Government Finance and Operations 09/04/2012
Economic Development
SB 1156 (Steinberg) – Support
AS Enrolled on August 29, 2012
SB 1156, by Senate President Pro Tempore Darrell Steinberg, would
create a structure for continuing redevelopment-like activities
in certain areas, mostly those in areas with ready access to
transit services.
The foundation of our support is allowing counties a clear option
whether to financially participate in tax increment financing for
economic development purposes. We believe an approach that
encourages collaboration between counties and cities will best
serve Californians. This approach would not only allow counties
appropriate control over their own general funds, but requires
discussions about what kinds of development benefits the
community as a whole.
Both houses have passed SB 1156 and it is on its way to the
Governor’s office.
Taxes
SB 1030 (Committee on Budget and Fiscal Review) – Support
AS Enrolled on August 31, 2012
SB 1030, by the Senate Committee on Budget and Fiscal Review,
would remove a paragraph from law that inadvertently reduced
property tax allocations for some counties.
Among many other complex issues surrounding the dissolution of
redevelopment agencies is the redistribution of property taxes.
As successor agencies pay off their obligations, billions of
dollars will return to counties, cities, special districts, and
of course school districts. No one disputes that these property
taxes should be returned exactly as they would have been absent a
redevelopment agency’s diversion of the tax increment.
Unfortunately, one provision of the laws passed in
redevelopment’s wake inadvertently reduced property tax
allocations to local agencies in counties where ERAF payments
exceed the amount needed to fulfill school districts’ minimum
funding requirements. This situation is known as “excess ERAF,”
and when it occurs, the ERAF payments are returned to taxing
entities in the proportion they were paid.
Removing this language will restore property tax allocations to
their rightful levels, ensuring fairness and predictability.
Both houses have passed SB 1030 and it is on its way to the
Governor’s office.
AB 1126 (Calderon) – Support
As Enrolled on August 31, 2012
AB 1126, by Assembly Member Charles Calderon, would clean up the
codes to ensure that local agencies can utilize their recently
granted authority to raise transaction and use tax rates — with
voter approval — in increments of one eighth of a cent.
Last year’s AB 686, which CSAC supported, changed statute to
allow this finer parsing of transaction and use rates, but the
Board of Equalization has since identified two other code
sections that the Legislature should change so that the code is
consistent.
Both houses have passed AB 1126 and it is on its way to the
Governor’s office.
Elections
SB 1272 (Kehoe) – Support
As Enrolled on August 30, 2012
SB 1272, by Senator Christine Kehoe, would extend the term of
central committee members to four years from two. This change,
though minor on its face, would be a major benefit for county
election offices, for two main reasons.
First, under the new top two primary system, the only partisan
races remaining on the ballot are for U.S. President and for
central committee members. Therefore, in years of gubernatorial
elections, with no presidential contest, central committees would
be the sole partisan contests, and would force major cost
increases associated with preparing and printing partisan
ballots.
Second, central committee candidates constitute a
disproportionately large percentage of the candidates to whom
election officials must provide service. In most counties, they
constitute at least half of candidates, and in several counties
they are about two-thirds of the total. Many central committee
contests do not end up on the ballot because the number of
candidates is fewer than the number of available spots. However,
the central committees still have the option of forcing the
question on the ballot, requiring the space for listing the
candidates and a number of write-in spaces.
Furthermore, counties are required to pay all the costs of
central committee elections with county general funds, even
though central committees are private entities.
Both houses have passed SB 1272 and it is on its way to the
Governor’s office.
AB 216 (Swanson) – Support
As Enrolled on August 30, 2012
AB 216, by Assembly Member Sandre Swanson, would give county
registrars another option for updating voters’ addresses.
County registrars check voters’ addresses before elections to
make sure election mail, including ballots, reaches the right
people. Currently, they can do that by sending postcards to all
registered voters and requesting a response, or by checking their
information against the U.S. Postal Service and sending postcards
only to those the USPS says have moved.
Unfortunately, many people do not officially tell the USPS when
they move, so while the first method is inefficient, the second
method is incomplete.
It turns out that credit bureaus are very good at keeping up with
people, and their contact data is the best around. Under AB 216,
county registrars could check their data against the information
maintained at these credit bureaus instead of the USPS before
sending postcards. There is no need to send anything other than
the names and addresses of the voters back and forth, so no
sensitive information would be shared in either direction.
Both houses have passed AB 216 and it is on its way to the
Governor’s office.
AB 2080 (Gordon) – Support
As Enrolled on August 30, 2012
AB 2080, by Assembly Member Rich Gordon, would allow all
vote-by-mail voters to have another member of their household
return their ballot for them if they are unable.
Under current law, a voter must be ill or physically disabled in
order to designate someone else to return his or her marked
ballot. However, Californians, who are increasingly voting mailed
ballots, seem to be unaware of this law and frequently give their
ballots to spouses or other family members to return for them.
Practically, poll workers have no way to verify the voter’s
illness or disability.
Both houses have passed AB 2080 and it is on its way to the
Governor’s office.
Telecommunications
SB 379 (Fuller) – Support
As Enrolled on August 30, 2012
SB 379, by Senator Jean Fuller, would help support technology
deployment to rural California by modifying the state’s High-Cost
Fund- A (CHCF-A) program to comply with federal
regulations.
Specifically, SB 379 would amend the statutes governing the
CHCF-A program to reflect the reforms of the Federal
Communications Commission. Last year, the FCC changed the focus
and goals of the Universal Service Fund to recognize that
telephone and broadband have become unified systems. As part of
that change, the FCC will require that rural telecommunications
companies achieve broadband speeds of 4Mbps downstream and 1 Mbps
upstream, and higher speeds in future years, as a requirement to
receive federal high cost support. To achieve that goal, the
CHCF-A governing statutes must be revised to conform to the
federal program or California’s efforts to provide basic phone
service to residents in hard to reach areas could lose roughly
$25 million annually in federal support.
Affordable telephone and other telecommunication rates are vital
to both residential and business customers in our member
counties. Losing $25 million annually of federal support could
potentially cause rate increases for all telephone customers and
ensure the delay of broadband deployment. State programs and
policies are updated to support the goal of residents throughout
all of California having access to broadband services.
Both houses have passed SB 379 and it is on its way to the
Governor’s office.