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HomeMy WebLinkAboutStaff Report 1.A 04/24/2017DATE: April 24, 2017 TO: Honorable Mayor and Members of the City Council FROM: John C. Brown, City Manager , - i'l—_ SUBJECT: Revenue Measure(s) Workshop RECOMMENDATION Agenda Item #1.A It is recommended that the City Council consider and provide staff feedback regarding placing a tax increase measure, or measures, on future ballots. BACKGROUND In March 2017, the City Council adopted its goals for the two-year period of 2017 and 2018. Included in the goal "Maintain Fiscal Stability" is the priority "Establish New Revenue Sources" and within that are the tasks "revisit sales tax increase" and "consider other tax increase opportunities". This retains priorities and tasks included in the Council's goals for 2013 through 2016. This workshop is an opportunity for the Council to re-initiate effort on both these tasks. The necessity to establish new stable -based funding sources to address the City's needs is long- standing. It has been a subject of recurring consideration since 2010. Until now, consideration has focused on two tax sources: sales tax, and the transient occupancy tax (TOT). A failed sales tax measure, Measure Q, was decided by voters in 2014. Thus far, there has been no attempt to increase TOT, due in some part to objections raised by the local lodging industry and in part to the relatively small increase in revenue this alternative provided when last analyzed. A third alternative, a parcel tax, was placed before voters in 2012 (Measure X), to finance Park improvements. Measure Q was a general purpose tax, Measure X was a special purpose tax. A general purpose tax requires a simple majority of votes to pass, a special purpose tax needs a 2/3 majority to pass. Both measures require the approval of 2/3 of the City Council (five members) to place a measure on the ballot. Effort was initiated in 2016 to place another sales tax measure, focused on roads, on the ballot. It was to have been structured as a special purpose tax, but did not go forward based on polling that showed less than the requisite support to meet the 2/3 requirement. Work was done in 2012 to quantify and to prioritize unmet park needs that could be funded with a $52 - $500 per parcel tax. This range was selected on the basis of parcel size, and took into account past experience with the amount of a parcel tax voters would be thought likely to approve. This rate was expected to raise $12 million over a 15 -year period, or about $800,000 per year. The 15 -year period was also chosen as a term that would be favorable to voters. Work was done in 2013 and 2014 to quantify the City's unmet vehicle replacement, storm water, facilities, transportation, and public safety staffing needs. When viewed in a thirty (30) year window, these needs ranged from $366 to $466 million. A one -cent increase in the sales tax would have generated an estimated $10 million per year at that time, or $300 million over thirty years. Sales tax receipts have strengthened in the ensuing years, and a conservative estimate of $12 million per year is currently recommended to quantify a one cent increase. The City's set of unmet needs hasn't changed over the past three years, including the estimated $180 million needed to bring the City's streets up to "good" condition that was re -calculated in 2016 as part of an expenditure plan developed for the special tax for roads. While some emergency vehicles on the list provided to the City Council in 2013 were replaced through an interdepartmental loan, and some work has been done on City fire stations, vehicle replacement is periodic and repetitive, the work on fire stations is not the major remodels that are needed, and a dedicated funding source to pay for this work in the future is still lacking. The City's five-year financial forecast, updated in February 2017, continues to project expenses in excess of revenues in each of the next four years. It also projects declining fund balances, and imbalance during the 2018/19 fiscal year and beyond. This will be updated next week with the presentation of the annual budget. Due to reductions recommended as part of the 2017/18 budget, projections are slightly better than February's, with imbalances commencing in fiscal year 2019/20. As has been underscored in the past, balancing the budget is not the same as having the resources to maintain investments in structures, infrastructure, systems, equipment, and personnel. The unmet needs in these areas cannot be effectively addressed with existing revenue streams. Despite both this City's and the State of California's efforts to contain the rising cost of the retirement system, public agencies are facing increases in their Ca1PERS rates that will impact our budgets for the next two decades. On April 10, 2017, the City Council received a presentation on PERS rates. Dramatic escalation is projected over the next ten years, based in large part on the obligations for payments to employees who are already retired or who no longer work at the City. These increases translated to approximate increases on the average of $1 million per year, for the next ten years. The rates are projected to decline from that time forward, but based on the material presented, it will be 20 years before the rates Petaluma pays to Ca1PERS will return to the same levels as they are today. It should be noted the City Council has taken positive steps to improve its revenue picture, increasing user fees, setting development impact fees to build capital improvements, incorporating street impact fees into upcoming water and wastewater rate adjustments, and increasing franchise fees to provide both general purpose and streets funding. As well, the City downsized its operations during the recession to correspond to shrinking revenues. While budgets are increasing, reductions during the recession were effective enough that budgets are still below levels in effect a decade ago. 2 DISCUSSION This section of the report is intended to offer the City Council some alternatives for consideration, and to develop a strategy for increasing revenues to meet needs and pension cost escalations. The City Council is asked to determine the most palatable of the options, based on revenue generating capability, allowable uses, approval requirements, and timing. Research identified a limited list of alternatives cities use to levy taxes. Petaluma has already employed several of these, and any increases or new taxes require voter approval. Alternatives include sales, transient occupancy and parcel taxes. Also included are the utility user's tax, the business license tax, property tax for debt, and "other" taxes. The "other" category includes taxes such as property transfer taxes and admissions taxes. All these alternatives except for the utility user's tax, which is prohibited by the City Charter, will be discussed in more or less detail in this report. A good summary of California taxation is included in Attachment 1. The attachment was written by the Legislative Analyst's Office in 2014, but is still good introductory information. To the alternatives --- Sales-- Sales Tax. It is estimated Petaluma will receive approximately $12.5 million in FY 2017/18. This represents the City's share of the Statewide base uniform sales and use tax of 8.125 percent levied on taxable sales in Petaluma. To be conservative, and to reflect one-time and recurring adjustments that may occur, it is estimated that a one cent increase will net $12 million a year. Petaluma has among the lowest sales tax rates of Sonoma County cities. Only Windsor and Cloverdale (which passed a utility user's tax) are as low. The following table compares the current sales tax rates in Sonoma County cities Sales Tax Rates in Sonoma County, as of April 1, 20171 City Rate M) Cloverdale 8.125 Cotati 9.125 Healdsburg 8.675 Petaluma 8.125 Rohnert Park 8.625 Santa Rosa 8.625 Sebastopol 8.875 Sonoma 8.625 Windsor 8.1250 The current cap on sales tax in Sonoma County is 9.25 percent. Pursuant to State Law, the City of Petaluma can increase the general purpose local sales tax by as much as 1.125 percent. This would increase Petaluma's tax rate from 8.125% to the cap of 9.25 and could generate an additional $13.5 million annually (based on current estimates). The following is an estimate of proceeds using a variety of percentages, and over several periods of time: ' State Board of Equalization Estimated Sales Tax Proceeds, by Increase and Term Increase 1 year 5 years 10 years 20 years 30 years 0.5% $6,000,000 $30,000,000 $60,000,000 $120,000,000 $180,000,000 0.75% $9,000,000 $45,000,000 $90,000,000 $180,000,000 $270,000,000 1.00% $12,000,000 $60,000,000 $120,000,000 $240,000,000 $360,000,000 If adopted as a general purpose tax, these funds could be utilized for any City general governmental purpose. They could also be adopted as a special purpose tax, but the uses would need to be designated. Transient Occupancy Tax (TOT). It's estimated that Petaluma will receive approximately $2.75 million in TOT in 2017/18, based on Petaluma's rate of ten percent (10%). Progress is being made on two new hotels, which could add another $500,000 per year to the current totals when they are completed. That estimate is conservative, and anticipates some cannibalization from existing lodging. Including these two new hotels and using this conservative estimate, annual proceeds could total $3.25 million. This translates to $325,000 for each percent of tax levied, based on the current rate of 10 percent. TOT rates charged in Sonoma County generally consist of two components, the rates adopted by the cities for their own needs, and a separate rate collected by most jurisdictions to support either a countywide or local business improvement areas. TOT as discussed in this report refers to only the rate retained by the cities. The following table provides a comparison of those TOT rates in Sonoma County: Transient Occupancy Tax Rate Comparison, Sonoma County Cities City Rate Cloverdale 10% Cotati 10% Healdsburg 12% Petaluma 10% Rohnert Park 12% Santa Rosa 9% Sebastopol 10% Sonoma 10% Windsor 12% A two percent increase would place Petaluma equal to the highest rates charged in Sonoma County, a three percent increase would exceed all Sonoma County rates and a four percent increase would be the equivalent of larger cities such as San Francisco and Oakland. Using the $325,000 per year estimate for a one percent increase, a two percent increase would generate an additional $650,000, three percent would generate $975,000 a year, and four percent would generate $1.3 million a year. 4 Like the sales tax, a TOT increase can be presented to the voters as a general tax or as a special purpose tax, depending on how the proceeds are to be used. The percentage needed for passage follows the same requirements, a simple majority for a general purpose tax, a 2/3 majority for a special purpose tax. Parcel Tax. A parcel tax is a levy on parcels of property, and is typically set at some fixed amount per parcel determined as necessary to pay for a specific service or improvement. A parcel tax cannot be based on a property's value. As a tax levied on property, it must be structured as a special tax, does not make revenue available for general purposes, and requires a 2/3 majority for passage. As an item added to the property tax bill there's a sense that parcel taxes over a certain amount will be viewed unfavorably by tax payers. The rates discussed in the Background section of this report regarding Measure X were set with that consideration in mind. This approach limits the amount of revenue such a measure can generate, again, using the Measure X example, rates of $52 -$500 per parcel, were estimated to generate approximately $800,000 per year. A revenue of this nature would best be used to finance a project, or set of projects, but cannot be used for general purposes. Property Tax for Debt. Proposition 13 specifically restricts the amount of property tax that can be levied on real property, and the amount it can be increased annually. One exception to this is an increase to finance infrastructure improvements through bonded indebtedness. Constructing a new Fire Station, using money borrowed against this source, would be one example of how this alternative might be used. As a property -based charge, the law requires such a levy to be approved as a special purpose tax, which requires a 2/3 majority to pass. It cannot be used for general governmental purposes. Business License Tax. Like nearly all California cities, Petaluma levies a business license tax, a tax on businesses for the privilege of conducting business within the City. These taxes can differ in structure, ranging from flat fees, sliding scales based on the number of employees, vehicles, square footage, gross receipts, gross payroll, or some combination of these elements. Petaluma's business license tax starts at a flat rate of $45 and increases depending on the type of business, and gross receipts. Approximately 5,200 businesses pay Petaluma's business license tax, at an average of $230 per business, per year. This generates $1.3 million a year, which is used as general purpose revenue. Comparing Petaluma's structure to those of surrounding communities does not lend itself to one usefiil table. As such, Attachment 2 provides a summary of our business license structure, and those in select surrounding communities. Petaluma's rates were established in 1993, and last adjusted in 1995. Doubling the entire program, as an example, could generate an additional $1.3 million per year. Increasing the business license tax could be done as a general purpose, or a special purpose tax. 5 Other Taxes Documentary Transfer Tax/Real Property Transfer Tax. The California Documentary Transfer Tax Act allows a rate of $1.10 per $1,000 of value. The tax is imposed "on each deed, instrument, or writing by which any lands, tenements, or other realty sold within the county shall be granted, assigned, transferred, or otherwise conveyed to, or vested in, the purchaser or purchasers, or any other person or persons, by his or their direction." Value is typically calculated based on assessed valuation. In most cases, typically involving general law cities and counties, this rate is shared between the city and the county. In that case each agency charges $.55 per $1,000 of assessed valuation, for a combined total of $1.10. A full listing of these rates is provided in Attachment 3. The law allows certain cities, mostly chartered jurisdictions, to establish real property transfer taxes at higher rates and/or to expand the circumstances under which the documentary transfer taxis imposed. Petaluma is one of these, with a rate of $2.00. Added to the $1.10 charged by Sonoma County, the combined rate charged to transactions in Petaluma is $3.10 per 1,000 of valuation. The following table provides a list of the rates in effect in other Sonoma County cities, the County rate, and the combined rate: City Gen Law/ City Rate County Combined Chartered Per $1,000 Av Per $1,000 Av Rate Cloverdale general law $ 0.55 $ 0.55 $ 1.10 Cotati general law $ 1.90 $ 1.10 $ 3.00 Healdsburg general law $ 0.55 $ 0.55 $ 1.10 Petaluma chartered $ 2.00 $ 1.10 $ 3.10 Rohnert Park general law $ 0.55 $ 0.55 $ 1.10 Santa Rosa chartered $ 2.00 $ 1.10 $ 3.10 Sebastopol general law $ 0.55 $ 0.55 $ 1.10 Sonoma general law $ 0.55 $ 0.55 $ 1.10 Windsor general law $ 0.55 $ 0.55 $ 1.10 It is estimated Petaluma will collect $1.15 million in real property transfer taxes in 2017/18. As detailed in Attachment 3, some cities levy higher rates, with as much as $15 dollars per $1,000 of valuation charged in Berkeley and Oakland. A doubling of Petaluma's rate at the current transaction volume would generate an additional $1.15 million per year. By way of illustration, that increase would add $1,270 to the transaction costs of the sale of a home, based on the current average of $635,000. Increasing the real property transfer tax could be done for either general purposes or special purposes. Admissions Tax. An admissions tax is a per ticket charge for attendance at a facility or event within the City. Events that serve as serve as fiundraisers for nonprofit organizations can be exempted. In some cases, it may be required to exempt non -profits fi-om the tax. It can also be written to charge an admissions tax in certain event venues such as a stadium or parade. ' Zillow, March 2017 m Currently, eleven cities around the state are collecting an admissions tax. The table below summarizes the revenues and rates for the admissions tax of each city, for FY 2013/143. City Rate Revenue Avalon 4% of price of entry $ 549,968 Azusa $.5 per ticket $ 8,408 Fairfield $5.00 per person, golf courses $ 507,735 Indian Wells 10 percent price of entry $2,244,120 Inglewood 10 percent price of entry $ 237,180 Irwindale 3 percent price of entry $ 24,431 Pasadena 5 percent, max of $.5 $ 448,264 Pomona $.02 per carnival ride $ 219,586 San Fernando $.3 per ticket $ 770,051 San Francisco $.5 per ticket $25 and under $2,413,555 $1.50 per ticket over $25 Santa Cruz 5 percent on price of entry $2,274,117 Petaluma could choose to levy an admissions tax, which could be for either general governmental or special purpose. The amount of revenue that would be generated is dependent on what admissions are taxed, at what rate, and on the number of tickets sold. Research was not done with individual businesses in Petaluma to determine their "occupancy" rates. Estimates were based on approximately 2,200 seats between live music venues and movie theaters, and occupancy rates of between 30 and 60 percent were applied. Actual numbers for fair attendance and ticketed fairgrounds events were also used. On those bases, initial estimates indicate Petaluma could generate approximately $400,000 a year if a $0.50 admissions tax were levied. Higher occupancy rates, or a larger levy, would create greater revenue opportunities. There are other funding mechanisms, such as benefit assessment districts for example, that could be used to fund certain improvements, but are not discussed here. The foregoing alternatives present what appears to be the broadest opportunities for generating the kinds of revenue needed to keep the City solvent into the future and to meet some of its unmet needs. In that regard, it's recommended that the City Council give the strongest consideration to revenues such as sales tax that provide the greatest support, and to those which lend themselves to general governmental purposes rather than to restricted purposes. In any event, the Council may need to package several of these alternatives together, or introduce them sequentially to voters, in order to provide the kind of financial stability and preservation of service this community deserves. One final note, in this regard. Senate Bill 1 was just signed into law, which will lend some support to fixing Petal urea's roads. The increase is modest, but it will provide approximately 1/3 more funding for streets than is currently available, reducing the amount that must be generated locally. Further, discussions are occurring regarding the extension of Measure M, a local sales tax for transportation that has been funding area highway widening efforts and providing some support to local street and road work. A continuation of, and increase in, that source will also 3 CaliforniaCityFinance.com computations from FY13-14 data reported to the California State Controller 7 provide needed relief to Petaluma, and further reduce the need to fund these improvements with local tax sources. Funding from these sources can have the benefit of enabling the City to address the single largest concern of our residents, our roads, and free up taxing capacity that can be used to focus on other City needs. Election Timin State law designates four dates as established election dates: the second Tuesday in April in even -numbered years; the first Tuesday after the first Monday in March in odd -numbered years; the first Tuesday after the first Monday in June in each year; and the first Tuesday after the first Monday in November in each year. Statewide elections are generally held in June and November in even -numbered years. Local government elections calling for voter approval of taxes generally must be held on an established election date (or at a special election called by the Governor). This requirement does not apply to elections of charter cities and counties as these local governments are generally free to select their own election dates; or for by -mail ballot elections. By -mail ballots may be held one of three dates: the first Tuesday after the first Monday in May in each year; the first Tuesday after the first Monday in March in even -numbered years; and the last Tuesday in August in each year. Petaluma's elections have thus far been conducted at the ballot box, and not by mail. Research can be done to determine how a by -mail balloting may be accomplished if the City Council wishes to further consider that option. It's clear that local governments may call an election to seek approval of a special tax or bond measure on any date allowed in state law or authorized in their local charters. it also appears that as a charter city, Petaluma may be able to call an election on other dates of its choosing, although more research will be needed to determine the limitations on that ability. There is, however, another limitation that applies to elections for general purpose taxes. These measures must be decided at a regularly scheduled local election, unless an emergency is declared by a unanimous vote of the local government's governing body. This requirement applies to charter cities and charter counties, although these entities generally have broad authority to set the dates of their regularly scheduled elections. During goal setting this year, the Council briefly discussed the wisdom of conducting a tax measure at other than a November election, considering either a June primary election or one of the other elections provided for by State Law. Taking into consideration the number of measures that can appear on a primary or general election ballot, it may make strategic sense to opt for an "off -cycle" election date so that voters' attention is directed solely to Petaluma. Such dates can easily accommodate special purpose tax measures, but if the City Council wishes to place a general purpose tax, or taxes on such a ballot it will need to make findings of emergency. Unfortunately, it appears that the fiscal conditions to support those findings will be existent for the General Fund, based on current forecasting. FINANCIAL IMPACTS Election costs are based on the cost of an election, and the number of registered voters in a given community. A number of factors enter into the calculation of costs, the number of candidates involved, the number of measures on the ballot, consolidation with statewide elections, and the number of entities sharing in the cost. In the past, estimates for Petaluma measures have ranged from under $20,000 to over $60,000. An off -cycle election will probably have less participants to share costs, and as such could be a more expensive option. Additional work with the County Elections office will be needed, as the City Council develops its approach, to better determine election costs during 2017, or prior to November of 2018. ATTACHMENTS 1. Summary of California Taxation: "A Look at Voter -Approval Requirements for Local Taxes" 2. Business License Fee Comparison Schedule 3. California City Documentary and Property Transfer Tax Rates 9 ATTACHMENT 1 Introduction For about 100 years, California's local governments generally could raise taxes without directly securing their residents' consent. Beginning in 1978, the state's voters amended the California Constitution several times to require that local government tax increases be approved by local voters. Recently, the Legislature has shown interest in exploring changes to voter -approval requirements for local taxes. Several proposals to place changes before the voters have been introduced during the current legislative session. This report was developed to provide context for discussions about the state's voter -approval requirements. We do not offer any suggested changes to these requirements. The report is divided into four sections: • Local Government Basics. This section provides a brief introduction to local governments in California. Voter -Approval Requirements for Taxes. This section summarizes the state's existing system of voter -approval requirements for local taxes. How California's Requirements Evolved. This section explains how the state's complex voter -approval system evolved. A Look at Election Results. This section reviews outcomes of local tax elections over the last 15 years. Understanding California's voter -approval requirements for local taxes necessitates some basic knowledge of local governments. Therefore, prior to our discussion of voter -approval requirements, in this section we provide a brief introduction to local governments in California. California Has Over 5,000 Local Governments. Californians receive services from AN LAO BRIEF over 5,000 local governments—counties, cities, school districts, community college districts, and special districts (such as 'fire districts, flood control districts, and water districts). Each local government has a local governing body (such as a city council or board of supervisors) that makes decisions about its programs, services, and operations. Local residents generally elect the members of local governing bodies. Role of Local Governments. Cities, counties, and special districts share the responsibility of providing municipal services—such as police, fire protection, sewer, water, parks, and libraries—to California residents. Counties, in addition to providing some municipal services, also provide countywide services, such as health and social service programs. School and community college districts are the primary provider of education from kindergarten to lower -level post -secondary education and vocational training. Local Governments May Increase Property property taxes are referred to simply as property taxes.) The State Constitution limits, with narrow exceptions, the property tax rate to 1 percent. Local governments may raise the property tax rate only for two purposes: (1) to pay debt approved by voters prior to July 1, 1978 and (2) to finance bonds for infrastructure projects. Cities and Counties Have Broad Tax Authority. Outside of the property tax, cities and counties have authority to impose a broad range Of taxes, including sales taxes, parcel taxes, utility taxes, hotel taxes, and business taxes. Figure 1 provides descriptions of the primary types of taxes that local governments may impose. Special Districts and School and Community College Districts Have More Narrow Tax Authority. Most special districts and school and community college districts are authorized to levy only parcel taxes to fund services. Parcel taxes generally are paid by most property owners within each local government's jurisdiction. In some cases, Taxes Only to Finance Voter Approved Debt. however, certain groups of property owners— Taxes levied on property owners based on a such as senior citizens—may be exempted. A property's value are known as ad valorem taxes. limited number of special districts—primarily (For the remainder of the report, ad valorem transportation districts—also may levy sales taxes. Figure 1 Local Governments Levy Many Types of Taxes -r - - _ _�rlT Property Tax for debt Parcel Tax Sales Tax Hotel Tax Utility Tax Business Tax Other Taxes A levy on property based on the properties' Cities, counties, special districts, and assessed value and used for voter approved debt. school and community college districts A levy on parcels of property, typically set at some Cities, counties, special districts, and fixed amount per parcel. Cannot be based on a school and community college districts property's value. A levy on the retail sale of tangible goods. A levy on the occupancy of hotels, motels, or other short-term lodging. A levy on the use of utilities, such as electricity, gas, or telecommunications. A levy on operators of businesses. Other types of taxes including Mello -Roos taxes and property transfer taxes. 2 Legislative Analyst's Office www.lao.ca.gov Cities, counties, and some special districts Cities and counties Cities and counties Cities and counties Primarily cities and counties AN LAO BRIEF Local governments must obtain the approval of local voters to raise taxes. The only exception to this rule is for property tax rate increases to pay debt approved by voters before 1978. Local government voter -approval requirements vary based on several factors, including the type of local government raising the revenues, the revenue mechanism, and the use of the revenues. In this section we summarize California's complex system of voter -approval requirements for local taxes. Is the Charge a Tax? Some types of local government charges are not considered taxes and, therefore, are not subject to voter approval. In general, a local government levy, charge, or exaction is a tax and subject to voter approval unless it meets at least one of seven exemptions defined in the State Constitution. Figure 2 lists these exemptions. Some charges are categorically exempt: fines and penalties for violating the law, entrance charges and charges for use of government property, local property development charges, and property assessments and property -related fees imposed in accordance with Proposition 218 (discussed in more detail below). Other charges are exempt if they satisfy certain conditions. Charges for a government service, benefit, or product are exempt if the local government (1) charges no more than its reasonable costs, (2) provides the service directly to the payer, and (3) does not provide the service to non -fee payers. In addition, regulatory fees are exempt if the fee is limited to the local government's direct cost to regulate the fee payer. Figure 2 Local Government Charges Exempt From Voter Approval a R- U A charge imposed for a specific benefit conferred or privilege granted directly to the payer that is not provided to those not charged, and which does not exceed the reasonable costs to the local government of conferring the benefit or granting the privilege. v A charge imposed for a specific government service or product provided directly to the payer that is not provided to those not charged, and which does not exceed the reasonable costs to the local government of providing the service or product. A charge.imposed for the reasonable regulatory costs to a local government for issuing licenses and permits, performing investigations, inspections, audits, enforcing agricultural marketing orders, and the administrative enforcement and adjudication thereof. V/ A charge imposed for entrance to or use of local government property, or the purchase, rental, or lease of local government property. A fine, penalty, or other monetary charge imposed by the judicial branch of government or a local government, as a result of a violation of law. A charge imposed as a condition of property development. V/ Assessments and property -related fees imposed in accordance with the provisions of Article XIII D. www.lao.ca.gov Legislative Analyst's Office 3 AN LAO BRIEF Determining the Applicable Voter -Approval Threshold All Local Government Taxes Fall in One of Three Categories. New local government taxes generally can be placed into one of three categories: (1) property taxes to finance debt, (2) general taxes, and (3) special taxes. Each of these categories has different rules regarding voter approval. Figure 3 displays a process that can be used to determine to which of the three categories a proposed tax belongs and to determine the tax's voter -approval requirement. Below, we define each of these categories of taxes and discuss the applicable voter - approval requirements. Requirements Vary to Increase Property Tax for Infrastructure Bonds. As discussed above, the property tax may be raised only to (1) pay debt approved by voters prior to July 1, 1978 and (2) finance infrastructure bonds. Additional, voter approval is not required to increase property tax to pay debt approved by voters prior to July 1, 1978. Voter approval is required to increase the property tax to finance infrastructure bonds. The voter - approval requirement to raise property taxes to fund bonds depends on the type of infrastructure project to be funded. Generally speaking, property tax increases for infrastructure bonds require approval by two-thirds of local voters. Property tax increases for school facility bonds that satisfy certain conditions, however, can be approved by 55 percent of local voters. These requirements are described in more detail in Figure 4 (see page 6). Simple Majority Approval Is Required for General Taxes. A general tax requires approval by a simple majority of voters. (A simple majority is 50 percent of voters plus one additional voter.) A general tax is a tax (1) levied by a general purpose government—city or county—and (2) expended, at the discretion of the local government's governing body, on any programs or services. All 4 Legislative Analyst's Office www.lao.ca.gov non -property taxes which cities and counties are authorized to levy maybe imposed as general taxes. Two -Thirds of Voters Are Required to Approve Special Taxes. Special taxes require approval from two-thirds of local voters. A special tax is a tax that meets one of the following conditions: Special -Purpose District Tax. All taxes— other than property taxes for infrastructure bonds—levied by special districts, school districts, and community college districts are special taxes. • Tax Dedicated to a Specific Purpose. A city or county tax dedicated to a specific purpose or specific purposes—including a tax for a specific purpose deposited to the agency's general fund—is a special tax. All non -property taxes that cities and counties are authorized to levy may be raised as special taxes. • Tax Levied on Property. All taxes levied on property other than the property tax— typically parcel taxes—are special taxes. Election Timing State Law Establishes Official Election Dates. State law designates four dates as established election dates: (1) the second Tuesday in April in even -numbered years, (2) the first Tuesday after the first Monday in March in odd -numbered years, (3) the first Tuesday after the first Monday in June in each year, and (4) the first Tuesday after the first Monday in November in each year. Statewide elections generally are held in June and November in even -numbered years. Local government elections—including elections called for voter approval of taxes—generally must be held on an established election date or at a special election called by the Governor. This requirement does not apply to: ANLAO BRIEF Figure How. to Determine the Voter -Approval Threshold for a Proposed Local Government Chargea I This graphic excludes property tax increases to pay debt approved by voters prior to July 1, 1978. www.lao.ca.gov Legislative Analyst's Office AN LAO BRIEF Elections of charter cities and charter counties (cities and counties that are governed primarily by their own charter as opposed to state law) as these local government are generally free to select their own election dates. Elections of school districts that have consolidated their election with a city or county. Elections for school facilities bond measures that are to be approved by two-thirds of local voters. All -mail ballot elections, which may be held on one of three dates: (1) the first Tuesday after the first Monday in May in each year, (2) the first Tuesday after the first Monday in March in even -numbered years, and (3) the last Tuesday in August in each year. Additional Limitations Apply to Some Taxes. Local governments may call an election to seek approval of a special tax or bond measure (except for school facilities bond measures subject to a 55 percent voter -approval threshold) on any date allowed in state law or authorized in their local charters. Additional limitations, however, apply to elections for general taxes and school facilities bond measures subject to a 55 percent voter -approval threshold. General taxes must be decided at a regularly scheduled local election, except in the case of an emergency declared by a unanimous vote Figure 4 Conditions a School Facilities Bond Must Meet to Qualify for 55 Percent Voter Approval y The bond measure includes: • A requirement that the bond funds can be used only for construction, rehabilitation, equipping of school facilities, or the acquisition or lease of real property for school facilities. • A specific list of projects to be funded and certification that the school district board or community college board has evaluated safety, class size reduction, and information technology needs in developing the list. • A requirement that the school district board or community college board conduct annual, independent financial and performance audits until all bond funds have been spent to ensure that the bond funds have been used only for the projects listed in the measure. Two-thirds of the governing board of the school district or community college district approve placing the bond measure on the ballot. The bond measure is decided at a statewide primary, general, or special election or a regularly scheduled local election. The property tax rate levied as a result of any single election will not exceed $60 (for unified school district), $30 (for a school district), or $25 (for a community college district), per $100,000 of taxable property value. The bonds issued, when combined with other bonds issued by the district, will not exceed 1.25 percent of property value in the district or 2.5 percent of property value in unified school districts and community college districts. Yl The governing board of the school district or community college district appoint a citizens' oversight committee to inform the public concerning spending of the bond revenues. Legislative Analyst's Office www.lao.Ga.gov AN LAO BRIEF of the local government's governing body. (This scheduled elections.) School facilities bond measures requirement applies to charter cities and charter subject to a 55 percent voter -approval threshold must counties, although these entities generally have be decided at a regularly scheduled local election or a broad authority to set the dates of their regularly state primary, general, or special election. California's voter -approval requirements for government annually determined the amount local taxes evolved over multiple decades, as can of property tax revenue necessary to finance the be seen in Figure 5. In this section, we discuss the desired level of services and set its property tax major events in the evolution of voter -approval rate—by a vote of its governing board—to collect requirements for local taxes. Prior to Proposition 13, Most Taxes Could Be Raised Without Voter Approval. Local governments generally could raise or lower a tax without the assent of local voters prior to voter approval of Proposition 13 in 1978. For most local governments, the property tax was the most significant source of local tax revenue. Each local that amount. A property owner's property tax bill reflected the sum of the individual rates set by each taxing entity serving the property. State law provided most local governments very limited authority to levy other non -property taxes. Cities, especially charter cities, were an exception as they had greater authority to levy non -property taxes. Although voter approval generally was not required Figure 5 Major Milestones in the Development of Voter -Approval Requirements for Local Taxes f ;M- M1110 r. 11 1978 Proposition 13 • Lowered the property tax rate to a maximum of 1 percent (for general purposes). • Required special taxes to be approved by two-thirds of voters. 1982 City and County of • Defined a special tax as a tax levied for a specific purpose. San Francisco v. Farrell 1986 Proposition 46 • Allowed local governments to raise the property tax rate to finance infrastructure bonds if approved by two-thirds of local voters. 1986 Proposition 62 • Required general taxes to be approved by a simple majority of voters. (Did not apply to charter cities.) 1996 Proposition 218 • Required all general taxes to be approved by a simple majority of voters. • Defined a special tax as all taxes (1) levied by special districts and school and community colleges districts and (2) used for specific purposes. • Required all parcel taxes to be levied as special taxes. 2000 Proposition 39 • Lowered the voter -approval threshold for school facilities bond measures to 55 percent. 2010 Proposition 26 • Narrowed the scope of charges that local governments can levy without voter approval. a Excludes provisions related to state taxes or local assessments and fees. www.lao.ca.gov Legislative Analyst's Office 7 AN LAO BRIEF for local taxes until 1978, as discussed in the nearby box, voter -approval requirements for local government debt date back to the 191'' century. Proposition 13 Fundamentally Altered Local Government Finance. In June 1978, California voters approved a constitutional amendment that fundamentally changed local government finance. (Proposition 13 also required state taxes to be approved by two-thirds of both houses of the Legislature. Requirements for state taxes are not discussed in this report.) Specifically, Proposition 13 lowered the aggregate property tax rate in each county to a constitutional maximum of 1 percent (plus amounts necessary to pay debt approved by voters prior to Proposition 13) and assigned responsibility for property tax allocation to the state. In effect, Proposition 13 eliminated local government control over property taxes and immediately reduced local government property tax revenues by more than 60 percent. Voter Approval Required for "Special Taxes." Proposition 13 also required special taxes levied by local governments to be approved by two-thirds of local voters. At the time of Proposition 13's passage, the ramifications of this provision were unclear. Some supporters of Proposition 13 indicated that they intended special taxes to refer to all non -property taxes levied by local governments, by two-thirds of local voters. However, the measure did not explicitly define the term special taxes and different local governments interpreted this term differently. Notably, the City and County of San Francisco suggested an alternative definition of a special tax: a tax levied for a specific purpose. Based on this reasoning, in 1980 the City and County of San Francisco increased a tax on businesses for general government purposes without obtaining approval of two-thirds of voters. The legality of the new business tax was challenged—in City and County of San Francisco v. Farrell—and, in 1982, the California Supreme Court ruled in favor of San Francisco. In doing so, the Court defined a special tax as a tax levied for a specific purpose, as opposed to a tax used for general government purposes. (This ruling is hereafter referred to as the Farrell decision.) By extension, taxes levied for general government purposes, general taxes, were not subject to voter approval. Voter -Approval Requirements Extended to General Taxes. Following Proposition 13, many cities that had historically been reliant on the property tax began to enact other non -property taxes. Business taxes, hotel taxes, and utility taxes that had comprised a small portion of city revenue prior to Proposition 13 began to comprise a growing share of city revenues. In many cases, thereby requiring all new local taxes to be approved these taxes were enacted as general taxes and, Vote Requirements for Local Debt Were Established in the 19th Century The State Constitution of 1879 required most local governments to obtain approval from two-thirds of local voters prior to issuing long-term debt. While these requirements remain in effect today (voters relaxed these requirements for school facilities bonds in 2000), the breadth of their application has declined over time. Various types of long-term obligations commonly incurred by local governments—such as lease -revenue bonds, certificates of participation, pension obligation bonds, and pension liabilities and other retiree benefits—have not been held to be debt subject to voter -approval requirements. Long-term obligations not subject to voter -approval were far less common among local governments over a century ago than they are today. 8 Legislative Analyst's Office www.lao.ca.gov AN LAO BRIEF therefore, did not require voter approval. In Proposition 218 Adds Voter Approval response to this trend, in 1984 the proponents Requirements to the State Constitution. In of Proposition 13 advanced another initiative November 1996, voters approved Proposition 218, constitutional amendment, Proposition 36, that would have required all local government tax increases (both general and special taxes) to be approved by two-thirds of local voters. Voters did not approve Proposition 36. Two years later, voters approved Proposition 62, which required general taxes to be approved by a simple majority of local voters. Proposition 62 also reiterated that special taxes must be approved by two-thirds of local voters. Some challenged Proposition 62 in court, arguing that it (1) constituted an unconstitutional referendum on taxes and (2) as a statutory measure, did not apply to charter cities, which derive their taxing authority from the State Constitution. In 1990, prior to the California Supreme Court ruling on Proposition 62, voters rejected a measure (Proposition 136) proposing to amend the State Constitution to require, among other provisions, simple majority voter approval of all local government general taxes. Five years later, the California Supreme Court upheld the constitutionality of Proposition 62, for all local governments other than charter cities. Legislature Authorizes Local Governments to Levy Parcel Taxes. While Proposition 13 capped property taxes, it did not prohibit other levies on property owners not based on a property's value. During the 1980s, the Legislature enacted a series of legislation that authorized local governments to levy a new type of tax on property owners: the parcel tax. Unlike the property tax which varies based on a property's value, a parcel tax is typically set at a fixed amount per parcel (or fixed amounts per room or per square foot of the parcel). Under Proposition 13, parcel taxes are the only source of locally controlled, general purpose tax revenue for most special districts, school districts, and community college districts. which added to the State Constitution 'a collection of voter -approval requirements for local taxes. Proposition 218 also made other important changes to local government finance, which are summarized in the box on page 10. In several respects, Proposition 218 simply constitutionalized aspects of the voter -approval system that already existed in statute and case law. First, Proposition 218 reinforced Proposition 62's simple majority approval requirement for general taxes. In doing so, Proposition 218 extended voter -approval requirements of general taxes to all local governments—including charter cities. Proposition 218 also largely affirmed the Farrell decision's definition of special taxes—special taxes are those dedicated for specific government purposes. Proposition 218 established in the State Constitution that special taxes are (1) all taxes levied by special districts and school and community colleges districts and (2) taxes for specific purposes, even if the revenues are deposited in an agency's general fund. Finally, Proposition 218 added to the State Constitution the requirement that all parcel taxes must be approved as special taxes, thereby requiring them to be approved by two-thirds of local voters. Proposition 218 also introduced a new requirement that a general tax must be presented to voters at a regularly scheduled local election, except in cases of an emergency declared by a unanimous vote of the local government's governing body. Voters Relaxed Proposition 13's Limit on Property Taxes. During roughly the same period that two measures (Proposition 62 and Proposition 218) were approved to expand the voter -approval requirements of Proposition 13, voters approved two measures that relaxed the Constitution's limitations on property taxes. www.lao.ca.gov Legislative Analyst's Office 9 AN LAO BRIEF In June 1986, voters approved Proposition 46, which amended the provisions of Proposition 13 to allow local governments to raise the aggregate property tax, rate for the purpose of financing infrastructure bonds if approved by two-thirds of local voters. (Property tax increases to fund infrastructure bonds are hereafter referred to as measures proposed to lower the voter -approval threshold (the proportion of voters that must approve a tax measure) for school facilities bond measures. Specifically, Proposition 170 (November 1993) and Proposition 26 (March 2000) proposed to lower the voter -approval threshold from two-thirds to a simple majority. These measures "bond measures.") Following Proposition 46, three were not approved by voters. The third measure, Proposition 218 Addressed More Than Voter Approval of Taxes Proposition 218, a constitutional amendment approved by voters in November 1996, added to the State Constitution a collection of voter -approval requirements for local taxes. Proposition 218 also constrained the revenue -raising capacity of local governments in other ways, described below. Tightened Approval Requirements for Property Assessments. Local governments may levy a charge, known as an assessment, on property owners to pay for a particular public improvement or service—such as flood control improvements, streets, lighting, and landscaping—that benefits the properties. Assessment rates are linked to the cost of providing the service or improvement. Proposition 218 established requirements local governments must follow to impose an assessment. First, a local government must verify that property owners would receive a specific, direct benefit from the project or service being funded by the assessment. Second, a local government must estimate the cost of providing the specific benefit to each property owner. Next, each property owner's assessment should be set such that the assessment does not exceed his or her proportional share of total costs. Finally, the local government must notify all affected property owners by mail. Each assessment notice must contain a mail -in form for the property owner to indicate his or her approval or disapproval of the assessment. The assessment may be imposed only if 50 percent or more of these forms, weighted by the assessment amount each property owner will pay, support the assessment. Constrained Local Government Authority to Impose Certain Fees on Property Owners. Proposition 218 limits local government authority to impose "property related fees." This term is defined as fees unposed "as an incident of property ownership" and includes fees such as those for garbage service, sewer service, and storm water management. Under Proposition 218, revenues from these fees may not be used for a general governmental service or for a service not immediately available to the fee payer. In addition, the amount of the fee may not exceed the local government's proportionate cost to provide the service to the property owner. Finally, Proposition 218 specifies that, before imposing or increasing these fees, the local government must (1) mail information to fee payers, (2) reject the fee if written protests are presented by a majority of the affected property owners and (3) hold an election except for fees for water, sewer, and refuse collection. Voters Given Power to Reduce or Repeal Taxes and Other Charges Via Initiative. Proposition 218 also included a provision which expressly authorizes local residents to reduce or repeal any local tax, assessment, or fee through the initiative process. 10 Legislative Analyst's Office , www.lao.ca.gov AN LAO BRIEF Proposition 39, approved by voters in November 2000, lowered the voter -approval threshold to 55 percent for school facilities bond measures meeting certain conditions. Proposition 39 and legislation enacted to implement Proposition 39— Chapter 44, Statutes of 2000 (AB 1908, Lempert), as amended by Chapter 580, Statutes of 2000 (AB 2659, Lempert)—defined the conditions a bond measure must satisfy to qualify for a 55 percent voter -approval threshold. These conditions are described in Figure 4 on page 6. Proposition 26 Broadened the Definition of a Tax. It generally is easier for local governments to approve new fees—which can be imposed by a majority vote of the governing board without voter approval—than to approve new taxes. Proposition 26, approved by voters in November 2010, amended the State Constitution to recast as taxes some charges that local governments formerly could levy without voter approval. (Proposition 26 also recast as taxes certain charges that the Legislature formerly could impose as fees.) Under Proposition 26, a local government levy, charge, or exaction is a tax and subject to voter approval unless it meets at least one of seven exemptions. Figure 2 on page 3 lists these exemptions. AT 1 °T . Over the past 15 years, voters have considered Investment Advisory Commission summary over 3,000 local tax and bond measures (property reports of state and local elections and (2) the tax increases to fund infrastructure bonds) under California Elections Data Archive maintained by the rules described earlier in this report. In this section, we discuss the main findings of our review of the outcomes of these measures. The passage rate of tax and bond measures increased during the past 15 years. Proposition 39 led to a substantial increase in the passage rate of school facilities bond measures. • Voter support of tax and bond measures is influenced by many factors, including location, revenue sources, use of the revenues, and election timing. . ' Variation in voter -approval requirements results in variation in passage rates. Certain taxes, subject to a higher voter - approval threshold, pass less often despite receiving more yes votes. About the Data. We compiled data from two primary sources: (1) California Debt and the Institute for Social Research at California State University, Sacramento. These sources provide the outcomes of most local tax and bond measure elections over the period 1998-2012. The dataset does not include information about measures proposed by special districts at local special elections. Passage Rates of Tax and Bond Measures Have Increased Tax Measures Are Now Passing More Frequently. As Figure 6 shows (see next page), the statewide passage rate of tax measures increased over the period 1998-2012. Voters approved a little less than half of tax measures in 1998, compared with nearly two-thirds of tax measures in 2012. The increase in the passage rate of tax measures does not appear to reflect an increase in voter support for taxes because the average percent of electors voting yes for tax measures was fairly flat during this period. Instead, the upward trend in the www.lao.ca.gov Legislative Analyst's Office 11 AN LAO BRIEF Figure 6 Passage Rate of Local Tax Measures Increased Over Past 15 Years' 60 _= ON 50 - �—s=—=- 40 30 20— Average Percentage of Electors Voting Yes on Tax Passage Rate 10 — ---- —------- -- ---- — --- -- - -- 98 99 00-01 02-03 04 05 06-07 08-09 10-11 2012 passage rate of tax measures appears to be due to an increase in the number of proposed general taxes relative to the number of proposed special taxes. Largely because general taxes are subject to a lower voter -approval threshold, general taxes typically pass more often than special taxes. Passage Rate of Bond Measures Increased Significantly Following Proposition 39. The statewide passage rate of bond measures also increased during this period. Voters approved 58 percent of bond measures in 1998, compared with 80 percent in 2012. Similar to tax measures, the increase in the passage rate of bond measures does not appear to reflect an increase in voter support for bonds. The average percent of electors voting yes on bond measures was roughly flat during this period. Rather, the increase in the passage rate of bond measures appears to be the result of Proposition 39's reduction in the voter -approval threshold for school facility bonds, which comprise a significant majority of local bond measures. As Figure 7 shows, the passage rate of school facilities bonds increased by almost 30 percentage points following voter approval of Proposition 39 in 2000. In the 12 years following voter approval of Proposition 39, 83 percent of Proposition 39 school facilities bonds passed, compared to 54 percent of bonds for the 12 year period prior to Proposition 39. Factors other than Proposition 39's change in the voter -approval threshold for school facilities bonds—such changes in availability of state matching funds or the various transparency requirements for Proposition 39 school facilities bonds—could have contributed to the increase in 12 Legislative Analyst's Office www.lao.ca.gov AN LAO BRIEF the passage rate of these measures. However, the fact that we find no increase in the percent of yes votes received by school facilities bond measures suggests that the effect of these other factors was limited. No Clear Trend In Passage Rate of Nonschool Bond Measures. Although the passage rate of school facilities bonds increased, we find that there was no clear trend in the passage rate of nonschool bond measures. During this period, voters approved 57 percent of nonschool bond measures. Location, Revenue Source, and Purpose Affect Passage Rates Taxes Passed More Often in Some Counties. The passage rate of tax and bond measures varies significantly from county to county. Voters approved over 80 percent of tax and bond measures in some counties, while voters approved less than a third of measures in other counties. Figure 8 displays the passage rate for each county. A Higher Percentage of Taxes Paid by a Narrow Group Passed Than Other Types of Taxes. Voters approved a higher percentage of taxes levied on a narrow taxpayer base—such as business taxes and hotel taxes—than other types of taxes. Figure 9 (see next page) shows the number of approved and failed tax measures by revenue source. As suggested by Figure 9, the passage rates of business taxes (68 percent) and hotel taxes (60 percent) exceeded the passage rates of other major types of local government taxes, specifically utility taxes (57 percent), sales taxes (54 percent), and parcel taxes (51 percent). Although business and hotel taxes passed more often, they represent less than 20 percent of approved tax measures (in part because only Figure 8 Local Tax and Bond Measure Outcomes Vary Across Counties Note: According to our data, no measures were proposed in Alpine County between 1998 and 2012. www.lao.ca.gov Legislative Analyst's Office 13 Figure 9 t Which Types of Local Taxes Have Higher Passage Rates? Number of Proposed Local Taxes by Type, 1998 to 2012 Passage Rate Business Tax 68% Approved Tax Measures Hotel Tax_ Q Failed Tax Measures 60 Utility Tax 57 Sales Tax 54 Parcel Tax 51 100 200 300 400 500 600 700 800 900 1,000 1,100 cities and counties may impose these taxes). Over two-thirds of approved measures were parcel taxes and sales taxes (taxes that also maybe imposed by special districts and/or schools). Taxes for Education Pass More Often Than Taxes for Other Purposes. Education -related tax and bond measures passed significantly more often than measures dedicated for other purposes. Figure 10 shows the Figure 10 passage rates Taxes for Education Passe of taxes Passage Rate of Local Taxes by dedicated 80% to various 70 purposes. Education- 60 related 50 measures 40 also 30 comprised 20 a significant 10 majority (75 percent) of approved measures. Election Timing Affects Passage Rates Tax and Bond Measures More Likely to Pass at Off -Cycle Elections. As discussed previously, local governments have substantial autonomy in deciding when to present tax and bond measures to voters for approval. In examining city and county tax and bond elections during the period 2002-2011, we found placing a measure on a statewide ballot significantly affected its passage rate. (This analysis is limited to cities and counties because voter registration data was not readily available for other local governments.) During this period, the passage rate of city and county tax and bond measures on a statewide ballot was 58 percent compared to 68 percent for measures not on a statewide ballot. I More Often Than Taxes for Other Pu Purpose, 1998 to 2012 School K-14 Nonschool Water Public Transportation Library Health Parks Facilities Education Infrastructure Safety and Bonds Bonds Recreation 14 Legislative Analyst's Office www.lao.ca.gov AN LAO BRIEF Voter Participation Is Higher- at Statewide Elections ... We also found that voter participation was higher for tax measures on a statewide ballot. On average, 55 percent of registered voters cast a vote on city and county tax and bond measures on a statewide ballot, compared to only 30 percent of registered voters for city and county measures not on a statewide ballot. ... However, Voter Participation Does Not Appear to Explain Differences in Outcomes. Differences in voter participation, however, do not appear to explain why measures on a statewide ballot are less likely to pass. Even among measures with roughly similar voter participation rates, we found that the passage rate of measures on a statewide ballot fell below measures not on a statewide ballot. For example, measures with voter participation between 20 percent and 30 percent on a statewide ballot had a passage rate of 54 percent compared to 74 percent for measures not on a statewide ballot. Additional comparisons are shown on Figure 11. Some Taxes Passed Less Frequently Despite Being Favored by More Residents California's voter -approval system for local taxes provides for a higher voter -approval threshold for certain types of taxes than for others. Specifically, special taxes and bond measures are subject to a higher voter -approval threshold than general taxes. Additionally, nonschool bond measures face a higher voter -approval threshold than school bond measures. One result of requiring higher approval thresholds for some taxes is that they were approved less often than other taxes despite receiving more yes votes. For example, 58 percent of electors, on average, voted in favor of city taxes, a significantly lower percent than the percent voting for special district taxes (63 percent) and school and community college district taxes (68 percent). Nonetheless, as Figure 12 shows (see next page), city taxes passed about as often as school and community college district taxes and significantly more often than special district taxes. Similarly, 63 percent of electors, on average, voted for city and county taxes for specific purposes, compared to 55 percent of electors for general taxes. General taxes, however, passed considerably more often than city and county taxes for specific purposes -18 percent more general taxes passed than special taxes. Figure 11 No Clear Relationship Between Voter Participation and Tax Measure Outcomes Passage Rate of City and County Taxes, 2002-2011 Non -Statewide Elections 80% 0 statewide Elections 70 60 4 ? =< 50 30 - 20 �, 3G =' 10 Less Than 20% 20%-30% 30%-40% 40%-50% Greater Than 50 Voter Participation www.lao.ca.gov Legislative Analyst's Office 15 AN LAO BRIEF Figure 12 Special District Taxes Received More lies Motes But Passed Less Often Than City Taxes 10 Average Percent of Electors Voting Yes on Tax_ 80% 0 Passage Rate 70 60 50 40 r 30 20 10 Special Districts Cities School and Counties Community College Districts a� California's system of voter -approval requirements is complex. As described in the first section of this report, local government approval requirements vary based on many factors, including the type of local government raising the tax, the revenue mechanism, and the use of the revenues. The system has become increasingly complex in every decade since the 1970s. As discussed in the report's second section, the current system developed in a piecemeal fashion. Neither the voters nor the Legislature have been asked to consider the current system as a complete package. Recently, the Legislature has shown interest in exploring changes to voter -approval requirements for local taxes. In this report, we do not offer any suggested changes to the state's system of voter - approval requirements. Nonetheless, because our analysis in the third section of this report shows that the decisions Californians make about voter - approval requirements have significant implications for local government finance, we suggest that the Legislature and voters carefully weigh the ramifications of any potential changes to these requirements. LAO Publications This brief was prepared by Brian Uhler and reviewed by Marianne O'Malley. The Legislative Analyst's Office (LAO) is a nonpartisan office that provides fiscal and policy information and advice to the Legislature. To request publications call (916) 445-4656. This brief and others, as well as an e-mail subscription service, are available on the LAO's website at www.lao.ca.gov. The LAO is located at 925 L Street, Suite 1000, Sacramento, CA 95814. 16 Legislative Analyst's Office www.lao.ca.gov City of Petaluma, CA Business License Fee Comparison Schedule 4/17/2017 City Minimum fee Gross receipts fee (or cost of operations * ** ****) Petaluma Santa Rosa Napa Retail Wholesale/Suppliers Public Utilities Miscellaneous > $281,250 $ 45.00 or 0.00016 ATTACHMENT 2 Service Admin Headqtrs* Contractors Professions Manufacturers* Entertainment Recreation Property Rental > $281,250 > $140,625 > $93,750 0.00016 0.00032 0.00048 Retailing Services Contractors Professions Wholesaling Health Care Centers Land Developers Manufacturing Property Rental Recreation Corp/ Admn Headqtrs ** Public Utilities Entertainment > $25,000 > $25,000 > $25,000 > $25,000 max tax) $ 25.00 plus 0.00034 0.00084 0.00109 0.00168 All $0-49,999 $ 25.00 $50,000 - 149,999 $ 50.00 $150,000 - 249,999 $ 75.00 $250,000 - 499,999 $ 110.00 $500,000 - 999,999 $ 165.00 $1,000,000 - 1,499,999 $ 250.00 Each $100k over $1,500k $ 10.00 Rohnert Park Retail and Wholesale and First owner $ 50.00 Service and Utility plus: Each addit owner/employee $ 15.00 Annual $ 250.00 Contractor A & B Half year $ 150.00 Small business *** $ 100.00 Annual $ 150.00 Contractor C Half year $ 100.00 Small business *** $ 75.00 First unit $ 50.00 Rentals - Single Family plus: Each addit unit $ 25.00 First unit $ 50.00 Rentals - Other plus: Each addit unit $ 5.00 Professional $ 200.00 Professional plus: Each support staff $ 15.00 Novato Contractors (state licensed) Jan - Dec operation $ 216.00 April - Dec operation $ 162.00 July- Dec operation $ 108.00 Oct - Dec operation $ 54,00 Professionals Per professional: Jan -Dec operation $ 216.00 April - Dec operation $ 162.00 July- Dec operation $ 108.00 Oct - Dec operation $ 54.00 plus: plus: Per additional owner/ employee: Each empl/owner #2 - 10 $ 22.00 Each empl/owner #11 - 50 $ 16.00 Each empl/owner #51 + $ 11.00 General Business/Misc Multiple Rentals Three units $ 90.00 plus: Each unit over three $ 25.00 One owner: Jan - Dec operation $ 135.00 April - Dec operation $ 101.00 July- Dec operation $ 67.00 Oct -Dec operation $ 33.00 plus: $ 375.00 Per additional owner/ employee: Each empl/owner #2 - 10 $ 22.00 Each empl/owner #11- 50 $ 16.00 Each empl/owner #51 + $ 11.00 Multiple Rentals Three units $ 90.00 plus: Each unit over three $ 25.00 San Rafael Contractors and Service **** Wholesale and Retail $0-25,000 Real Estate Brokers <$50,001 $ 100.00 $50,001- 100,000 $ 150.00 $100,001- 200,000 $ 200.00 $200,001- 300,000 $ 275.00 $300,001- 400,000 $ 375.00 $400,001- 500,000 $ 475.00 $500,001 - 750,000 $ 625.00 $750,001- 1,000,000 $ 850.00 $1,000,001 - 2,000,000 $ 1,200.00 >$2,000,001 $ 1,200.00 plus 0.00040 > $2,000,000 San Rafael Contractors and Service **** Wholesale and Retail $0-25,000 $ 40.00 $25,001- 50,000 $ 60.00 $50,001- 100,000 $ 80.00 $100,001- 200,000 $ 80.00 plus 0.00070 > $100,000 $200,001 - 300,000 $ 150.00 plus 0.00060 > $200,000 $300,001- 500,000 $ 210.00 plus 0.00050 > $300,000 $500,001- 1,000,000 $ 310.00 plus 0.00040 > $500,000 1,000,001 - 2,000,000 $ 510.00 plus 0.00030 > $1,000,000 2,000,001 - or more $ 810.00 plus 0.00020 > $2,000,000 or whichever is greater for Contractors and Service: Base rate $ 187.59 plus: Each full time employee $ 23.40 Each part time employee $ 11.70 Professional and Semi Professional $0-50,000 $ 80.00 $50,001- 100,000 $ 120.00 $100,001- 200,000 $ 180.00 $200,001- 300,000 $ 270.00 $300,001- 400,000 $ 352.00 $400,001- 500,000 $ 428.00 $500,001- 750,000 $ 540.00 $750,001 - 1,000,000 $ 690.00 $1,000,001 - 1,250,000 $ 780.00 $1,250,001- 1,500,000 $ 880.00 $1,500,001- 1,750,000 $ 990.00 $1,750,001 - 2,000,000 $ 1,100.00 $2,000,001- or more $ 1,100.00 plus 0.00030 > $2,000,000 Apartment Owners 0.0017 > $0 or (whichever is greater) per unit $ 32.85 Real Estate Businesses Basic rate $ 187.59 plus: Each broker/agent salesperson $ 54.47 Each full time employee $ 23.40 Each part time employee $ 11.70 * Petaluma - Administrative Headquarter and Manufacturers % based on Gross Receipts or Cost of Operations, whichever is higher ** Santa Rosa - Corporate and Administrative Headquarters % based on Cost of Operations *** Rohnert Park- Small Business: Gross Receipts under $75,000 per year **** San Rafael - Administrative offices, financial institutions, or commercial activity without gross receipts must use the cost of operations ATTACHMENT 3 California City Documentary and Property Transfer Tax Rates Governance: Per $1000 Rev&Tax Code Per $1000 General Law PropertyValue :See 11911-11929 PropertyValue or Chartered City Rate County Rate Total o $ 1.10 $1.10 ALAMEDA Chartered $12.00 $ 1 10 . $13.10 .................................................................................................................................................... ALBANY Chartered ................................................................................................. $11.50 $ 1.10 .......................... ...... I .................... $12.60 1. ... I.... ............. I .................................................................................................................... BERKELEY -1.11, Chartered ......... I ....................... $ 15.00 $1.10 ... ....... .................................. $16.10 I ................... .............. I .................................................................................................................... DUBLINGeneral Law I .................... 1. ............................ $0.55 $0.55 .......................... $ 1.10 ........ ......... .................................................................................. ........................................................................... EMERYVILLE ' Chartered I ...................................... $12.00 I ....... I $1.10 "... .......................................................... $13.10 I ................. .......................................................................................................... FREMONTGeneral - .......................... Law I ..... ................. $0.55 $0.55 $1.10 ............................................................." ............................ I ......................................... HAYWARD Chartered 11 ..................................................................................................................... $4.50 $1.10$5.60 I ... ........................ ......................................................... ................................................................................................................................................................... LIVERMORE. General Law $0.55 ................. $0.55 ... ..... I ............................... $1.10 I ............................... .... I ... I ....................... I ............................... .. ..................... I ....... NEWARKGeneral I ................. ... I ........... Law 1. ................... $0.55 .......... I ............ $0.55 .................. I .............................. $1.10 I .... I ... I. ............... .......... ... .................... I ...... I ................... ........ I .................................................................................... OAKLAND Chartered $15.00 $ 1.10 $16.10 - I .............................. I ............ ..... I ...................... I ................................................................................................................................................................................. PIEDMONTChartered $.13.00 ................................................. $1.10 $14.10 ... .................................. ... ... I ................. 1.11.11 .......... ................ ...................... I ............................ PLEASANTON .... ..................................... General Law $0.55 ................$. I 0. 55 ........................ $..1..10.. . I ............ ........I.,...............I.................................I........................... SAN LEANDRO ............................................................ Chartered $6.00 $ 1.10 $7.10 ......... I ................. I ............................................................................................................................................................................................................................... UNION CITY General Law $0.55 ............. $0.55 "" .......... , .......... ­* ....... $ 1.10 ........... ", .......... r4b--INECOUI�T ........... $1.10 $ -1.10 r- ---....... ............................. AMADOR COUNTY .................................................................................................................................... $110 $1.10 ........ ..................... - . ......................... AMADOR - .................. General Law $0.55 ................................ $0.55 1. ....................... $ 1.10 I ...... I ...................... ....... I ....................... I. ...... I ................... ................................. IONEGeneral I .............. ........... I .......... Law .1, ............... $0.55 $0.55 I ... I ............................................................... $1.10 .......................................................................... I ....................... JACKSONGeneral I ....................................................................................... Law $0.55 $0.55 $1.10 ................................................................................... I ............... PLYMOUTH ... I ................................ General Law I ...... " ........................................................................................................ $0.55 $0.55 $1.10 .................................... ........ I ................. I ................................................................. SUTTER CREEK I-- ............................................................................................................ General Law $0.55 $0.55 $ 1.10 ................................. "gUff9*666 TY ................................................................................................................ 1.1 $0 ........................ $1.10 - I ............................ BIGGS......... * ................... ...................................................................................................... General Law $0.55 I ..... I $0.55 $ 1.10 I ........ .................. ............... ............... I ........ I..... ................... I CHICOChartered ....................................... I .......................................................................................................... $0.55 $0.55 $ 1.10 .... .................................................................... I ................................ GRIDLEYGeneral I ............................................................................................................................................... Law $0.55 I ........................................................................................... $0.55 $ 1.10 ............................................................ I ....... ... .................. I ........................................................................ OROVILLEChartered $0.55 . $0.55 $ 1.10 ................................... I ........ ........ I ............... I ....................................... ....................... PARADISE 11.1 ........... I ..................................................................................... General Law $0.55 $0.55 11 ... I ................................................................... $1.10 ............ .......... CALAVERAS COUNTY I .............................................................................. $ 1.10 $ 1.10 ANGELS CAMP ........................... General Law .. ... .. $ 0.55 $ 0.55 I'll ....... .................................................................... $ i 10 . . ............ . COUNTY .......... I ................................................................ $ 1.11.0 ........................ $ ... 1...1.0 ................ .,C0.LUSA ............... .............................. COLUSA I .......... General Law I.- ............... ...................... $0.55 ... $0.55 $ 1.10 ......... I ......................... I .......................................................................................................................................................................................................................... WILLIAMS General Law $0.55 $0..55 $ 1.10 ............... . . ............ 1,64f '6S"T' A C U NTY 6 O*• 0 ..................................................................................1.10 $ * ... * ...... "*"** ...... * ........... $1.10.................................................. ", .... " " ...... ................. . .. . ANTlcE '.-.......-.... . ............ - .................... General Law I ........................................ $0.55 $0.55 ... $ 110 ........... I.....................................................................................I............................................$..................................................................................$............... BRENTWOOD General Law ... 0.55 $0.55 **................. 1.10 ...................... ....... CLAYTON *'*..........."0''5'5*..........,............... '''... ' 6�neral Law $. $0.55 1.10 I .........-..;................ ...................I............................I.... ....... CONCORDGeneral I ...................... I .................................................................................................................................... Law $0.55 $0.55 $ 1.10 ........................ .................................... I ....... I ....................................................................................................................................................................................... DANVILLEGeneral Law $0.55 $0.55 ................................ $1.10 ............. ...... ....... ..., ........... ........ I ................................... .... ............. ............. EL CERRITO I ......................... ................................................................. General Law $0.55 $0.55 ................................................................... 1. �.6 ......... ........ I ................. ... ......... I ........................................................ HERCULES I ....................................................................... General Law $0.55 $0.55 $ 1.10 ............................ ................................................................................................................................................................................................................................. LAFAYETTE General en a...l ........ .................. $ 1. 10 , ....... * ...... '' ........I................... ................. ..................7. MARTINEZ I ............................ **' , ,.................... Eener� Faw .e...r....L..a...w...................$....0......5..5... ............................$....0.....5..5... . ................ �T.T6 I ......................................... MjgG rev20Dec2016 CaliforninCityFiKance.com page 1 of 13 California Citv Docu00entary and Pr0pertv Transfer Tax Rates CmliformiaCituFiyLumoe�uowx page 2 of 13 Governance: Per $1000 Rev&ToxCode Per$1000 General Law PropertyValue Sec 11911-11929 PropertyValue or Chartered City Rate County Rate Total ............................ .............................................................. PWORAGA ----------------------------------11 General Law $0.55 ------------------- $0.55 $110 --... ................................... ....................... .................................................. 0AKLEY General Law ---'-.................. .... $0.55 ......................................................................................... $0.55 $1j0 -----------'--'-'-'--------------'----'-'-----'--'--'----------'-------' OR!NDA General Law $0.55 $0.55 $ 110 --....... ............................... ....... ................................................................................................................................................................................................... P|NDLE General Law $ O�55 � O�65 ..........'... � 11O .... ... _�������������_������'������������� PITTSBURG GoneroLaw$Ci55 $0.55 $1.10 ......................................................................................................................................... PLEASANT HILL General Law $0.55 $0.55 $110 -----------------------------------------------------------------' RICHMOND Chartered $7.00 $110 ........................................................................ $8j0 .......... .... .......................................... ...................................................................................................................... SAN PABUO General Law $0.56 $0.65 $1j0 ---'-------------------'-------'--------'---------------------------------- SAN RAMDN Chartered $ 0.5S $ 0.55 $ 11O ---'---^-----------'---'----'---------~-----------------------------' WALNUT CREEK _____$_0. __ ....... DEL NORTE COUNTY .�Genera�Law____$_8�56 $110 $11O CRESCENTC|TY -----'-------------- General Law �O.55 $0.65 --- $1.10------~---'--'~--------'-------------'-------' $1.10 $1.10-------------------`---------------`-------' PLACERV|LLE General Law $0i65 $O.55 $1.10 ----'--'-'-----'-----------'---------'--------------------'---'------- SOUTH LAKE TAHOE General Law $055 $055 $1.10 COALINGA General Law $0.55 $0.55 $1.10 FIREBAUGH General Law $0.55 $0.55 $1.10 FOWLER General Law $0.55 $0.55 $1.10 FRESNO Chartered $0.55 $0.55 $1.10 HURON General Law $0.55 $0.55 $1.10 KERMAN General Law $0.55 $0.55 $1.10 KINGSBURG Chartered $0.55 $0.55 $1.10 MENDOTA General Law $0.55 $0.55 $1.10 ORANGE COVE General Law $0.55 $0.55 $1.10 PARLIER General Law $0.55 $0.55 $1.10 REEDLEY General Law $0.55 $0.55 $1.10 SANGER General Law $0.55 $0.55 $1.10 SAN JOAQUIN General Law $0.55 $0.55 $1.10 SELMA General Law $0.55 $0.55 $1.10 GLENN COUNTY $1.10 $1.10 ORLAND General Law $0.55 $0.55 $1.10 ----............... --............................................. WILLOWS ......................................................................................................................................................................... Genera Law $0.55 $0.55 $11O ,.kUM-BOLDT COUNTY �........ ............. �11O �i10 ARCATA ----------'------------- General Law $ 0.65 --------------....................... 0.6 ]0 ---------------'--'------------------------------------------------- BLUELAKE General Law $O�55 ---'---------' $0.55 $110 --- -----'------'--'------ EUREKA Chartered $ O.55 $ 0.S5 $ 1.iO, -'_._------___-'_-_-_-_'_-_--------------_--_----_------_-------- FERNOALE General Law $ 0.55 $ 0.S5 $ 1.i0 -----'-------'----'-------'-----'--------------------------------------' FORTUNA Chartered $ O.56 $ 0.55 $ 110 ------------'----------------------------------'-------------------------' RIO DELL General Law $0.55 $0.66 �i10 -- ---'----'-------------------------------'---'-------------- TR|N|DAD General Law $ O.55 $ U.55 $ 1.1O IMPERIAL COUNTY ---'---------------------'---'------------ $110 $1.10 CmliformiaCituFiyLumoe�uowx page 2 of 13 California Citv Documentary and Proaerty Transfer Tax Rates mjgc rev20Dec2016 CaliforniaCityFinance.com page 3 of 13 Governance: Per $1000 € Rev&Tax Code € Per $1000 General Law PropertyValue Sec 11911-11929 € PropertyValue or Chartered City Rate County Rate Total ........................................................................................... BRAWLEY General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. CALEXICO General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. CALIPATRIA General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. EL CENTRO Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. HOLTVILLE General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. IMPERIAL General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. WESTMORLAND General Law $ 0.55 $ 0.55 $ 1.10 INYO COUNTY ................................................................................................................................................ $110 $110 BISHOP .............. ...... ................................... General Law ... ....................................... $ 0.55 ... ........................................:..................... $ 0.55 $ 1 10 . COUNTY$ .................................................................................................................................................................. 1.10 $ 1.10 ARVIN ................................. ................................................................ General Law $ 0.55 ........................................ $ 0.55 I........................ $ 1.10 .............................................................................................................................................................................................................................................................. BAKERSFIELD Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. CALIFORNIA CITY General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. DELANO General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. MARICOPA General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. MCFARLAND General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. RIDGECREST General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. SHAFTER Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. TAFT General Law $ 0.55 $ 0.55 $ 1.10 ............................................................................................................................................................................................................................................................. TEHACHAPIGeneral Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. WASCO General Law $ 0.55 $ 0.55 $ 1.10 COUNTYKINGS .................... .................. ....................................... ............ ............ ............. .......... $ 1.10 ................ I............. I....... $ 1.10 AVENAL .................................................................................................................................................................. General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. CORCORAN General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. HANFORD General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. LEMOORE Chartered $ 0.55 $ 0.55 $ 1.1.0 • ................................................................................................................................................................ $ .10 1 $1.10 CLEARLAKEGeneral Law -$-0,.5,5 -$,,0,.5,5- .... 10 ...................................................................... ........... LAKEPORT I.............................................................................................................................................................. ..................... ... ....... .......................................... General Law .......................... ' $ 0.55 .................... .............. . $ 0.55 ....... ................................ $ 1.10 f- • $1 1.0 ..1.....10 SUSANVILLE .......................................................................................... General Law $ 0.55 .......................................... $ 0.55 ....................... $ 1: 10 . LOS ANGELES COUNTY$110 .................................................................................................................................................................. $110 AGOURA HILLS .................................................................................................................................................................. General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. ALHAMBRAChartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. ARCADIAChartered $ 0.55 $ 0.55 $ 1..10 .............................................................................................................................................................................................................................................................. ARTESIA General Law $ 0.55 $ 0.55 $ 1.10 ............................................................................................................................................................................................-..................................................1....I........ AVALON General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. AZUSA General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. BALDWIN PARK General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. BELLChartered ' $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. BELLFLOWER General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. BELL GARDENS General Law $ 0.55 $ 0.55 $ 1.10 -.1 ................................................................................................................................................. BEVERLY HILLS .............................................................................................................................................................................................................................................................. General Law ..................................................................................................... $ 0.55 $ 0.55 $ 1.10 mjgc rev20Dec2016 CaliforniaCityFinance.com page 3 of 13 California Cid Documentary and Property Transfer Tax Rates Governance: Per $1000 Rev&Tax Code € Per $1000 General Law PropertyValue Sec 11911-11929 PropertyValue or Chartered City Rate County Rate Total .............BRADBUR.............................................................................. YGeneral Law $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. BURBANK Chartered $ 0.55 $..0.55............................�..1.:.�0.............. .. ................................................................................................................................................................I................... CALABASASGeneral Law $ 0.55 0.55 $ ..................................................................... $1.10 ................................................................................................................................................I.........................1.111...... CARSON General Law $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. CERRITOS Chartered$ 0.55 $ 0.55 $1.10 ....... .................................................................................................................. CLAREMONT ............. General Law ..-.....................................................................I............ $ 0.55 $...55 ..110........ .............................................................................................................................................................................................................................................................. COMMERCE General Law $ 0.55 $ 0.55 $ 1 10 .............................................................................................................................................................................................................................................................. COMPTON Chartered $ 0.55 $ 0.55 ............................................. $1.10 ........................ COVINA General Law $ 0.55 $ 0.55 $ 1.10 ........................................................................................ CUDAHY ..................................................................................................................................................... General Law $ 0.55 $ 0.55 $ 1:10 11.11.............. ................................................................................................................................................................................................. CULVER CITYChartered $ 4.50 ............................ .............:..$ 1 1. .............................. 0 $..5...6.0................ ................................................-....................................................................................................... DIAMOND BAR General Law $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. DOWN EY Chartered $ 0.55 ...........................$ 0:55 .............. $ 1.10 ........................... ..................................................................................................... DUARTEGeneral ........................................:1.... Law $ 0.55 $ 0.55 $ 1 10 .............................................................................................................................................................................................................................................................. EL MONTE General Law $ 0.55 $ 0.55 $1.10 ................................................................................................ EL SEGUNDO ........................................................................................................................................................... General Law $ 0.55 $ 0.55 $ 1 10 .............................................................................................................................................................................................................................................................. GARDENA General Law $ 0.55 $ ...55 $ .. 10 .............................................................................................................................................................................................................................................................. GLENDALE Chartered $ 0.55 $ 0.55 .................................................................... $ 1.10 ................................................................................ GLENDORA ........................................................ General Law $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. HAWAIIAN GARDENS General Law $ 0.55 $ 0.55 .............................................................................................................................................................................................................................................................. HAWTHORNE General Law $ 0.55 $ 0.55 ................ $1.10 ........................ I............... .................................... ....... ..................................................... HERMOSA BEACH .....-....... .............. .... General Law ........................................................................ $ 0.55 $ 0:55 ............................................................... $ 1.10 ................................................................................................ HIDDEN HILLS ..................................................................... General Law $ 0.55 $0.55$1.10 .............................................................................................................................................................................................................................................................. HUNTINGTON PARK General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. INDUSTRY Chartered $ 0.55 $ 0.55 $ 1 10 ................................................................................................................................................................................................................................I.........I................... INGLEWOOD Chartered $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. IRWINDALE Chartered $ 0.55 $ 0.55 $ 1 10 .............................................................................................................................................................................................................................................................. LA CANADA FLINTRIDGE General Law $ 0.55 $ 0.55 ...... ............................................... ......................... ...........................................................:............................................................................................................. LA HABRA HEIGHTS General Law $ 055 .......................... $ 1:10 ..................................................................................................................................................... LAKEWOOD General Law $ 0.55 $ 0.55 ..................................................................... $ 1 10 ......:...................................................................................................................................................................... LA MIRADA General Law 0.55 .............................................................................................................................................................................................................................................................. LANCASTERChartered $ 0.55 $ 0.55 $1.10 ...................................................... ........... ............... ................................................................... LA PUENTE General Law .........................................................................................I................. $ 0.55 $ 0.55 $ 1 10 ......................................................................................................................................................................................................................................................... LA VERNE General Law $ 0.55 $ 0:55 ........................................................... $ 1..10 .................................. LAWNDALE General Law $ 0.55 ............................ $ 0:55 1. 0 ........ LOMITA General Law $ 0.55 $ 0.55 1 10 .............................................................................................................................................................................................................................................................. LONG BEACH Chartered $ 0.55 $ 0.55 $1.10 ............................................................................................................................................................................................................................................................ LOS ANGELES Chartered $ 4.50 $ 1:10 $ 5.60 ........................... ............................................................................................................................................................................................... LYNWOOD General Law $ 0.55 $ 0.55 $ 1 10 .............................................................................................................................................................................................................................................................. MALIBU General Law $ 0.55 $ 0.55 $ 1.... ............................................................................................. MANHATTAN BEACH ...................................................................................................................................................... General Law $ 0.55 $0.55$1.10 ...................................................................................................................................................................................................:..............I..............111......1................... MAYWOOD General Law $ 0.55 $ 0.55 $ 1.10 ...........................................................................................................................................................................................I...................................................1111. MONROVIA .......................................................................................................................................................................................................................................................... General Law $ 0.55 $ 0.55 $1.10 mjgc rev20Dec2016 CaliforvtinCityFiKavice.com page 4 of 13 California Citv Documentary and Property Transfer Tax Rates mjgc rev20Dec2016 CaliforniaCity Finance.com page 5 of 13 Governance: Per $1000 Rev&Tax Code € Per $1000 General Law PropertyValue Sec 11911-11929: PropertyValue or Chartered City Rate County Rate Total MONTEBELLO General Law $ 0.55 $ 0.55 1.10 77.7 .............................................................................................................................................................................................................................................................. MONTEREY PARK General Law $0.55$0.55 ........................... ............ $ 1.10 ............ ......... .................... ......................... :.................................................................................................................................................... NORWALK General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. PALMDALEChartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. PALOS VERDES ESTATES General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. PARAMOUNT General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. PASADENAChartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. PICO RIVERA General Law $ 0.55 $0.55$1.10 .............................................................................................................................................................................................................................................................. POMONAChartered $ 2.20 $ 1.10 $ 3.30 ........................................................................................................................................................................................................................................................ RANCHO PALOS VERDES General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. REDONDO BEACH Chartered $ 2.20 $ 1.10 $ 3.30 .............................................................................................................................................................................................................................................................. ROLLING HILLS General Law $ 0.55 $ 0.55 ........ .......................... ................................................................................................................................................................................................................ ROLLING HILLS ESTATES General Law ..0.55 $ 0.55 1.10 .............................................................................................................................................................................................................................................................. ROSEMEAD General Law $ 0.55 $0.55$1.10 .............................................................................................................................................................................................................................................................. SAN DIMAS General Law $ 0.55 $ 0.55 $ 1.10 ............................................................................................................................................................................................................................................... SAN FERNANDO General Law $ 0.55 $ 0.55 $ 1.10. .............................................................................................................................................................................................................................................................. SAN GABRIEL General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. SAN MARINO General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. SANTA CLARITA General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. SANTA FE SPRINGS General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. SANTA MONICA Chartered $ 3.00 $ 1.10 $ 4.10 .............................................................................................................................................................................................................................................................. SIERRA MADRE General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. SIGNAL HILL Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. SOUTH EL MONTE General Law $ 0.55 $ 0.55 $ 1.10 ........................................................................................................................................................................................................................................................ SOUTH GATE General Law .. 0.55 $ 0.55 .. 1.10 .............................................................................................................................................................................................................................................................. SOUTH PASADENA General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. TEMPLE CITY Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. TORRANCE Chartered $ 0.55 $ 0.55 -.................................................. $ 1.10 ........................ I......... ....... ............................. .................................................................................................................................... VERNONChartered $ 0.55 $ 0.55 $ 1.10 I.- ..................................................................................................................................................................................................................................................... WALNUT General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. WEST COVINAGeneral Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. WEST HOLLYWOOD General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. WESTLAKE VILLAGE General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. WHITTIER Chartered $ 0.55 $ 0.55 $ 1.10 rIkki.................................................................................................................................................................. 5 - • $1.10 $1.10 I................... CHOWCHILLAGeneral ............ ......................................................... Law ................................ $ 0.55 ......................................... $ 0.55 $ 1.10 ........................................................................................................................................................................................................................................................ MADERAGeneral Law $ 0.55 $ 0.55 $ 1.10 COUNTYMARIN ............................................................................................................................................................... $110 .. 110 BELVEDERE .................................................................................................................................................................. General Law $ 0.55 $ 0.55 $ 1.10 ........................................................................................................................................................................................................................................................... CORTE MADERA General Law $ 0.55 $ 0.55 - $ 1.'10 ...................................................................................................................................................................................................................................................... FAIRFAXGeneral Law $ 0.55 $ 0.55 .............................................................................................................................................................................................................................................................. LARKSPUR General Law $ 0.55 $ 0.55 , $ 1.10 .............................................................................................................................................................................................................................................................. MILL VALLEY .............................................................................................................................................................................................................................................................. General Law $ 0.55 $ 0.55 $ 1.10 mjgc rev20Dec2016 CaliforniaCity Finance.com page 5 of 13 California Citv Documentary and Propertv Transfer Tax Rates AMERICAN CANYON Governance: Per $1000 € Rev&Tax Code € Per $1000 $ 0.55 General Law PropertyValue Sec 11911-11929 € PropertyValue General Law or Chartered City Rate County Rate Total ............................................................................ NOVATO . General Law $ 0.55 $ 0.55 .............................................................................................................................................................................................................................................................. ROSSGeneral Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. SAN ANSELMO General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. SAN RAFAEL Chartered $ 2.00 $ 1.10 $ 3.10 .............................................................................................................................................................................................................................................................. SAUSALITO General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. TIBURON General Law $ 0.55 $ 0.55 .1................................... .1...1................. MARIP•SA COUNTY .......................................................................................... MENDOCINO • ......................................... .......... ........................ .................... ..................... .......................... $1.:.10 $1.:10 ""........... FORT BRAGG ................................................................................. General Law $ 0.55 .................................................................... $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. POINT ARENA General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. UKIAHGeneral Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. WILLITS General Law $ 0.55 $ 0.55 .........:................................................................ $ 1.10 MERCED • .................... ...................................................................... $110 $110 ATWATER ............................................................................................................................................:..................... General Law $ 0.55 $ 0.55 $ 1 10 ....................................................................................................................................................................................................................................................I......... DOS PALOS General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. GUSTINE General Law . $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. LIVINGSTONGeneral Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. LOS BANOS General Law $ 0.55 $ 0.55 .............................................................................................................................................................................................................................................................. MERCED Chartered $ 0.55 $ 0.55 $ 1.10 •r. • ............................................................................................................................. ..110 $110 ALTURAS .............................................................................................................................................................. General Law .. 0.55 $ 0.55 $ 1.10 • • • .................................................................................................:......................................I......................... $1...........10 $...........1.10 MAMMOTH LAKES .......................................................................................... General Law $ 0.55 ................................ $ 0.55 .................. $ 1.10 •COUNTY ................................................................................................................ $1...:.....10 $1......10 CARMEL-BY-THE-SEA .......................................................................................... General Law $ 0.55 ..................................... $ 0.55 ....................... $ 1.10 ............................................................................................................................................................................................................................................................... DEL'REY OAKS General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. GONZALES General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. GREENFIELD General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. KING CITYChartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. MARINAChartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. MONTEREYChartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. PACIFIC GROVE Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. SALINAS Chartered $ 0.55 $ 0.55 $ 1.10 ........................................................................................................................................................................................................................................................ SAND CITY Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. SEASIDEGeneral Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. SOLEDADGeneral .........................................................................-...... Law ....... ...................................................................................................................................................................... $ 0.55 $ 0.55 $ 1.10 AMERICAN CANYON .................................................................. General Law 0.55 .........................................................................................................................................I..................... CALISTOGAGeneral Law $ 0.55 ............................................................................................................................................................... NAPAChartered $ 1.10 $ 0.55 ............................................................................................................................................................... SAINT HELENA General Law . $ 0.55 ............................................................................................................................................................... YOUNTVILLE General Law $ 0.55 r • $ 1.10 ............................................................................................... $ 1.10 $ 0.55 ............................................................................................... $ 1.10 $ 0.55 $ 1.10 ............................................................................................... $ 0.55 $ 1.10 ............................................................................................... $ 0.55 $ 1.10 ............................................................................................... $ 0.55 $ 1.10 ............................................................................................... $ 1.10 $ 1.10 mjgc rev20Dec2016 CalifomiaCityFinn rtce.com page 6 of 13 California Citv Documentary and Property Transfer Tax Rates mjgc rev20Dec2016 CatifomiaCityFinance.com page 7 of 13 Governance: Per $1000 € Rev&Tax Code Per $1000 General Law PropertyValue Sec 11911-11929 PropertyValue or Chartered City Rate County Rate Total ...................................................... ............................. GRASS . . .. VALLEY . . . . Chartered $ 0.55 $ 0.55, .............................................................................................................................................................................................................................................7................ NEVADA CITYGeneral Law $ 0.55 $ 0.55 $ 1.10 I................. .......................... ...................................................... ................. TRUCKEE ........................... ........ Chartered ........................................................................................................ $ 0.55 $ 0.55 . .......................... $ 1.10 . ,................ •-. . ........... ............ ............ ....... ............... ...................................................... 110 $110 ALISO VIEJO General Law .............................................................................................................. 0.55 $ 0.55 $ 1 10 .............................................................................................................................................................................................................................................................. ANAHEIM Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. BREAGeneral Law $ 0.55 $ 0.55 $ 1.10 ........................................................................................................................................................................................................................................................ BUENA PARK Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. COSTA MESA General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. CYPRESSChartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. DANA POINT General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. FOUNTAIN VALLEY General Law $ 0.55 $ 0.55 $ 1.10 .......................................................................................................................................... FULLERTONGeneral Law ............................................................................................................... $0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. GARDEN GROVE General Law $ 0.55 $ 0.55 $ 1.10 , .............................................................................................................................................................................................................................................................. HUNTINGTON BEACH Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. IRVINE Chartered $ 0.55 ' . $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. LAGUNA BEACH General Law $ 0.55 $ 0.55 $ 1.10 ........................................................................................................................................................................................................................................................... LAGUNA HILLS General Law .. 0.55 $ 0.55 $ 1.10 ........................................................................................................................................................................................................................................................ LAGUNA NIGUEL General Law .. 0.55 $ 0.55 $ 1.10 .......................................................................................................................................................................................................................................................... LA HABRA General Law 0.55 $ 0.55 $ 1.10 I............................. ............................................................................................................................................... LAKE FOREST General Law ................................................................................. $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. LA PALMA General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. LOS ALAMITOSChartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. MISSION VIEJO General Law $ 0.55 $ 0.55 $ 1.10 ........I................. ..........................................................................................................................................................................................................................� NEWPORT BEACH Chartered 0.55 $ 0.55 1.10 ......................................................................................................................................I...................................................................................................................... ORANGE General Law 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. PLACENTIA Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. RANCHO SANTA MARGARITA General Law $ 0.55 $ 0.55 $ 1.10 ........................................................................................................................................................................................................................................... SAN CLEMENTE General Law .. 0.55 $ 0.55 ..1.10 ..................................................................................................................................................................................................................................................... SAN JUAN CAPISTRANO General Law .. 0.55 $ 0.55 $ 1.10 ............................................................................................................................................................................................................................................................ .. SANTA ANA. Chartered $ 0.55 $ 0.55 ...................................................................... $ 1.10 ......................................................................................... SEAL BEACH .................................................................. Chartered $ 0.55 $ 0.55 $ 1.10 . .............................................................................................................................................................................................................................................................. STANTON General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. TUSTIN General Law $ 0.55$ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. VILLA PARKGeneral Law $ 0.55 $ 0.55 $ 1.10 ........................................................................................................................................................................................................................................................ WESTMINSTER General Law .. 0.55 $ 0.55 .. 1.10 ............................................................................................................................................................................................................................................................ .. YORBA LINDA General Law $ 0.55 $ 0.55 $ 1.10 ........................... - • .................................................................................: $ 1 10 $ 1.10 AUBURN - .................................................................................................................................................................. General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. COLFAX General Law $ 0.55 $ 0.55 $ 1.10 ............................................................................................................................................................................................................................................................ LINCOLNGeneral Law $ 0.55 $ 0.55 $ 1.10 ............................................................................................................................................................................................................................................................... LOOMIS General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. ROCKLIN .....................................................................................................................................................................................................................................I........................ General Law $ 0.55 $ 0.55 $ 1.10 mjgc rev20Dec2016 CatifomiaCityFinance.com page 7 of 13 California Citv. Documentary and Property Transfer Tax Rates mjgc rev20Dec2016 CaliforninCityFimance.com page 8 of 13 Governance: Per $1000 € Rev&Tax Code s Per $1000 General' Law PropertyValue Sec 11911-11929 s PropertyValue or Chartered City Rate County Rate Total ............................................................................ ............. ROSEVILLE . . Chartered $ 0.55 $ ...55 PLUMAS COUNTY 110 $110 PORTOLA .................................................................................................................................................................. General Law $ 0.55 $ 0.55 $ 1.10 - r • .................................................................................................................................................................. $110 $110 BANNING .................................................................................................................................................................. General Law $ 0.55 $ 0.55 $ ...10 .............................................................................................................................................................................................................................................................. BEAUMONT General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. BLYTHE . General Law $ 0.55 $ 0.55 $ 1.10 ..................... .... ..-.... ......... .................................................................................................................................................................................................................... CALIMESA General Law $ 0.55 $ 0.55 $ 1.10 .................... ........ ................................................................................................................................................................................................................................... CANYON LAKE General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. CATHEDRAL CITY General Law $ 0.55 $ 0.55 $ 1.10 ............ :..................... ........................................................................................... COACHELLA ................................................................................................................................. General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. CORONA General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. DESERT HOT SPRINGS Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. EASTVALE General Law . $ 0.55 $ 0.55 ................ ......................... I................ .................. .............................. .................................................................................................................................................... HEMET General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. INDIAN WELLS Chartered $ 0.55 $ 0.55 $ 1.10 ...... I........ ............ ........................ ........................................................................................................................................................................................................... INDIOGeneral Law $ 0.55 $ 0.55 - ................................................................................................................................................................................................................................................... JURUPA VALLEY General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. LAKE ELSINORE General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. LA QUINTA Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. MENIFEE General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. MORENO VALLEY General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. MURRIETA -General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. NORCO Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. PALM DESERT Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. PALM SPRINGS Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. PERRIS General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. RANCHO MIRAGE Chartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. RIVERSIDEChartered $ 1.10 $ 1.10 ................................................... $ 2.20 I............................ ................................................. ............................................................ SAN JACINTO ................................................................. General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. TEMECULA General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. WILDOMAR General Law $ 0.55 $ 0.55 "................................................................ $ 1.10 IiX6"MENTO COUNTY ..................... ........................................................................... $110 $110 CITRUS HEIGHTS .............................................................................................................................................................. General Law $ 0.55 $ 0.55 .. 1.10 .............................................................................................................................................................................................................................................................. ELK GROVE General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. FOLSOMChartered $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. GALT General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. ISLETONGeneral Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. SACRAMENTO Chartered $ 2.75 $ 1.10 $ 3.85 • • .................................................................................................................................................................. $ 1.10 $ 1.10 HOLLISTERGeneral .................................................................................................................................................................. Law $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. SAN JUAN BAUTISTAGeneral Law $ 0.55 $ 0.55 $ 1.10 M, 1111-MIMM,.................................................................................................................................................................. -r • . $110 $110 mjgc rev20Dec2016 CaliforninCityFimance.com page 8 of 13 California City Documentary and Property Transfer Tax Rates Governance: Per $1000 Rev&Tax Code Per $1000 General Law PropertyValue Sec 11911-11929 PropertyValue or Chartered City Rate County Rate Total ........................................................................................... ADELANTO Chartered $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. APPLE VALLEY General Law $ 0.55 $ 0.55 $ 1:10 ............................................................................................. BARSTOWGeneral ........................................................................ Law $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. BIG BEAR LAKEChartered $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. CHINOGeneral Law $ 0.55 $ 0.55 $1.10 ............................................................................................................................................................................................................................................................... CHINO HILLSGeneral Law $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. COLTONGeneral Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. FONTANAGeneral Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. GRAND TERRACE General Law $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. HESPERIA General Law $ 0.55 $ 0:55 $ 1:10 .................. ........................................................................................................................................................................................ HIGHLAND General Law $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. LOMA LINDA Chartered $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. MONTCLAIR General Law $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. NEEDLES Chartered $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. ONTARIO General Law $0.55$0.55 $1 10 .............................................................................................................................................................................................................................................................. RANCHO CUCAMONGA General Law $ 0.55 $ 0.55 ..................................... $ 1:10 ......................... ..................................................................................................................................................................................... REDLANDS General Law $ 0.55 $ 0.55 $ 1 10 .............................................................................................................................................................................................................................................................. RIALTOGeneral Law $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. SAN BERNARDINOChartered $ 0.55 $ 0.55 $ 1.10 ............................................................................................................................................................................................................................................................. : TWENTYNINE PALMS General Law $ 0.55 $ 0.55 .................................. $ 1.10 ........................... ................................................................................................ LACUNA WOODS ...................................................... General Law $ 0.55 $ 0.55 $ 1 10 ............................................................................................................................................................................................................................................................ UPLANDGeneral Law $ 0.55 $ 0.55 ................................. $ 1:10 .................... ................................................................................................................................................................................. VICTORVILLE Chartered $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. YUCAIPA General Law $ 0.55 :............... ......................................................................................................... $ 0.55 $ 1 10 ............. ........................................................................................................................ YUCCA VALLEY General Law$ 0.55 $ 0.55 $ 1.10 .........................................................................................1........................................................I......... $ .10 $110 CARLSBADChartered .................................................................................................................................................................. $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. CHULA VISTAChartered $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. CORONADOGeneral Law $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. DEL MAR Chartered $ 0.55 $ 0.55 $ 1.10 ................... ..................................................................................................................................................................................................................... EL CAJON Chartered $ 0.55 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. ENCINITAS General Law $ 0.55 $ 0.55 $ 1.10 ..............................................I......I....................... ESCONDIDO ..................................................................................................................................................... General Law $ 0.55 $ 0.55 ...................................................................... $ 1.10 ......................................................................................... IMPERIAL BEACH ......................................... General Law $ 0:55 $ 0.55 ............................................................ $ 1.10 ......................................................................................... LA MESA General Law $ 0.55 $ 0.55 ...................................................................... $ 1.10 ......................................................................... LEMON GROVE .......................... General Law $ 0.55 $ 0.55 $1.10 ............................................................................................................................................................................................................................................................. NATIONAL CITY General Law $ 0.55 $ 0.55 .................................................. $ 1.10 .......................................................................................................................................................................................... OCEANSIDE Chartered $ 0.55 $0.55 $ 1 1.. ........................... ..................................................................................................................................................................................................................... POWAYGeneral Law $ 0.55 $ 0.55 $ 1.10 ......................................................................................................................................................................................................................................................... SAN DIEGO Chartered $ 0.55 ............................$ 0.:55 ...................... $.1.10 ......................... ...................................................................I...................... SAN MARCOS . ....................................... Chartered $ 0.55 $0.55 $ 1:10....... .................................................................................................................................................................................--........................................ SANTEE Chartered $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. SOLANA BEACH ......................................................................................................................................................................................................................................................... General Law $ 0.55 $ 0.55 $ 1.10 mjgc rev20Dec2016 Califomin City Finance.com page 9 of 13 California Cid Documentary and Property Transfer Tax Rates Governance: Per $1000 Rev&Tax Code Per $1000 General Law PropertyValue Sec 11911-11929 € PropertyValue or Chartered City Rate County Rate Total .......................................................................................... VISTA . Chartered $ 0.55 $ 0;55 $ 1;10 .....................................Over $100,000 AV => 0.5%, Over $250,000 AV => 0.68% SAN FRANCISCO Chartered Over $1 million AV => 0.75%, Over $5 million AV => 2.25% Over $10 million AV => 2.75%, over $25 million => 3.00% Discounts for certain solar & seismic improvments. ............................................................. •.�, • ... .....10 $ . $110 ESCALON ................................................................................................................................................................. General Law $ 0.55 $ 0.55 $1.10 ............................................................................................................................................................................................................................................................ LATHROPGeneral Law $ 0.55 $ 0.55 $1.10 ..............................................................................................................................................................................................................................................0.......... LODI General Law $0.55$0.55 ..................................................................... $1.10 .................................................................................................................................................................................... MANTECAGeneral Law $ 0.55 $ 0.55 $1.10 .................................................................................................................................................................................................................................................... RIPON General Law $ 0.55 ..0.55 $1.10 ................................................................................................................................................................................................................................................................ STOCKTONChartered $ 0.55 $ 0.55 $ 1:10 .................... ..........................................................................................I..... TRACY .................................................................................................................. General Law $0.55$0.55 $ 1 10 •- •• • $110 $1.10 ARROYO GRANDE ......................................................................................................................................:..................... General Law...... .............................................................................................................................................................................................................................................................. ATASCADERO General Law $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. EL PASO DE ROBLES General Law $ 0.55 $ ...55 $ ...10 GROVER BEACHGeneral Law $ 0.55 ............................................................................................................ $ 0.55 $ 1.10 ............................................................................................ MORRO BAY ............................................. General Law .: $0.55$0.55 ..................................................................... $1.10 ..................................................................................................................................................................................... PISMO BEACHGeneral Law $ 0.55 $ 0.55 $1.10 .............................................................................................................................................................................................................................................................. SAN LUIS OBISPOChartered $ 0.55 $ 0.55 $1.10 ...... SAN • COUNTY ............................................................................................................................................................ $110 $110 ATH ERTON ............................................................................................................................................:..................... General Law $ 0.55 $ 0.55 $ 1 10 .............................................................................................................................................................................................................................................................. BELMONTGeneral Law $ 0.55 $ 0:55 ............................................................... $ 1.10 ............................................................................................................................................................................... BRISBANE General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. BURLINGAME General Law $ 0.55 $ 0.55 ........... $1.10 ............. ....... I.... I............ ................... .......... ................................................................................................................................................................................ COLMA General Law $0.55$0.55 .................................................................... $1.10 . .................................................................................................................................................................................... DALY CITYGeneral Law $ 0.55 $ 0.55 ...................................................................... $ 1.10 .................................................................................................................................................................................... EAST PALO ALTO General Law $ 0.55 $ 0:55 $ 1:10 ................................................................................................ FOSTER CITY ......................................................... General Law $ 0.55 $0.55 ...................................................................... $1.10 ................................................................................................................................................................................ HALF MOON BAY General Law $ 0.55 $0.55$1.10 ... .... .. ............. ................. -.11, ........................... I ................................................................................................................................................................................. HILLSBOROUGH General Law $ 0.55 $0.55$1.10 ..........I...... ................ ..................... ..... ................ ......................... .................................................................................................................................................. MENLO PARK General Law $ 0.55 $ 0.55 $ 1 10 .......................................................................................................................................................................................................-......................................--.......... MILLBRAE General Law $ 0.55 $ 0:55 ................... $ 1:10.............. ........................................................................................................................................................................ PACIFICA General Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. PORTOLA VALLEY General Law $ 0.55 $ 0.55 ............................................................... $ 1.10 .............................................................................................................................................. REDWOOD CITY Chartered .................................... $ 0.55 $ 0:55 ............................................................... $ 1.10 .................................................................................... SAN BRUNO General Law $ 0.55 $ 0.55 $1.10 .............................................................................................. SAN CARLOS ........................................................................................................................................................... General Law $ 0.55 $ 0.55 $ 1 10 SAN MATEOChartered 0.5% of value $ 1.10 ........................................I............................. $ 6.10 ............................................................................................................................................................................. SOUTH SAN FRANCISCO General Law $ 0.55 $ 0.55 $ 1.10 ................................................................................ WOODSIDE .....,............................................................................................................................................... General Law $ 0.55 $0. 5 •1.10............................. $ 1 10 .1:.1................. • ...............................................................� mjgc rev20Dec2016 CaliForniaCityFinance.com page 10 of 13 California City Documentary/ and Property Transfer Tax Rates Governance: Per $1000 Rev&Tax Code Per $1000 General Law PropertyValue Sec 11911-11929 € PropertyValue or Chartered City Rate County Rate Total ................................ ................................ -......................... BUELLTONGeneral Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. CARPINTERIA General Law $ 0.55 $ 0.55 $ 1:10 ................ ......................................................................................................................................................................................................I................. GUADALUPEGeneral Law $ 0.55 .................................. $ 0.55 .................................... $ 1.10 . . .................. I ........... ... ....................... .......... ... ..................................... ............ .... LOMPOC ................................ . General Law ..................... $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. SANTA BARBARA Chartered $ 0.55 $ 0:55 ........................ $ 1:10 .................................................................................................................................................................... SANTA MARIAChartered $ 0.55 $ 0.55 ......... ......... ................ $ 1.10 I................... .......... .... ...................................................................... ........... SOLVANG ......................................................................................................... Chartered $ 0.55 $ 0.55 .1.................................................................. $ 1.10 , 11we ................................................................................ .10 $ 1.10 .................................................................................................................................................................. CAMPBELLGeneral Law $ 0.55 $ 0.55 $ 1.10 .............................................................................................................................................................................................................................................................. CUPERTINO General Law $ 0.55 $ 0.55 $ 1.10 .....................................................................................................................................................................................................................................1...................... GILROY Chartered $ 0.55 $ 0.55 $ 1 10 ........................................................................I.........I............. LOS ALTOS ........................................................................................................................................................... General Law $0.55$0.55 $ 1.10 .............................................................................................................................................................................................................................................................. LOS ALTOS HILLSGeneral Law $ 0.55 $ 0.55 $1.10 .. ............................... ............................................................................................................................................................................................................................. LOS GATOS General Law $ 0.55 $ 0.55 $ 1. 0 .............................................................................................................................................................................................................................................................. MILPITAS General Law $ 0.55 $ 0.55 $1.10 ......................................................................................................................................0:..............................................................................................""........ MONTE SERENO General Law $ 55 $ 0.55 $ 1.10 ........................................................................................................................................................................................................................................I..................... MORGAN HILLGeneral Law $ 0.55 $ 0.55 $ ................. .. ......................................................................................................................................................................................................................................... MOUNTAIN VIEWChartered $ 3.30 $ 1.10 $ 4.40 ............................................................................................................................................................................................................................................................ PALO ALTO Chartered $ 3.30 $ 1.1.0... .......... 4.40. ................ ................................. ..................................... ...................... ............................................................................................................................. SAN JOSE Chartered $ 3.30 $1.10 $ 4.40 .............................................................................................................................................................................................................................................................. SANTA CLARAChartered $ 0.55 $01.5.5.1 ............................ ..1 . $ 1 10.10............... ............................................................................................................................................... SARA..T.OGA . ... ................................ General Law $ 0.55 $ 0.55 $ .............................................................................................................................................................................................................................................................. SUNNYVALE Chartered $ 0.55 $ 0.55 .1............................................:..................... $ 1...1.0 SANTACRUZ • ............................................................................... .10 $110 .................................................................................................................................................................. CAPITOLAGeneral Law $ 0.55 $ 0.55 $1.10 ............. .. ............................................................................................................................................................................................................................................... SANTA CRUZ Chartered $ 0.55 $ 0.55 $ 1 10..................... .. ....................................................................................................................................................................................................................................... SCOTTS VALLEYGeneral Law $ 0.55 $0...5.5 .............................. ..1..10................. $.11...1.0 ........................................................................................................................................................................................................ WATSONVILLE Chartered $ 0.55 $ 0.55 $1.10 • 10 $ 1 10 .................................................................................................................................................................. ANDERSONGeneral Law .................................................................................................................... $ 0.55 $ 0.55 $1.10 I............... .......... ........... ........... ............ .......................... .... ....................... REDDINGGeneral ....................................................................................................................................................................................................... ..... ................... . Law $ 0.55 $ 0.55 $1.10 ................................ I .... I .... ............. SHASTA LAKE General Law $ 0.55 COUNTY ........... .............................................................. ... LOYALTON General Law $ 0.55 • • 0:55 $ 1.10 ................. ........................................................... $ 1.10 $ 1.10 I............ .... ....................................................... ............................$.....:.................... Law ..........$.....:55 $ 1.10 $ 1.10 .......................................... ........................................... --------------------------------- DORRIS General Law $ 0.55 $ 0.55 .. .................................................................................................................................................................................................................. DUNSMUIRGeneral Law $ 0.55 $ 0.55 .............................................................................................................................................................................................................. ETNA General Law ...........$ 0.55..............................$..0..55................. ......................... .............................................................................................................................. FORT JONESGeneral Law $ 0.55 $ 0.55 .............................................................................................................................................................................................. MONTAGUEGeneral Law $ 0.55 $ 0.55 .................................................................................................................................................................................................... MOUNT SHASTA Law$:55..............................0.:55 . .................................................General ................ I..................................................... TULELAKE General Law $ 0.55 $ 0.55 .................................................................................................................................................................................................... WEEDGeneral ...................................................................................................................................................................................................I Law $ 0.55 $ 0.55 .................... $ 1.10 ............ .................... .................... ....................................... ............................1.....1....0 ..................... .................. $ 1.10....... .............. ........................i.: 0....... $ ...10 mjgc rev20Dec2016 CaliforninCityFiviance.com page 11 of 13 California CitvDocumentary and Pr0r)ertwTransfer Tax Rates CafiforpiiaCityFiriancexowt page 12 of 13 Per$1000 Rev&Tax CodPer$1000 General Law PropertyValue Sec 11911-11929 PropertyValue or Chartered City Rate County Rate , Total .................... YREKA General Law $0.65 I I., $0i55 Nil $110 .................................... ................................. ... .................... .......... ......................................................... $110 $i1O BEN|C|A ____________ General Law $0.55 ____ $0.55 $110 -..................... ............................. ................ DIXON ....... -........................................................................... Genera Law ........................................................................................ $ 0.56 $ U.65 $ i.10 -..................... .............................................. FA|RRELD ....... ........................................... ........................................................................................................... General Low $0.65 $0.55 .................... $1.10 -......... ............................................................................................. RIO VISTA ......................................... General Law ....................................................... $0i55 ............................................... $0.55 $1.10 ----'---........................................... SU|SUNCITY .......... ..................................................................................................................................................................... General Law $0.55 $0.55 $110 .............. \AC/&/LLE General Law $0.55 $0.55 $1.10 ........ ��������........................................................................................................................................................................................................................ \A\LLEJD Chartered $3.30 $110 $4.40 SONOMA COUNTY - ----------~--'----'^-'-----'------~--'^-------' $1.10 $1.10 CLOVERDALEGonona|Law --'---'--------------'--------'---'---'----- $0.55 $0.55 $1.10 ........_........................................................._�������������............................................................_.................._........................................................... COTAT| General Law $ 1.90 $ 110 $3.00 .............. ........................................................................................................................................................................... HEALDS8UR8 General Law $0.65 ................................................................... $O.66 $110 -----`-----------`----------~-------`-------'----------------------` PETALUMA Chartered$2.0O $110 $3.10 -'----`----`----------`---`---------`--------------`-------------------` RC)HNERTPARK General Law $0.65 $0.55 $ 1.1U --...................... ... ................. .......... ............ SANTA RUSA ............................................................. Chartered ..................................................................................................................... $2.00 $110 $310 ���........ ��������������...... SEBASTOPOL ......'......,................'�..._.......................................................................................................................... General Law $0.55 $0.55 $110 .................. '......... -...................................... SC)N(]MA .................................................................................................................................................................................... General Law $0.55 $0.55 $110 ...... ................................................................................................................................................................................................................................................... WINDSOR General Law $ 0.55 $ 0.55 $ 1.10 STANISLAUS COUNTY --------------~---------'----------------- $11O $110 ------'------------------------------ CERBG General Law $0.55 $0.55 $110 ....... I General Law $0.55 $0.55 $110 _ ;WODESTO ________ Chartered $0.55 $0.55 $1]0 __________________________________________________________________ NEVVMAN General Law $ O.55 $ 0.S5 $ 110 -------------'----'-'-'--'-'---^-'--^--'------'----------------'-----'' OAKDALE General Law $0.55 $0.65 $110 --`-------`-`-------------------^----------`-----------'-----`------ PATTERSON General Lnvv $ 0.55 $ CiS6 $ 1.1U --------------`----------`-----''--`---------`---`--------'--`----`------ RK/ERBANK General Law $ U.55 $ 0.55 $ 1.1U -----------------------'--------'-~----------'---'--`------------------ TURL0CK General Law $ 8.55 $ 0.55 $ 1j0 .......... ................................................................................................................................................................................................................................................... WATERFORD General Low $ O.55 $ O.55 $ 11U -----------------'-------------------'---'-' $1jU $1.10 ^~~----------------------------------------------------- LIVE OAK Genero La� �0�55 �0�55 �1�1U ....... ................................ ........................... YU8ACITY .............. .... ............................................... Genera Low ..................................................................................................................... $0.55 $0.55 $110 CafiforpiiaCityFiriancexowt page 12 of 13 California City Documentary and Property Transfer Tax Rates or Chartered City Rate County Rate Total ��............... ............................... ------------ _�- -���������.��-��� �11O �110 CORNING .............. ... ..... .................... General Law ............................ ....................................................................................... $ 0�55 $ O.55 $ 110 ______ _____________ RED BLUFF General Law ____________.___ $ 0.S5 $ 0.55 $ 110 .......... ....... ............................................................................................................................................... TEHAMA General Law ........................................................................................ $ O.55 $ 0.55 $ 110 TRINITY COUNTY ����������������............................................................................................ $110 $1]O JTULARE COUNTY,. -------------------'-----------------'--''-- $110 $1.10 D|NUBA -------------------'-----'----------------' Chartered $0.56 $0.55 $110 ...........�������������'������ EXETER , ����'����������`������`�������. Cha�arad �O�55 �O�55 $110 --'----'---------------'------------'-'-----'-'--------------'------------ FARMERSV|LLE General Law $0.56 $0.65 $1]0 ---------------'---'----------------------------------------'-'------ LINDS/A' Chartered $0.55 $0.55 $110 _ ................. .................................................................. .................................................................................................................................................................... PORTERV|LLE Chartered $0.55 $0.55 ----`---'------'--------`---------`---------------------------------` TULARE Chartered $0.56 $0.55 $1.10 ---~---------`-----`-----------------------------~------------'-----` \4SALk\ Chartered $ U.55 $ O.55 $ 1j0 ................... ............................................ ........................... VVOOOLAKE ............................................................................................................................................................... Chartered $0i55 $0.55 ---'---'--'--'-'------------'---'----'-------- $110 $110 SONORA ___________ e- n- Lavv � 0�55 � O.55 __ � 1�10 --------------------'---------------'---'----- � i�1O � 11O CAMAR|LLO Gonera |Law $O�65 __ �0�65 � 1]0 -.............. .......................... ..................................................... F|LLMORE ................... ................................................................................................................................. General Law $ 0.56 $ 0.55 $ 110 ___________~_________________________''____________'_________________'._____ yNOORPARK General Law $ Ci55 $ 0.55 $ 1]O '----'----------'--------------'-----------'---'----------'------------' OJA| General Law $0.65 $0.55 $110 ......................................... .............. ..................................................................................................................................................................................................... OXNARD General Luvv $ U.55 $ 0.65 $ 110 '-----'-----'----'---'-'------'---------'----'--'-'---'------------------'---' PORTHUENEME Chartered $ O.5S $ O.55 $ 11O ����.......................................`...........'�����....................`................................`....................................................................................................... SAN 8UENAVENTURA Chartered $ U.65 $ 0.5S $ 11O -----------'----------------`^------'----'-------------'----'--'-----~------ SANTAPAULA General Law $ O.55 $ [i55 $ 11U -------`--'-^--''--`---`-`-`-------`---'------`------'-----------------'- S|M|\V\LLEY Genera Law $0.55 $0.56 ......................`............................. $ 1.iO ����������......... ....................................................................... THOUSAND OAKS ................................................................................ General Law $ 0.55 $ 0.55 $ 1j0 COUNTY ---'------------------`---`-------------`----- $11O $1]0 DAVIS ______________________'.______________'' General Law $0.55 $0.65 $ 110 -- ---'----------------'--'---------------'-------------'--- VVESTSACRAMENTO General Law $ 0.55 $ Ci55 $ 11O ......... ..... ......................... .... ........................................................................................................ VNNTERSGonendLaw .................................................................................................... $0.55 $0,65 $1.10 '' -'.... ... ............................. ................ .......................... ............................................................... WOODLAND General Low ...................................................................................................... $ 1]0 $ 1.10 $ 220 ____________________________________________ �11O �110 MARYSV(LLE ���.����������_���� Chartered'$0.55 �U�65 � 1�1U -------'---'---'---------------'-'-------------------'-------'---------'- VVHEATLAND ____________________________________________________________________. Genera Low $ 8.55 $ 0.65 $ i10 ........................... ...... .......... -.......................................... SOLETAGenera .......................................................................................................................................................... Law $ O.55 $ O.55 $ i]0 --'----'----------------------------'-----------'---------------------'- RANCHO CORD0VA ------'-'-------------------------------'-............................................................................................................. General Law � 0.55 $ 0.55 $ 110 Sou1ce:Ca|UbnnioChyFlnnnce.cono -................... ............. ......... ....................................................... .......... -' n�gorev20Deo2010 City Cukyorn�/���F�`unomoowx page 13of13