Amended in Senate June 11, 2014

Amended in Senate June 2, 2014

Amended in Senate May 5, 2014

Amended in Assembly May 2, 2013

Amended in Assembly March 21, 2013

California Legislature—2013–14 Regular Session

Assembly BillNo. 1324


Introduced by Assembly Member Skinner

(Coauthor: Senator Hancock)

February 22, 2013


An act to add and repeal Chapter 3.8 (commencing with Section 7293) of Part 1.7 of Division 2 of the Revenue and Taxation Code, relating to taxation.

LEGISLATIVE COUNSEL’S DIGEST

AB 1324, as amended, Skinner. Transactions and use taxes: City of El Cerrito: County of Contra Costa.

Existing law authorizes cities and counties, subject to certain limitations and approval requirements, to levy a transactions and use tax for general purposes, in accordance with the procedures and requirements set forth in the Transactions and Use Tax Law, including a requirement that the combined rate of all taxes that may be imposed in accordance with that law in the county not exceed 2%.

This bill would authorize the City of El Cerrito and the County of Contra Costa, if certain requirements are met, each to impose a separate transactions and use tax for general purposes at a rate of no more than 0.5% that, in combination with other specified taxes, each would exceed the combined rate limit.begin insert Under the bill, these authorized tax rates would not be included in the calculation of the 2% limitation.end insert

These provisions would be repealed by their own terms on January 1, 2022, if the ordinance is not approved, as specified.

This bill would make legislative findings and declarations as to the necessity of a special statute for the City of El Cerritobegin insert and the County of Contra Costaend insert.

Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.

The people of the State of California do enact as follows:

P2    1

SECTION 1.  

Chapter 3.8 (commencing with Section 7293) is
2added to Part 1.7 of Division 2 of the Revenue and Taxation Code,
3to read:

4 

5Chapter  3.8. Local Government Finance in the City of
6El Cerrito and the County of Contra Costa
7

 

8

7293.  

begin insert(a)end insertbegin insertend insertNotwithstanding any other law, the City of El Cerrito
9and the County of Contra Costa each may impose a separate
10transactions and use tax for general purposes at a rate of no more
11than 0.5 percent that, in combination with all taxes imposed
12pursuant to Part 1.6 (commencing with Section 7251), each would
13exceed the limit established in Section 7251.1, if all of the
14following requirements are met:

begin delete

15 15(a)

end delete

16begin insert(1)end insert The city or county adopts an ordinance proposing the
17transactions and use tax subject to any applicable voter approval
18requirement.

begin delete

18 19(b)

end delete

20begin insert(2)end insert The city or county ordinance proposing the transactions and
21use tax is submitted to the electorate of the adopting city or county,
22as applicable, and is approved by the voters voting on the ordinance
23as required by Article XIII C of the California Constitution. The
24election on the ordinance proposing the transactions and use tax
25may occur on or after November 4, 2014.

begin delete

24 26(c)

end delete

P3    1begin insert(3)end insert The transactions and use tax conforms to the Transactions
2and Use Tax Law (Part 1.6 (commencing with Section 7251)),
3other than Section 7251.1.

begin delete

27 4(d)

end delete

5begin insert(4)end insert The transactions and use tax is imposed on or after January
61, 2015.

begin delete

29 7(e)

end delete

8begin insert(5)end insert Notwithstandingbegin delete subdivision (d),end deletebegin insert paragraph (4),end insert an
9ordinance proposing a transactions and use tax pursuant to this
10section shall become operative as provided in Section 7265.

begin insert

11(b) Notwithstanding Section 7251.1, the tax rate authorized in
12subdivision (a) shall not be considered for purposes of the
13combined rate limit established by that section.

end insert
14

7294.  

If, as of January 1, 2022, an ordinance proposing a
15transactions and use tax has not been approved as required by
16subdivision (b) of Section 7293, this chapter shall be repealed as
17of that same date.

18

SEC. 2.  

The Legislature finds and declares that a special law
19is necessary and that a general law cannot be made applicable
20within the meaning of Section 16 of Article IV of the California
21Constitution because of the unique fiscal and public service
22pressures being experienced in the City of El Cerrito and the
23County of Contra Costa.



O

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