BILL NUMBER: SB 264	CHAPTERED  10/10/07

	CHAPTER  430
	FILED WITH SECRETARY OF STATE  OCTOBER 10, 2007
	APPROVED BY GOVERNOR  OCTOBER 10, 2007
	PASSED THE SENATE  SEPTEMBER 4, 2007
	PASSED THE ASSEMBLY  AUGUST 30, 2007
	AMENDED IN ASSEMBLY  AUGUST 27, 2007
	AMENDED IN ASSEMBLY  JUNE 20, 2007
	AMENDED IN SENATE  MAY 15, 2007
	AMENDED IN SENATE  MARCH 20, 2007

INTRODUCED BY   Senator Alquist

                        FEBRUARY 14, 2007

   An act to amend Sections 100250 and 100251 of the Public Utilities
Code, and to add Section 7262.3 to the Revenue and Taxation Code,
relating to taxation.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 264, Alquist. Transactions and use taxes: Santa Clara Valley
Transportation Authority.
   The Transactions and Use Tax Law authorizes various local
governmental entities, subject to certain limitations and approval
requirements, to levy transactions and use taxes as special taxes in
accordance with the procedures and requirements set forth in that
law. The Santa Clara Valley Transportation Authority Act provides for
the establishment of the Santa Clara Valley Transportation Authority
with a specified membership. Upon approval of a specified
proposition by a vote of the electorate, the authority would be
authorized to impose a retail transactions and use tax for specified
purposes.
   This bill would revise that act to conform to the voter approval
requirements set forth in the California Constitution. This bill
would also authorize the Santa Clara Valley Transportation Authority
to adopt an ordinance to impose a transactions and use tax, for
specified purposes, if certain conditions are met.
   The bill makes legislative findings and declarations as to the
necessity of a special statute.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 100250 of the Public Utilities Code is amended
to read:
   100250.  A retail transactions and use tax ordinance may be
adopted by the board in accordance with the provisions of Part 1.6
(commencing with Section 7251) of Division 2 of the Revenue and
Taxation Code, provided that two-thirds of the electors voting on the
measure vote to authorize its enactment at a special election called
for that purpose by the board.
  SEC. 2.  Section 100251 of the Public Utilities Code is amended to
read:
   100251.  Any transactions and use tax ordinance adopted shall be
operative in accordance with Section 7265 of the Revenue and Taxation
Code.
  SEC. 3.  Section 7262.3 is added to the Revenue and Taxation Code,
to read:
   7262.3.  Notwithstanding any other provision of law, the Santa
Clara Valley Transportation Authority may adopt an ordinance imposing
a transactions and use tax at a rate of 0.125 percent, provided that
all other provisions of this part and Article 9 (commencing with
Section 100250) of Chapter 5 of Part 12 of the Public Utilities Code
are complied with by the Santa Clara Valley Transportation Authority.

  SEC. 4.  The Legislature finds and declares that a special law is
necessary and that a general law cannot be made applicable within the
meaning of Section 16 of Article IV of the California Constitution
because of the unique fiscal pressures experienced by the Santa Clara
Valley Transportation Authority in providing essential public
transit services.