Government Finance and Operations 05/25/2012
Redevelopment
SB 1151 (Steinberg) – Support in Concept
SB 1156 (Steinberg) – Support in Concept
These two bills, SB 1151 and SB 1156, by Senate President Pro Tem
Darrell Steinberg, would create a structure for continuing
redevelopment activities in the future.
The foundation of CSAC’s support is that counties would have an
option whether to financially participate in this new version of
redevelopment. The approach outlined in the bill package
encourages a collaborative partnership between local governments
to jointly govern and utilize various financing tools formerly
afforded redevelopment agencies to provide economic development
that also focuses on the public good. Pending amendments
would
While CSAC supports economic development consistent with the SB
375 goals, as allowed by the two bills as currently drafted, we
would support both an expansion of the project area definition
and the list of eligible uses currently outlined in the bills in
order to support the myriad of public safety, and health and
human services that counties provide on behalf of the state. We
envision a new structure for community development and affordable
housing that gives counties and cities working together the power
to both spur economic development and at the same time provide
the public infrastructure that can help ensure the rebuilt
community’s success. This infrastructure could include
transitional housing for people entering or reentering the
workforce after incarceration or a childhood spent in the foster
system, as well as others who need transitional and supportive
housing. It could include the child care facilities that allow
parents to work, or the clinics that keep those housed locally
healthy, working, and out of emergency rooms. Some rural and
disadvantaged communities need upgraded infrastructure to simply
meet health and safety standards.
The Senate Appropriations Committee passed SB 1151 and SB 1156 on
Thursday, May 24. They now move to the Senate Floor.
Vehicle License Fees
SB 1566 (Negrete McLeod) – Oppose Unless Amended
As Amended on April 10, 2012
SB 1566, by Senator Negrete McLeod, would have given a share of
vehicle license fees to newly incorporated cities and to cities
that recently annexed inhabited land.
As part of last year’s realignment, the state transferred two
revenue sources to counties: the portion of VLF that counties
weren’t already receiving and a specific share of the state’s
sales tax. The VLF revenue is specifically allocated to public
safety programs. The explicit understanding of 2011 Realignment
is that counties take on the considerable risk that these funding
sources will be sufficient to fund the realigned services, and in
return the shift in funding sources will be permanent and
uninterrupted. SB 1566 would have altered this agreement made
last year.
SB 1566 was held under submission in Senate Appropriations
Committee, not making it off the Suspense File.
Elections
AB 1436 (Feuer) – Oppose Unless Amended
As Amended on April 16, 2012
AB 1436, by Assembly Member Mike Feuer, would create a process
for potential voters to register to vote and vote in the final
two weeks before an election. Currently, citizens must register
at least fifteen days before an election to vote in that
election.
The costs counties would incur complying with this requirement
are difficult to overstate. The proposed law would increase
election departments’ workloads by, first, all the provisional
ballots from voters that would not otherwise have registered,
but, more importantly, by the provisional ballots from all of the
voters that would have otherwise met the 14-day deadline but wait
longer given the opportunity.
The most populous counties in the state already struggle to
certify their votes by the end of the 28-day canvass period. AB
1436 would add significantly to that struggle. Not only would
election offices need to meet all of the current certification
and audit requirements, they would also need to process large
numbers of voter registration forms and provisional ballots.
Verifying and counting provisional ballots are by far the most
time-consuming processes that county registrars undertake during
the canvass; AB 1436 would increase the number of provisional
ballots by multiples, adding tremendous costs.
If this policy is an issue of statewide concern, as passing this
mandate would indicate, then the state should be willing to use
statewide revenues to pay the cost from the beginning, instead of
saddling counties with the costs.
The author took amendments in the Assembly Appropriations
Committee so that the bill’s provisions only become operative
upon operation of the VoteCal system, and to reduce the 14-day
period to a 7-day period. They passed the bill, and it now moves
to the Assembly Floor.
Sales and Use Tax
AB 2618 (Ma) – Support
As Amended on April 18, 2012
AB 2618, by Assembly Member Fiona Ma, would ensure that
purchasers of cars at auction pay the appropriate amount of sales
or use tax on those transactions.
All too frequently, unscrupulous Californians are avoiding paying
taxes on cars purchased at auction, especially salvaged auto
auctions, by telling the auctioneer that they will be reselling
the vehicles later, then never doing so. Many of these vehicles
are either never subsequently registered with DMV, or if they are
they report a value lower than the actual sale price.
AB 2618 would curb this fraud by requiring those buyers claiming
intent to resell to be licensed dealers, dismantlers, repair
dealers, or scrap metal processors.
The sales and use tax supports not only the state’s General Fund,
but also counties and cities. The sales and use tax is also an
important funding component for 2011 Realignment.
The Assembly Appropriations Committee passed AB 2618 at its
hearing on Friday, May 25. The bill now moves to the Assembly
Floor.