Government Finance and Operations 08/16/2013
Vote Thresholds
SCA 4 (Liu) – Support
As Amended on May 21, 2013
SCA 8 (Corbett) – Support
As Amended on May 21, 2013
SCA 4 , by Senator Carol Liu, and SCA 8, by Senator Ellen Corbett
would reduce the vote threshold to 55 percent, from two-thirds,
for special taxes for local transportation projects, thereby
allowing communities to self-determine the level of revenues they
want.
As a matter of long-standing policy, CSAC supports these measures
and others that would reduce the vote threshold from the current
2/3 supermajority requirement. We encourage the Legislature to
consider all of these measures in a broad discussion about what
is appropriate to be placed before the voters in 2014. That
discussion should consider the needs and desires of local
communities, as well as providing counties the flexibility to
pursue special taxes in either the entire county or only in the
unincorporated areas.
The Senate Transportation and Housing Committee is scheduled to
hear these measures at its hearing next Tuesday, August 20.
Economic Development
SB 1 (Steinberg) – Support
As Amended on May 2, 2013
SB 1, by Senate President Pro Tem Darrell Steinberg, would create
a structure for continuing economic development activities
consistent with the state’s sustainable development goals.
The foundation of CSAC’s support is allowing counties a clear
option whether or not to financially participate in tax increment
financing for economic development purposes. An approach that
encourages collaboration between counties and cities will best
serve Californians. This approach allows counties control over
their own general funds, and also necessitates discussions about
what kinds of development benefits the community as a whole.
The Assembly Local Government Committee passed SB 1 at its
hearing on Wednesday, August 14. The bill now moves to the
Assembly Appropriations Committee, which has scheduled it for
next Wednesday, August 21.
Elections
SB 360 (Padilla) – Support
As Amended on August 6, 2013
SB 360, by Senator Alex Padilla, would make various changes to
the law to allow a county to devise and test a nonproprietary
voting system.
Among the specific changes the bill would make are those that
would allow the Secretary of State to conditionally approve a
voting system, allow a county to use public funds to develop such
a system, and create a process to set the conditions for a pilot
program to test the system.
While none of these changes alone represent a revolution in the
way elections are run, together they create the opportunity for
Los Angeles County to pursue what is frankly a very exciting
advance in the administration of elections. Once their system is
developed, there is a strong possibility that other counties who
are interested could work with LA to implement the system there
as well. We urge the Legislature to make these changes so that
the effort already underway can continue to move forward.
The Assembly Elections and Redistricting Committee passed SB 360
last Tuesday, August 13. The bill now moves to the Assembly
Appropriations Committee, which has scheduled it for next
Wednesday, August 21.
Utility User Taxes
AB 300 (Perea) – Support in Concept
As Amended on July 10, 2013
AB 300, by Assembly Member Henry Perea, would create a
point-of-sale system for collecting state and local
charges—including utility user taxes—on prepaid wireless
services.
Local agencies that impose a utility user tax on wireless
communication are seeing this revenue source slowly fall, despite
the ever-increasing number of cell phone subscribers. One reason
for this decline in revenue is the increasing popularity of
prepaid, non-contract payment plans. Once associated primarily
with users who had bad credit, prepaid wireless plans are
becoming a more widespread service model. Due to this business
model change, counties can benefit from the development of a
system that captures the taxes that are owed on these
transactions.
The bill’s proponents have engaged with counties over many months
to work out the many details necessary to include local charges
in the bill’s provisions. In this spirit of cooperation, we
continue to work with the author’s office and the bill’s
proponents on some details related to a seller’s duties under the
bill, which is the reason for withholding our unqualified
support.
The Senate Governance and Finance Committee was scheduled to hear
AB 300 at its hearing on Wednesday, August 14, but the bill was
put over until next Wednesday, August 21.