BILL ANALYSIS
ACA 15
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Date of Hearing: May 6, 2009
ASSEMBLY COMMITTEE ON LOCAL GOVERNMENT
Anna Marie Caballero, Chair
ACA 15 (Arambula) - As Introduced: March 10, 2009
SUBJECT : Local government transportation projects: special
taxes: voter approval.
SUMMARY : Lowers the constitutional vote requirement for
approval of a special tax specifically for providing funding for
local transportation projects from two-thirds to a
55% majority.
EXISTING LAW :
1)Authorizes cities, counties, and special districts to impose a
general tax for general governmental purposes with the
approval of a majority of the voters.
2)Authorizes cities, counties, and special districts to impose a
special tax for specified purposes with the approval of
two-thirds of the voters.
3)Authorizes local entities to incur school bonded indebtedness
with the approval of 55% of the voters voting on the measure
as an exception to the two-thirds voter threshold for special
taxes.
FISCAL EFFECT : Unknown
COMMENTS :
1)Constitutional requirements for voter approval of tax measures
were initiated with the passage of Proposition 13 in 1978, and
solidified with the passage of Proposition 218 in 1996. The
latter measure clarified that general taxes for general
governmental purposes require approval of a majority of
voters, while special taxes for any specified purposes must be
approved by two-thirds of voters. Proposition 39, which was
narrowly approved by 53% of California voters in 2000,
provided an exception to the two-thirds vote requirement for
special taxes by authorizing the passage of local school bond
measures by approval of 55% of the voters.
ACA 15
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2)ACA 15 would amend the State Constitution to lower the
constitutional vote requirement from two-thirds to 55% for
approval of a special tax that will provide funding for local
transportation projects. The author maintains that ACA 15
will provide local government and residents with the ability
to make vital investments in local transportation projects
while providing economic stimulus to their region. Further,
the author notes that "in order to renew or establish new
funding sources, local governments face the daunting task of
obtaining a two-thirds approval of voters. Despite being
supported by a strong majority of the community and regardless
of their community importance these measure are at the mercy
of a small minority of the voters and often fail by narrow
margins."
3)Shifting to a 55% vote for special taxes and bond indebtedness
has been tried several times in the last 10 years. Among
other bills, ACA 7 (Nation) from the 2005-06 session, would
have lowered the constitutional vote requirement from
two-thirds to 55% for any special tax. ACA 10 (Feuer), 2008,
would have created an additional exception to the 1% ad
valorem property tax, approved with 55% of the voter approval
for transportation projects. There are currently several
other measures revising the constitutional voting threshold
for different purposes pending in the Senate and Assembly:
ACA 10 (Torlakson), ACA 9 (Huffman), SCA 12 (Kehoe), and SCA 6
(Simitian).
4)This bill requires a two-thirds vote of the Legislature.
5)This bill is double-referred to the Committee on
Appropriations.
REGISTERED SUPPORT / OPPOSITION :
Support
CA State Association of Counties
Sacramento Regional Transit District
Santa Clara Valley Transportation Authority
Self-Help Counties Coalition
Opposition
ACA 15
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CA Association of Realtors
Cal-Tax
Howard Jarvis Taxpayers Association
Analysis Prepared by : Debbie Michel / L. GOV. / (916)
319-3958