Government Finance and Operations
For more information, contact Jean Kinney Hurst at 916/327-7500, ext. 515, or jhurst@counties.org or Geoffrey Neill at 916/327-7500, ext. 567, or gneill@counties.org.
Local Taxes ACA 9 (Huffman) Support As Amended on April 27, 2009 ACA 9, by Assembly Member Jared Huffman, would put a measure before California voters that would reduce the voter approval requirement for local taxes and bonds to 55%. Currently, counties have neither the financial resources to operate state programs and also meet local needs, nor the ability to predict service levels beyond each legislative session. In order to meet each community's unique needs, counties must be given greater fiscal independence from the state and federal budget processes, including the authority to offer the voters the option of approving revenues at a level sufficient to provide the degree of local services the community desires. The Assembly Revenue and Taxation Committee passed ACA 9 6-3 at their meeting on June 22. SB 10 (Leno) Support As Amended on May 28, 2009 SB 10, by Senator Mark Leno, would allow counties to put a measure before their voters to impose an assessment on vehicles owned by county residents. The imposed rate, combined with all state rates, could not exceed 2%. The measure could impose a lesser rate on low-emission vehicles. The measure would require counties to contract with DMV to administer the assessment. As counties continue to be responsible for the general health and well-being of their residents and as major revenue sources especially property taxes and the state continue to flag, counties are looking for new revenue options. SB 10 would give each county a chance to decide for itself whether it would like to impose this sort of assessment to support county programs and services. The Assembly Transportation Committee will consider SB 10 at their meeting on June 29.
Sales Tax Exemption SB 107 (Walters) Oppose Unless Amended As Amended on June 16, 2009 SB 107, by Senator Mimi Walters, would exempt mandatory gratuities paid by non-profit organizations from sales and use taxes. In a time of severe local revenue decline, it seems ill-considered for the state to spend local money in this manner. CSAC has requested that the author follow existing statute and either exempt local taxes from the exemption or reimburse local governments for their losses. The Senate Appropriations Committee will consider SB 107 at its meeting on June 29.
Local Fees SB 676 (Wolk) Support As Amended on June 25, 2009 SB 676, by Senator Lois Wolk, would provide important updates to numerous local fee provisions in state statute, some of which have not been updated since the 1980s. As a result, in many instances, counties are subsidizing fee-supported activities to the detriment of the county general fund, which is the primary funding source for local public safety programs and for local matching requirements for state- and federally-mandated health and human services programs that counties provide on the states behalf. The Assembly Local Government Committee will consider SB 676 at their meeting on July 1.
PRINTER-FRIENDLY VERSION
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