax rates in the country.
Assuming someone leaving the Bay Area will go elsewhere in California. And even if they move to e.g. Sacramento, why would their tax dollars continue going to the Bay? Their votes moved with them.