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HomeMy WebLinkAboutStaff Report 3.C 02/25/2013 Ages/via/Itemiv#3 C ,cALtrti 85s DATE: February 25, 2013 TO: Honorable Mayor and Members of the City Council FROM: John C. Brown,City Manager SUBJECT: Approval of Letters of Support for Senate Constitutional Amendments 4 and 8 (SCA 4 and SCA 8). • RECOMMENDATION It is recommended that.the',CityCouncil approve, and authorize the Mayor to sign the attached letters supporting Senate Constitutional Amendments No. 4 and No. 8. BACKGROUND AND DISCUSSION Two pieces of legislation, to propose to the voters amendments to the California State Constitution, were introduced in December, 2012. These are SCA 4, introduced by Senator Carol Liu, and SCA 8, introduced by Senator Ellen Corbett (Attachments 2 and 3). Both bills propose to reduce the voter threshold to 55 percent for special taxes for transportation purposes from the current threshold of 66-2/3 percent. Reducing the voter threshold to 55 percent would make it less difficult to approve a new, or extend or increase an existing, measure to fund transportation improvements. On February 5, 2013 the Sonoma County Transportation Authority sent letters of support for the proposed legislation to Senators Liu and Corbett. Counci member Healy asked, at the Petaluma City Council meeting of February 4, 2013 to add an item to the agenda for February 25, 2013 that would allow the City Council to approve advocacy letters supporting two Senate Constitutional Amendments. Attached (attachments 4:and 5) are draft letters prepared for the Council's consideration and approval. FINANCIAL IMPACTS There is no immediate financial impact associated with the recommended action. ATTACHMENTS 1. SCA 4 legislation 2. SCA.8legislation 3. Draft Letter of Support for SCA 4 4. Draft Letter of Support for SCA 8 Agenda Review: City Attorney Finance Director City Manager ATTACHMENT I Senate Constitutional Amendment No. 4 • Introduced by Senator Liu December 3, 2012 Senate Constitutional Amendment No. 4—A resolution to propose to the people of the State of California an amendment to the Constitution of the State, by amending Section 4 of Article XIII A thereof, and by amending Section 2 of Article XIIIC thereof, relating to taxation. LEGISLATIVE COUNSEL'S DIGEST SCA 4,as introduced, Liu. Local government transportation projects: special taxes: voter approval. The California Constitution conditions the imposition of a special tax by a city,county,or special district uporrthe approval of z/, of the voters of the city, county, or special district voting on that tax, except that certain school entities may levy an ad valorem property tax for specified purposes with the approval of 55% of the voters within the jurisdiction of these entities. This measure would provide that the imposition,extension,or increase of a special tax by a local government for the purpose of providing funding for local transportation projects requires the approval of 55% of its voters voting on the proposition. The measure would also make conforming and technical, nonsubstantive changes. Vote: 2/3. Appropriation: no. Fiscal committee: no. State-mandated local program: no. 1 Resolved by the Assembly, the Senate concurring, That the 2 Legislature of the State of California at its 2011-12 Regular 3 Session commencing on the sixth day of .December 2010, 4 two-thirds of the membership of each house concurring, hereby • • d' SCA 4 —2 — I proposes to the people of the State of California that the 2 Constitution of the State be amended as follows: 3 First—That Section 4 of Article XIII A thereof is amended to 4 read: 5 Section 4.. Citics, Counties and special districts, Except as 6 •otherwise provided by Section 2 of Article XIII Cr a city, county, 7 or special district, by a two-thirds vote of the qualified electors of 8 uch-district its voters voting on the proposition, may impose • 9. special taxes on such district a special tax within that city, county, 10 or special district, except an ad valorem-taxes tax on real property 11 or a transaction transactions tax or sales tax on the sale of real 12 property within such.City, County that city, county, or special 13 district. 14 Second—That Section 2 of Article XIII C thereof is amended 15 to read: 16 SEC. 2. Local Government Tax,Limitation. Notwithstanding 17 any other provision of this Constitution: 18 (a) All taxes A tax imposed by any local'government shall be . 19 deemed to be is either a general taxes tax or a special taxes. Special 20 purpose districts tax. A special district or agencies agency, 21 including a school distri_'_, ll `a e district, has no power 22 authority to levy a general taxes tax. 23 (b) Ne-A local government-may shall not impose, extend, or 24 increase any general tax unless and until that tax is submitted to 25 the electorate and approved by a majority vote.A general-tax shall • 26 is not-be deemed to have been increased if it is imposed at a rate 27 not higher than the maximum rate so approved. The election 28 required by this subdivision shall be consolidated with a regularly 29 scheduled general election for members of the governing body of 30 the local government, except in cases of emergency declared by 31 a unanimous vote of the governing body. 32 (c) Any general tax imposed, extended, or increased, without 33 voter approval, by any local ,government on or after January 1, 34 1995, and prior to the effective date of this article, shall may 35 continue to be imposed only if that general tax is approved by a, 36 majority vote of the voters voting in an election on the issue of the 37 imposition, which election-slmH-be is held - . . -- 38 effective date of this article.no later than November 6, 1998, and 39 in compliance'with subdivision (b). • —3— SCA 4 1 (d) lade-(I) Except as otherwise provided.in paragraph (2), a 2 local government,may shall not impose, extend, or increase any 3 special tax.unless and until thatt_ax is submitted-to the electorate 4 and approved by-a two-thirds vote of the voters voting oh the 5 proposition. A special tax shall is not-be deemed to have been 6 ;increased if it is imposed at a rate not higher than the maximum 7 rate so approved. 8 (2) The imposition, extension,.or increase of a special tax by a 9 local government for the purpose of providing funding for local 10 transportation projects under its jurisdiction, as may.otherwise 11 he authorized by law requires the approval of 55 percent of the 12. voters voting on the proposition. A special tax for the purpose of 13 providing funding for local transportation projects is not deemed 14 to have been increased if it is imposed at a rate not higher than 15 the maximum rate previously approved in the manner required by 16 law The Legislature shall define local transportation projectsfor 17 purposes of this paragraph. • • 0 • • • 1 ATTACHMENT 2 Senate Constitutional.Amendment No. 8'. • Introduced by Senator Corbett • December 14, 2012 Senate Constitutional Amendment No. 8—A resolution to propose to the people of the State of California'an amendment'to the Constitution of the State, by amending Section4 of Article X111 A thereof, and by amending Section 2 of Article XIII C thereof, relating to taxation. LEGISLATIVE COUNSEL'S'DIGEST SCA 8, as introduced, Corbett: Transportation projects: special taxes: voter approval. The California Constitution conditions the imposition of a`special tax by a city,county,or special district upon the approval of z/, of the voters of the city, county, or special district voting on that tax, except that certain school entities may levy an ad valorem property tax for specified purposes with the approval of 55%,of the voters within the jurisdiction • of these entities. This,measure would provide that the imposition,extension,or increase of a special tax by a local government,for the purpose of providing funding for transportation projects the approval of 55% of its voters voting on the proposition. The measure would also make conforming and technical, nonsubstantive•changes. Vote:. 2,/3. Appropriation: no. Fiscal committee: no. State-mandated local program: no. - 1 Resolved by the Senate, the Assembly concurring,. That the 2 Legislature of the State.of California at its 12013-1'4 Regular 3 Session commencing on the third day of December 2012, 4 two-thirds of the membership of each house concurring, hereby • SCA8 —2- 1 proposes to the people of the State of California that the 2 Constitution of the Statetbe-amended as follows: 3 First-That Section 4 of Article XIII A thereof is amended to 4 read: • 5 Section 4. -- Except as 6 otherwise provided by'Section 2 of Article XIII C, a city county, 7 or'special district;by a two-thirds vote ofthe qualified electors of 8 Such district its voters voting on the proposition, may impose 9 special taxes on such district a special lax within that city, 'county, 10 or special district, except aniadvalorem-taxes tax on real property 11 or a transaction transactions tax-or sales tax on the sale of real 12 property within such City, County that city :county, or special 13 district. 14 Second—That Section 2 of Article XIII C thereof is am ended 15 to read: 16 SEC. 2. Local Government Tax Limitation. Notwithstanding 17 any other provision of thisConstitution: 18 (a) All taxes A tax imposed by any local government-shall-be 19 deemed-tobc is either,a general taxes tax or a special taxes. Special 20 'pttfpese-districts tax. A special district or agencies agency, 21 including a school districts, shall have district, has no power 22 'authority to levy a general taxes,tax. 23 (b) No-A local government-may shall not impose, extend, or 24 increase any general tax unless and until that tax is submitted to 25 the electorate and approved by a majority vote A general taxshall 26 is note deemed to have been increased if it is imposed at a:rate 27 not higher than the maximum rate so approved. The election 28 'required by this,subdivision shall be consolidated with a regularly 29 'scheduled general election;for members of the governing body of 30 the local government, exceptin cases of emergency declared by 31 a unanimous vote of the governing,body. 32 (c) Any general tax imposed, extended, or increased, without 33 voter approval, by any local government on or after January 1, 34 11995, and prior to the effective date of this article, shall may 35 continue to be imposed only if that general tax is approved by a 36 majority vote of the voters-voting in an election on the issue of the 37 imposition,which_election-shall be is held within two years of the 38 cffe tive.date of this-article no later than November 6, 1998, and 39 in'compliance with subdivision (b).. -3— SCA 8 1 (d) Ne-(1) Except as otherwise provided in paragraph (2);-a 2 local government may�shall not impose, extend, or increase any 3 special tax unless and until that-taxiis•submitted to the electorate 4 and approved by-a two-thirds vote Of the voter's voting on the 5 proposition. A special tax shall is not-be deemed to have been 6 increased,if it`is imposed at a rate not hi'gher than the maximum 7 rate so approved. 8 (2) The imposition, extension, or increase of a special tax by a 9 local government for the 'purppose of providing funding, for 10 transportation projects under its jurisdiction, as may otherwise 11 be authorized by law requires the approval of 55 percent of the 12 voters voting on the proposition. A-special tax for the purpose of 13 providing funding for transportation projects is not deemed to 14 have been increased if it is imposed at,a rate not higher than the 15 maximum rate previously approvedin the manner required bylaw. 16 The Legislature shall define transportation projects for pm poses 17 of this paragraph. O • ATTACHMENT 3 February 26;,20]3, The Honorable Carol Liu California State Senate State Capitol, Room 5097 Sacramento, CA RE: Letter of Support for SCA 4 Dear Senator Liu: I'm writing, on behalf of the City Council of the City of Petaluma,,to indicate our unanimous ,support for Senate Constitutional Amendment (SCA)No. 4. The Council believes reducing the voter threshold from the present requirement of two-thirds to ,55 percent for special taxes for transportation purposes will remove an obstacle preventing local government from providing high-priority infrastructure improvements. SCA 4 provides local govemniehts and voters a fighting.chance to fund transportation priorities, many of which with benefit that reaches.farbeyond community=boundaries.and which would otherwise go un-built for lack ofadequatestate and federal funding. Whether it is local road maintenance,regional projects requiring the co-operation of focal and State agencies, transit services, bike routes or a myriad of other transportation needs, more funding is needed. The 55 percent voter requirement-for a special transportation sales tax ensure that high priority investments are achieved.withoutthe overly burdensome two-thirds requirement. Ideally, Senator, reducing-the voter-threshold for special taxes for transportation purposes would lead the way to reducing the-voter threshold for tax measures to'enable local governments to fund other high priorities: parksand_open space improvements, public safety and civic facilities, storm drainage and flood control projects; and putting more police and firefighters on the streets. SCA 4, however, is a great start—and the Petaluma City Council wholeheartedly endorses it. Sincerely, David Glass Mayor ATTACHMENT 4 February 26; 2013 The Honorable Ellen Corbett California State Senate State Capitol„Room 313 Sacramento, CA RE: Support for SCA 8 Dear Senator Corbett: II'm writing, on behalf of the`CityCouncil of the,City of Petaluma, to indicate our unanimous 'support for Senate Constitutional Amendment;;(SCA)No. 8. IThe Council believes reducing the voter:threshold from the present=requirement of two-thirds to 155 percent for special taxes°for transportation purposes will remove an obstacle preventing local government from providing high-priority infrastructure improvements. ISCA 8 provides local governments and voters a fighting chance to fund transportation priorities, many of which with benefit that reaches far beyond:community boundaries and which would /otherwise go un-built for lack of adequate state and federal funding. Whether it is local road maintenance, regional pi ojects requiring the co-operation of local and State agencies, transit services, bike routes or a myriad:of other transportation needs, more funding is needed. The.55 (percent voter requirement for a;special transportation salestax will ensure that high priority investments are achieved without the overly burdensome two-thirds.requireinent. Ideally, Senator, reducing the voter:tbreshold for special taxes for transportation purposes would lead the way to reducing the,voter threshold for tax measures to enable local governments to fund other high priorities: parks and open space improvements, public.safety and civic facilities, storm drainage and flood control projects, and putting'more police and firefighters on the streets. SCA 8, however, is a great start—and the Petaluma City Council wholeheartedly endorses it. Sincerely, David,Glass' Mayor