BILL NUMBER: SCA 4	AMENDED
	BILL TEXT

	AMENDED IN SENATE  MAY 21, 2013
	AMENDED IN SENATE  MARCH 19, 2013

INTRODUCED BY   Senator Liu
   (Coauthor: Senator Pavley)
   (Coauthor: Assembly Member Bonilla)

                        DECEMBER 3, 2012

   A resolution to propose to the people of the State of California
an amendment to the Constitution of the State, by amending Section 4
of Article XIII A thereof, and by amending Section 2 of Article XIII
C thereof, relating to taxation.



	LEGISLATIVE COUNSEL'S DIGEST


   SCA 4, as amended, Liu. Local government transportation projects:
special taxes: voter approval.
   The California Constitution conditions the imposition of a special
tax by a city, county, or special district upon the approval of 2/3
of the voters of the city, county, or special district voting on that
tax, except that certain school entities may levy an ad valorem
property tax for specified purposes with the approval of 55% of the
voters within the jurisdiction of these entities.
   This measure would provide that the imposition, extension, or
increase of a special tax by a local government for the purpose of
providing funding for local transportation projects requires the
approval of 55% of its voters voting on the proposition  , if the
proposition proposing the   tax includes certain
requirements  . This measure would prohibit a local government
from expending any revenues derived from a special transportation tax
approved by 55% of the voters at any time prior to the completion of
a statutorily identified capital project funded by revenues derived
from another special tax of the same local government that was
approved by a 2/3 vote. The measure would also make conforming and
technical, nonsubstantive changes.
   Vote: 2/3. Appropriation: no. Fiscal committee: no. State-mandated
local program: no.



   Resolved by the Assembly, the Senate concurring, That the
Legislature of the State of California at its 2013-14 Regular Session
commencing on the third day of December 2012, two-thirds of the
membership of each house concurring, hereby proposes to the people of
the State of California that the Constitution of the State be
amended as follows:
  First--  That Section 4 of Article XIII A thereof is amended to
read:
      Section 4.  Except as otherwise provided by Section 2 of
Article XIII C, a city, county, or special district, by a two-thirds
vote of its voters voting on the proposition, may impose a special
tax within that city, county, or special district, except an ad
valorem tax on real property or a transactions tax or sales tax on
the sale of real property within that city, county, or special
district.
  Second--  That Section 2 of Article XIII C thereof is amended to
read:
      SEC. 2.  Notwithstanding any other provision of this
Constitution:
   (a) A tax imposed by any local government is either a general tax
or a special tax. A special district or agency, including a school
district, has no authority to levy a general tax.
   (b) A local government shall not impose, extend, or increase any
general tax unless and until that tax is submitted to the electorate
and approved by a majority vote. A general tax is not deemed to have
been increased if it is imposed at a rate not higher than the maximum
rate so approved. The election required by this subdivision shall be
consolidated with a regularly scheduled general election for members
of the governing body of the local government, except in cases of
emergency declared by a unanimous vote of the governing body.
   (c) Any general tax imposed, extended, or increased, without voter
approval, by any local government on or after January 1, 1995, and
prior to the effective date of this article, may continue to be
imposed only if that general tax is approved by a majority vote of
the voters voting in an election on the issue of the imposition,
which election is held no later than November 6, 1998, and in
compliance with subdivision (b).
   (d) (1) Except as otherwise provided in paragraph (2), a local
government shall not impose, extend, or increase any special tax
unless and until that tax is submitted to the electorate and approved
by two-thirds of the voters voting on the proposition. A special tax
is not deemed to have been increased if it is imposed at a rate not
higher than the maximum rate so approved.
   (2) The imposition, extension, or increase of a special tax by a
local government for the purpose of providing funding for local
transportation projects under its jurisdiction, as may otherwise be
authorized by law, requires the approval of 55 percent of the voters
voting on the  proposition. A   proposition, if
all of the following are met: 
   (A)     The ballot proposition contains a
specific list of programs and purposes to be funded, and a
requirement that tax proceeds be spent solely for those programs and
purposes. 
    (B)     The ballot proposition includes a
requirement for annual independent audit of the amount of tax
proceeds collected and expended and the specified purposes and
programs funded. 
    (C)     The ballot proposition requires the
governing board to create a citizens' oversight committee to review
all expenditures of proceeds and financial   audits 
 and report its findings to the governing board and the public.

    (3)     A  special tax for the purpose
of providing funding for local transportation projects is not deemed
to have been increased if it is imposed at a rate not higher than
the maximum rate previously approved in the manner required by law.
The Legislature shall define local transportation projects for
purposes of this  paragraph   subdivision 
. 
   (3) 
    (4)  A local government shall not expend any revenues
derived from a special tax approved by 55 percent of the voters under
paragraph (2) at any time prior to the completion of a statutorily
identified capital project funded, in whole or in part, by revenues
derived from another special tax of the same local government that
was approved by a two-thirds vote under paragraph (1).