Press Alt + R to read the document text or Alt + P to download or print.
This document contains no pages.
HomeMy WebLinkAboutCM Supporting LegislationCITY 0
F�41t
Agenda Item No: 12
Meeting Date: November 16, 2009
SAN RAFAEL CITY COUNCIL AGENDA REPORT
Department: City Manager r
Prepared by: Terri Hardesty City Manager Approval:, J
SUBJECT: Resolution in Support of an Initiative to Protect Local Funding for Public
Safety, Emergency Response, Road Improvements and Public Transit
RECOMMENDATION:
Adopt Resolution in support of an initiative ballot measure called "the Local Taxpayer, Public Safety and
Transportation Act" filed by a coalition, including the League of California Cities, of local government,
transportation and public transit leaders.
BACKGROUND:
The initiative ballot measure was filed with the Attorney General's Office on October 20, 2009. The
measure would close loopholes and prevent the State from borrowing, raiding or otherwise redirecting
local government, transportation and public transit funds. Two similar versions of the measure have been
filed. If the group decides to proceed to qualify one of the two initiatives via signature -gathering, it would
appear on California's November 2010 Ballot.
Attachments
Short Version of the Initiative
Long Version of the Initiative
Resolution
FOR CITY CLERK ONLY
File No.:
Council Meeting:
Disposition: _
SECTION 1. Title.
This act shall be known and may be cited as the "local Taxpayer, Public Safety, and
Transportation Protection Ad of 2010."
SECTION 2. Findings and Declarations.
The people of the State of California find and declare that:
(a) In order to maintain local control over local taxpayer funds and protect vital services
like local fire protection and 9-1-1 emergency response, law enforcement, emergency room
care, public transit, and transportation improvements, California voters have repeatedly and
overwhelmingly voted to restrict state politicians in Sacramento from taking revenues
dedicated to funding local government services and dedicated to funding transportation
improvement projects and services.
(b) By taking these actions, voters have acknowledged the critical importance of
preventing State raids of revenues dedicated to funding vital local government services and
transportation improvement projects and services.
(c) Despite the fact that voters have repeatedly passed measures to prevent the State
from taking these revenues dedicated to funding local government services and transportation
improvement projects and services, state politicians in Sacramento have seized and borrowed
billions of dollars in local government and transportation funds.
(d) in recent years, state politicians in Sacramento have specifically:
(1) Borrowed billions of dollars in local property tax revenues that would otherwise be
used to fund local police, fire and paramedic response and other vital local services;
(2) Sought to take and borrow billions of dollars in gas tax revenues that voters have
dedicated to on-going transportation projects and tried to use them for non -transportation
purposes;
(3) Taken local community redevelopment funds on numerous occasions and used them
for unrelated purposes;
(4) Taken billions of dollars from local public transit like bus, shuttle, light-rail and
regional commuter rail, and used these funds for unrelated state purposes.
(e) The continued raiding and borrowing of revenues dedicated to funding local
government services and dedicated to funding transportation improvement projects and
services can cause severe consequences, such as layoffs of police, fire and paramedic first
responders, fire station closures, healthcare cutbacks, delays in road safety improvements,
public transit fare increases and cutbacks in public transit services.
(f) State politicians in Sacramento have continued to ignore the will of the voters, and
current law provides no penalties when state politicians take or borrow these dedicated funds.
(g) It is hereby resolved, that with approval of this ballot initiative, state politicians in
Sacramento shall be prohibited from seizing, diverting, shifting, borrowing, transferring,
suspending or otherwise taking or interfering with tax revenues dedicated to funding local
government services or dedicated to transportation improvement projects and services.
SECTION 3. Statement of Purpose.
The purpose of this measure is to conclusively and completely prohibit state politicians
in Sacramento from seizing, diverting, shifting, borrowing, transferring, suspending, or
otherwise taking or interfering with revenues that are dedicated to funding services provided
by local government or funds dedicated to transportation improvement projects and services.
SECTION 4. Article XVII is added to the California Constitution, to read:
SECTION 1. The Legislature may not reallocate, transfer, borrow, appropriate, restrict
the use of, or otherwise use the proceeds of any tax imposed or levied by a local government
solely for the local governments purposes.
SEC. 2. On and after the effective date of the measure adding this article, and
notwithstanding subparagraphs (8) and (C) of paragraph (1) of subdivision (a) of Section 25.5 of
Article XIII of this Constitution or any other law, the Legislature may not suspend subparagraph
(A) of paragraph (1) of subdivision (a) of Section 25.5 of Article XIII. The Legislature may not
change the pro rata shares in which ad valorem property taxes are allocated among local
agencies to transfer property taxes to a local government when the Legislature or any state
agency mandates a new program or higher level of service on that local government.
SEC. 3. On and after the effective date of the measure adding this article, and
notwithstanding Section 15 of Article XI of this Constitution or any other law, the Legislature
may not change the allocation of revenues described in Section 15 of Article XI to reimburse a
city, county, or city and county when the Legislature or any state agency mandates a new
program or higher level of service on that city, county, or city and county.
SEC. 4. On and after the effective date of the measure adding this article, and
notwithstanding Article XIX of this Constitution or any other law:
(a) Revenues from taxes imposed by the State on motor vehicle fuels for use in motor
vehicles upon public streets and highways, over and above the costs of collection and any
refunds authorized by law, shall be deposited into the Highway Users Tax Account (Section
2100 of the Streets and Highways Code) or its successor, which is hereby declared to be a trust
fund, and shall be used solely for the purposes identified in subdivisions (a) and (b) of Section 1
of Article XIX.
(b) The Legislature may, by a two-thirds vote of the membership in each house, modify
the statutory allocations in effect on June 30, 2009 only in accordance with the procedures
specified in Section 3 of Article XIX. Any bill modifying the statutory allocations in effect on
June 30, 2009 must remain in its final form for at least 12 days prior to passage in either house
of the Legislature.
(c) Revenues from taxes described in subdivision (a) allocated to cities, counties, and
areas of the State may be used solely by the entity to which they are allocated, and solely for
the purposes described in Sections 1 and 4 of Article XIX; and Section 5 of Article XIX subject to
the requirements of subdivision (e). The Legislature may not take any action that permanently
or temporarily borrows, diverts, appropriates for unrelated purposes, or delays, defers,
suspends, or otherwise interrupts the payment, allocation, distribution, disbursal, or transfer of
revenues from taxes described in subdivision (a) to cities, counties, and areas of the State
pursuant to the procedures in effect on June 30, 2009.
(d) If the Legislature reduces or repeals the taxes described in subdivision (a) and
adopts an alternative source of revenue to replace the moneys derived from those taxes, the
replacement revenue shall be deposited and allocated in the same manner, and dedicated to
the same purposes, as the revenues being replaced.
(e)(1) Revenues allocated to any city or county pursuant to Section 3 of Article XIX for
the purposes specified In subdivision (a) of Section 1 of Article XIX shall not be used by the State
for any purpose, including, but not limited to, payment of principal and interest on voter -
approved bonds issued by the State. Up to 25 percent of the revenues allocated to any city or
county pursuant to Section 3 of Article XIX for the purposes specified in subdivision (a) of
Section 1 of Article XIX may be used by any city or county for the payment of principal and
interest on voter -approved bonds issued by that city or county for such purposes.
(2) Up to 25 percent of the revenues allocated to the State pursuant to Section 3 of
Article XIX for the purposes specified in subdivision (a) of Section 1 of Article XIX may be
pledged or used by the State, upon approval of the voters and appropriation by the Legislature,
for the payment of principal and interest on voter -approved bonds issued by the State for such
purposes on or after November 2, 2010.
SEC. 5. On and after the effective date of the measure addingthis article, and
notwithstanding Section 1 of Article XIX A of this Constitution or any other law:
(a) All of the following shall be deposited no less than quarterly into the Public
Transportation Account (Section 99310 of the Public Utilities Code), or its successor, which is
hereby declared to be a trust fund:
(1) All revenues specified in paragraphs (1) through (3), inclusive, of subdivision (a) of
Section 7102 of the Revenue and Taxation Code, as that section read on June 1, 2001.
(2) All moneys in the Transportation Investment Fund that are allocated for public
transit and mass transportation pursuant to paragraph (A) of subdivision (c) of Section 1 of
Article XIX B.
(b) Funds in the Public Transportation Account may only be used for transportation
planning and mass transportation purposes. The legislature may not take any action that
permanently or temporarily borrows, diverts, appropriates for unrelated purposes, or delays,
defers, suspends, or otherwise interrupts the quarterly deposit of the funds specified in
subdivision (a) into the Public Transportation Account. Funds in the Public Transportation
Account may not be loaned or otherwise transferred to the General Fund or any other fund or
account in the State Treasury.
(c) For the purposes of subparagraph (A) of paragraph (1) of subdivision (e),
"transportation planning" means only the purposes described in subdivisions (c) through (f),
inclusive, of Section 99315 of the Public Utilities Code, as that section read on July 30, 2009.
(d) For the purposes of this article and Article XIX 8, "mass transportation," 'public
transit," and "mass transit' have the same meaning as "public transportation." "Public
transportation" means:
(1)(A) Surface transportation service provided to the general public, complementary
paratransit service provided to persons with disabilities as required by 42 U.S.C. 12143, or
similar transportation provided to people with disabilities or the elderly; (B) operated by bus,
rail, ferry, or other conveyance on a fixed route, demand response, or otherwise regularly
available basis; (C) generally for which a fare is charged; and (D) provided by any transit district,
Included transit district, municipal operator, included municipal operator, eligible municipal
operator, or transit development board, as those terms were defined in Article 1 of Chapter 4
of Part it of Division 10 of the Public Utilities Code on January 1, 2009, a joint powers authority
formed to provide mass transportation services, an agency described in subdivision (f) of
Section 15975 of the Government Code, as that section read on January 1, 2009, any recipient
of funds under Sections 99260, 99260.7, 99275, or subdivision (c) of Section 99400 of the Public
Utilities Code, as those sections read on January 1, 2009, or a consolidated agency as defined in
Section 132353.1 of the Public Utilities Code, as that section read on January 1, 2009.
(2) Surface transportation service provided by the Department of Transportation
pursuant to subdivision (a) of Section 99315 of the Public Utilities Code, as that section read on
July 30, 2009.
(3) Public transit capital improvement projects, including those identified in subdivision
(b) of Section 99315 of the Public Utilities Code, as that section read on July 30, 2009.
(e)(1) Revenues deposited into the Public Transportation Account pursuant to paragraph
(1) of subdivision (a) are hereby continuously appropriated to the Controller without regard to
fiscal years for allocation as follows:
(A) Fifty percent pursuant to subdivisions (a) through (f), inclusive, of Section 99315 of
the Public Utilities Code, as that section read on July 30, 2009.
(B) Twenty-five percent pursuant to subdivision (b) of Section 99312 of the Public
Utilities Code, as that section read on July 30, 2009.
(C) Twenty-five percent pursuant to subdivision (c) of Section 99312 of the Public
Utilities Code, as that section read on July 30, 2009.
(2) Revenues deposited into the Public Transportation Account pursuant to paragraph
(2) of subdivision (a) are hereby continuously appropriated to the Controller without regard to
fiscal years for allocation as follows;
(A) Twenty-five percent pursuant to subdivision (b) of Section 99312 of the Public
Utilities Code, as that section read on July 30, 2009.
(B) Twenty-five percent pursuant to subdivision (c) of Section 99312 of the Public
Utilities Code, as that section read on July 30, 2009.
(C) Fifty percent for the purposes of subdivisions (a) and (b) of Section 99315 of the
Public Utilities Code, as that section read on July 30, 2009.
SEC. 6. On and after the effective date of the measure adding this article, and
notwithstanding any other provision of this Constitution or any other law, the percentage of
the tax imposed pursuant to Section 7202 of the Revenue and Taxation Code allocated to local
transportation funds shall not be reduced below the percentage that was transmitted to such
funds during the 2008 calendar year. Revenues allocated to local transportation funds shall be
transmitted in accordance with Section 7204 of the Revenue and Taxation Code and deposited
into local transportation funds in accordance with Section 29530 of the Government Code, as
those sections read on June 30, 2009.
SEC. 7. (a) On and after the effective date of the measure adding this article, and
notwithstanding subdivision (d) of Section 1 of Article XIX B of this Constitution or any other
law, all revenues that are collected during the fiscal year from taxes under the Sales and Use
Tax Law, or any successor to that law, upon the sale, storage, use, or other consumption In this
State of motor vehicle fuel, as defined in Section 7326 of the Revenue and Taxation Code on
June 30, 2009, shall be deposited quarterly into the Transportation Investment Fund
(subdivision (a) of Section 7104 of the Revenue and Taxation Code) or its successor, which is
hereby declared to be a trust fund. The Legislature may not take any action that permanently
or temporarily borrows, diverts, appropriates for unrelated purposes, or delays, defers,
suspends, or otherwise interrupts the quarterly deposit of these funds into the Transportation
Investment Fund. Funds in the Transportation Investment Fund may not be loaned or
otherwise transferred to the General Fund or any other fund or account in the State Treasury.
(b) (1) If the Legislature reduces or repeals the taxes described in subdivision (a) and
adopts an alternative source of revenue to replace the moneys derived from those taxes, the
replacement revenue shall be deposited and allocated in the same manner, and dedicated to
the same purposes, as the revenues being replaced.
(2) In addition to the requirements contained in subdivision (e) of Section 1 of Article XIX
B, any bill modifying the percentage shares set forth in subdivision (c) of Section 1 of Article XIX
B must remain in its final form for at least 12 days prior to passage in either house of the
Legislature.
SEC. 8. (a) The Legislature may not require a community redevelopment agency (1) to
pay, remit, loan or otherwise transfer, directly or indirectly, taxes on ad valorem real property
and tangible personal property allocated to the agency pursuant to Section 16 of Article XVI to
or for the benefit of the State, any agency of the State, or any jurisdiction; or (2) to use, restrict,
or assign a particular purpose for such taxes for the benefit of the State, any agency of the
State, or any jurisdiction, other than (A) for making payments to affected taxing agencies
pursuant to Sections 33607.5 and 33607.7 of Health and Safety Code or similar statutes
requiring such payments, as those statutes read on January 1, 2008; or (B) for the purpose of
increasing, improving, and preserving the supply of low and moderate income housing available
at affordable housing cost.
(b) "Jurisdiction" has the meaning specified in Section 95 of the Revenue and Taxation
Code, as that section read on July 1, 2009.
SEC. 9. (a) If any challenge to invalidate an action that violates Sections 4 through 8,
inclusive, of this article is successful either by way of a final judgment, settlement, or resolution
by administrative or legislative action, there is hereby continuously appropriated from the
General Fund to the Controller, without regard to fiscal years, that amount of revenue
necessary to restore the fund or account from which the revenues were unlawfully taken or
diverted to its financial status had the unlawful action not been taken.
(b) If any challenge to invalidate an action that violates Sections 1 through 3, inclusive,
of this article is successful either by way of a final judgment, settlement, or resolution by
administrative or legislative action, there is hereby continuously appropriated from the General
Fund to the local government an amount of revenue equal to the amount of revenue unlawfully
taken or diverted.
(c) Interest calculated at the Pooled Money Investment Fund rate from the date or dates
the revenues were unlawfully taken or diverted shall accrue to the amounts required to be
restored pursuant to this section. Within thirty days from the date a challenge is successful, the
Controller shall make the transfer required by the continuous appropriation and issue a notice
to the parties that the transfer has been completed.
(d) If in any challenge brought pursuant to this section a restraining order or preliminary
injunction is issued, the plaintiffs or petitioners shall not be required to post a bond obligating
the plaintiffs or petitioners to indemnify the government defendants or the State of California
for any damage the restraining order or preliminary injunction may cause.
SECTION 5.
Section 16 of Article XVI of the Constitution requires that a specified portion of the taxes
levied upon the taxable property in a redevelopment project each year be allocated to the
redevelopment agency to repay indebtedness incurred for the purpose of eliminating blight
within the redevelopment project area. Section 16 of Article XVI prohibits the Legislature from
reallocating some or all of that specified portion of the taxes to the State, an agency of the
State, or any other taxing jurisdiction, instead of to the redevelopment agency. The Legislature
has been illegally circumventing Section 16 of Article XVI in recent years by requiring
redevelopment agencies to transfer a portion of those taxes for purposes other than the
financing of redevelopment projects. A purpose of the amendments made bythis measure is to
prohibit the Legislature from requiring, after the taxes have been allocated to a redevelopment
agency, that the redevelopment agency transfer some or all of those taxes to the State, an
agency of the State, or a jurisdiction; or use some or all of those taxes for the benefit of the
State, an agency of the State, or a jurisdiction.
SECTION 6. Continuous Appropriations.
The continuous appropriations provided for in this Act are intended to be
"appropriations made by law" within the meaning of Section 7 of Article XVI of the California
Constitution.
SECTION 7. Liberal Construction.
The provisions of this Act shall be liberally construed in order to effectuate its purposes.
SECTION S. Conflicting Statutes.
Any statute enacted between October 21, 2009 and the effective date of this measure,
that would have been prohibited if this measure were in effect on the date the statute was
enacted, is hereby repealed.
SECTION 9. Conflicting Ballot Measures.
In the event that this measure and another measure or measures relating to the
direction or redirection of revenues dedicated to funding services provided by local
governments and/or transportation projects or services appear on the same statewide election
ballot, the provisions of the other measure or measures shall be deemed to be in conflict with
this measure. In the event that this measure shall receive a greater number of affirmative
votes, the provisions of this measure shall prevail in their entirety, and the provisions of the
other measure or measures shall be null and void.
SECTION 10. Severability.
It is the intent of the People that the provisions of this Act are severable and that if any
provision of this Act, or the application thereof to any person or circumstance, is held invalid
such invalidity shall not affect any other provision or application of this Act which can be given
effect without the invalid provision or application.
8
Y
.Os -0083
Amdt.ANS
Section One. Title.
This act shall be known and may be cited as the "Local Taxpayer, Public Safety, and
Transportation Protection Act of 2010."
Section Two. Findings and Declarations.
The people of the State of California find and declare that;
(a) In order to maintain local control over local taxpayer funds and protect vital services
like local fire protection and 94-1 emergency response, law enforcement, emergency room
care, public transit, and transportation improvements, California voters have repeatedly and
overwhelmingly voted to restrict state politicians in Sacramento from taking revenues
dedicated to funding local government services and dedicated to funding transportation
Improvement projects and services.
(b) By taking these actions, voters have acknowledged the critical importance of
preventing State raids of revenues dedicated to funding vital local government services and
transportation improvement projects and services.
(c) Despite the fact that voters have repeatedly passed measures to prevent the State
from taking these revenues dedicated to funding local government services and transportation
improvement projects and services, state politicians in, Sacramento have seized and borrowed
billions of dollars In local government and transportation funds.
(d) In recent years, state politicians in Sacramento have specifically;
(1) Borrowed billions of dollars in local property tax revenues that would otherwise be
used to fund local police, fire and paramedic response and other vital local services;
(2) Sought to take and borrow billions of dollars In gas tax revenues that voters have
dedicated to on-going transportation projects and tried to use them for non -transportation
purposes;
(3) Taken local community redevelopment funds on numerous occasions and used them
for unrelated purposes;
(4) Taken billions of dollars from local public transit like bus, shuttle, light-rail and
regional commuter rail, and used these funds for unrelated state purposes.
(e) The continued raiding and borrowing of revenues dedicated to funding local
government services and dedicated to funding transportation Improvement projects can cause
severe consequences, such as layoffs of police, fire and paramedic first responders, fire station
closures, healthcare cutbacks, delays in road safety improvements, public transit fare increases
and cutbacks in public transit services.
(f) State politicians in Sacramento have continued to ignore the will of the voters, and
current law provides no penalties when state politicians take or borrow these dedicated funds.
(g) It is hereby resolved, that with approval of this ballot initiative, state politicians in
Sacramento shall be prohibited from seizing, diverting, shifting, borrowing, transferring,
suspending or otherwise taking or interfering with tax revenues dedicated to funding local
government services or dedicated to transportation improvement projects and services.
Section Two and One -Half. Statement of Purpose.
The purpose of this measure is to conclusively and completely prohibit state politicians
in Sacramento from seizing, diverting, shifting, borrowing, transferring, suspending or
otherwise taking or Interfering with revenues that are dedicated to funding services provided
by local government or funds dedicated to transportation improvement projects and services.
Section Three. Section 24 of Article XIII of the California Constitution is hereby amended to
read as follows:
kLThe Legislature may not impose taxes for local purposes but may authorize local
governments to impose them.
(b) The Legislature may not reallocate transfer, borrow, appropriate restrict the use
of or otherwise use the proceeds of any tax imposed or levied by a local government solely for
the local government's Purposes.
(ccl Money appropriated from state funds to a local government for its local purposes
may be used as provided by law.
IM Money subvened to a local government under Section 25 may be used for state or
local purposes.
Section Four. Section 2S.S of Article XIII of the California Constitution is hereby amended to
read as follows:
SEC. 25.5. (a) On or after November 3, 2004, the Legislature shall not enact a statute to
do any of the following:
(1) (A) Except as otherwise provided in subparagraph (B), modify the manner in which
ad valorem property tax revenues are allocated in accordance with subdivision (a) of Section 1
of Article XIII Aso as to reduce for any fiscal year the percentage of the total amount of ad
valorem property tax revenues in a county that is allocated among all of the local agencies in
that county below the percentage of the total amount of those revenues that would be
allocated among those agencies for the same fiscal year under the statutes in effect on
November 3, 2004. For purposes of this subparagraph, "percentage" does not include any
property tax revenues referenced in paragraph (2).
(B) RegiAning with the 2008 09 In the 2009-10 fiscal year only, and except as otherwise
provided In subparagraph (G), subparagraph (A) may be suspended for a that fiscal year if all of
the following conditions are met:
(i) The Governor issues a proclamation that declares that, due to a severe state fiscal
hardship, the suspension of subparagraph (A) is necessary.
(11) The Legislature enacts an urgency statute, pursuant to a bill passed in each house of
the Legislature by rollcall vote entered in the journal, two-thirds of the membership concurring,
that contains a suspension of subparagraph (A) for that fiscal year and does not contain any
other provision.
(III) No later than the effective date of the statute described in clause (ii), a statute is
enacted that provides for the full repayment to local agencies of the total amount of revenue
losses, including interest as provided by law, resulting from the modification of ad valorem
property tax revenue allocations to local agencies. This full repayment shall be made not later
than the end of the third fiscal year immediately following the fiscal year to which the
modification applies.
3
the R.Pypnua and T;iifatlei; Gods, as that seGOOR Fead
OR Nevembei; il, 2OG4, has not been paid
3
4iµ),(1 A suspension of subparagraph (A) shall not result in a total ad valorem property
tax revenue loss to all local agencies within a county that exceeds 8 percent of the total amount
of ad valorem property tax revenues that were allocated among all local agencies within that
county for the fiscal year immediately preceding the fiscal year for which subparagraph (A) is
suspended.
(2)(A) Except as otherwise provided in subparagraphs (B) and (C), restrict the authority
of a city, county, or city and county to impose a tax rate under, or change the method of
distributing revenues derived under, the Bradley -Burns Uniform Local Sales and Use Tax Law set
forth in Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation
Code, as that law read on November 3, 2004. The restriction imposed by this subparagraph also
applies to the entitlement of a city, county, or city and county to the change in tax rate
resulting from the end of the revenue exchange period, as defined in Section 7203.1 of the
Revenue and Taxation Code as that section read on November 3, 2004.
(B) The Legislature may change by statute the method of distributing the revenues
derived under a use tax imposed pursuant to the Bradley -Burns Uniform Local Sales and Use
Tax Law to allow the State to participate in an Interstate compact or to comply with federal law.
(C) The Legislature may authorize by statute two or more specifically identified local
agencies within a county, with the approval of the governing body of each of those agencies, to
enter into a contract to exchange allocations of ad valorem property tax revenues for revenues
derived from a tax rate Imposed under the Bradley -Bums Uniform Local Sales and Use Tax Law.
The exchange underthis subparagraph of revenues derived from a tax rate imposed underthat
law shall not require voter approval for the continued imposition of any portion of an existing
tax rate from which those revenues are derived.
(3) Except as otherwise provided in subparagraph (C) of paragraph (2), change for any
fiscal year the pro rata shares in which ad valorem property tax revenues are allocated among
local agencies in a county other than pursuant to a bill passed in each house of the Legislature
by roll call vote entered in the journal, two-thirds of the membership concurring. The
Legislature shall not change the aro rata shares of ad valorem Property tax pursuant to this
Paragraph. nor change the allocation of the revenues described In Section 15 of Article XI to
reimburse a local government when the Legislature or any state agency mandates a new
program or higher level of service on that local government.
(4) Extend beyond the revenue exchange period, as defined in Section 7203.1 of the
Revenue and Taxation Code as that section read on November 3, 2004, the suspension of the
authority, set forth in that section on that date, of a city, county, or city and county to impose a
sales and use tax rate under the Bradley -Burns Uniform Local Sales and Use Tax Law.
(5) Reduce, during any period in which the rate authority suspension described in
paragraph (4) is operative, the payments to a city, county, or city and county that are required
by Section 97.68 of the Revenue and Taxation Code, as that section read on November 3, 2004.
(6) Restrict the authority of a local entity to Impose a transactions and use tax rate in
accordance with the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of
Division 2 of the Revenue and Taxation Code), or change the method for distributing revenues
derived under a transaction and use tax rate imposed under that law, as it read on November 3,
2004.
(7) Require a community redevelopment agency IA) to Pay, remit, loan or otherwise
transfer directly or Indirectly, taxes on ad valorem real property and tangible personal orooertv
allocated to the aggncypursuant to Section 16 of Article XVI to or for the benefit of the State,
any agency of the State. or any iurisdiction: or (B) to use, restrict, or assign a particular purpose
for such taxes for the benefit of the State, any agency of the State, or any jurisdiction, other
than (i) for making oavments to affected taxing agencies Pursuant to Sections 33607,5 and
33607.7 of Health and Safety Code or similar statutes requiring such oavments, as those
statutes read on January 1.2008: or 00 for the purpose of increasing, improving. and Preservine
the supply of low and moderate income housing available at affordable housing cost.
(b) For purposes of this section, the following definitions apply:
(1) "Ad valorem property tax revenues" means all revenues derived from the tax
collected by a county under subdivision (a) of Section 1 of Article XIII A, regardless of any of this
revenue being otherwise classified by statute.
(2) "Local agency' has the same meaning as specified in Section 95 of the Revenue and
Taxation Code as that section read on November 3, 2004.
(3) "Jurisdiction" has the same meaning as specified In Section 95 of the Revenue and
Taxation Code as that section read on November 3. 2004,
Section Five. Article XIX of the California Constitution Is hereby amended to read as follows:
SECTION 1. The Legislature shall not borrow revenue from the Highway Users Tax
Account or its successor and shall not use these revenues for ourooses, or in ways, other than
those specifically Permitted by this article.
SEC. 2. Revenues from taxes imposed by the State on motor vehicle fuels for use in
motor vehicles upon public streets and highways, over and above the costs of collection and
any refunds authorized by law, shall be deposited into the Highway Users Tax Account (Section
2100 of the Streets and Highways Code)or its successor, which is hereby declared to be a trust
�i
fund. and shall be allocated monthly in accordance with Section 4. and shall used solely for the
following purposes:
(a) The research, planning, construction, improvement, maintenance, and operation
of public streets and highways (and their related public facilities for nonmotorized traffic),
including the mitigation of their environmental effects, the payment for property taken or
damaged for such purposes, and the administrative costs necessarily incurred in the foregoing
purposes.
(b) The research, planning, construction, and improvement of exclusive public mass
transit guideways (and their related fixed facilities), including the mitigation of their
environmental effects, the payment for property taken or damaged for such purposes, the
administrative costs necessarily incurred in the foregoing purposes, and the maintenance of the
structures and the immediate right-of-way for the public mass transit guideways, but excluding
the maintenance and operating costs for mass transit power systems and mass transit
passenger facilities, vehicles, equipment, and services.
S€6r2. SEC. 3. Revenues from fees and taxes imposed by the State upon vehicles or
their use or operation, over and above the costs of collection and any refunds authorized by
law, shall be used for the following purposes:
(a) The state administration and enforcement of laws regulating the use, operation, or
registration of vehicles used upon the public streets and highways of this State, including the
enforcement of traffic and vehicle laws by state agencies and the mitigation of the
environmental effects of motor vehicle operation due to air and sound emissions.
(b) The purposes specified in Section -12 of this article.
SEC, 3. SEC. 4. (a) Except as provided in subdivision (b),:theLegislature shallAreWde
statutory allesatien formulas in
effect on June 30, 2009 which allocate the revenues described in Section 2 to few cities,
counties, and areas of the State shall remain in effect.
(b) The Legislature shall not modify the statutory allocations in effect on June 30, 2009
unless and until both of the following have occurred:
L114 The Legislature determines in accordance with this subdivision that another basis
for an equitable, geographical, and Jurisdictional distribution ext
. Any future
statutory revisions shall (A) provide for the allocation of these revenues, together with other
similar revenues, in a manner which gives equal consideration to the transportation needs of all
areas of the State and all segments of the population; and B e consistent with the orderly
achievement of the adopted local, regional, and statewide goals for ground transportation in
local general plans, regional transportation plans, and the California Transportation Plana
(2) The process described_ in subdivision (c) has been completed.
(c)The Legislature shall not mod)fy the statutory allocation pursuant to subdivision (b)
until all of the following have occurred:
(1) The California Transportation Commission has held no less than four public
hearings in different parts of the State to receive public input about the local and regional goals
for around transportation in that part of the State;
(2) The California Transportation Commission has published a report describing the
input received at the public hearings and how the modification to the statutory allocation is
consistent with the orderly achievement of local, regional, and statewide goals for ground
transportation in local general plans, reaional transportation plans, and the California
Transportation Plan: and
(3) Ninety days have passed since the publication of the report by the California
Transportation Commission.
(d) A statute enacted by the Legislature modifying the statutory allocations must be by
a bill passed in each house of the Legislature by roll call vote entered in the iournai, two-thirds
of the membership concurring, provided that the bill does not contain any other unrelated
provision.
(e) The revenues allocated by statute to cities, counties, and areas of the State
pursuant to this article may be used solely by the entity to which they are allocated, and solely
for the purposes described in Sections 2, 5, or 6 of this article.
(f) The Legislature may not take any action which permanently or temporarily does
any of the following: (1) changes the status of the Niahwav Users Tax Account as a trust fund;
(2) borrows, diverts, or appropriates these revenues for purposes other than those described
in subdivision (e); or (3) delays, defers, suspends, or otherwise interrupts the payment,
allocation. distribution, disbursal, or transfer of revenues from taxes described in Section 2 to
cities, counties, and areas of the State pursuant to the procedures In effect on June 30, 2009.
SEG. 4. SEC, S. Revenues allocated pursuant to Section & 4 may not be expended for
the purposes specified in subdivision (b) of Section 4 2, except for research and planning, until
such use is approved by a majority of the votes cast on the proposition authorizing such use of
7
such revenues In an election held throughout the county or counties, or a specified area of a
county or counties, within which the revenues are to be expended. The Legislature may
authorize the revenues approved for allocation or expenditure under this section to be pledged
or used forthe payment of principal and interest on voter -approved bonds issued for the
purposes specified in subdivision (b) of Section.11.
SCS 6. SEC. 6. ll Uap to 25 percent of the revenues
available fGF expenditwm by MY Sky OF eGWR by-t4e Stater allocated to the State pursuant
to Section 4 for the purposes specified in subdivision (a) of Section .12 of this article may be
pledged or used by the State, upon approval by the voters and appropriation by the Legislature,
for the payment of principal and Interest on voter -approved bonds for such purposes issued by
the State on and after November 2. 2010 W Well purPeses.
(b) Up to 25 percent of the revenues allocated to any city or county pursuant to
Section 4 for the purposes specified in subdivision (a) of Section 2 of this article may be pledged
or used only by any city or county for the payment of principal and interest on voter -approved
bonds issued by that city or county for such ourposes.
(a) That any aFRount leaned is te be Fepald in full to the fund ff eFA whirph It A. as
be delayed unfil a date net Fnare thaR 20 days afleF the date of ennetment of the b udget bill fGF
the subsequent fiseal year-.
(b) That any amewnt loaned is to be Fepaid in full te the fi-md- &em which it was
(I) The GOWFSOF has ffec4almed a state of eFneFgeRey and declaFes that the
(2) The aggFegate aFneum of Ggnmral r' -Rd raven,
cies JOF the curfent fiscal yea F� as
the Gh3Rge In the sest of A -ARS and the rhange In pepula4len, as speeMed In the budget
8
SEC. 7. If the Legislature reduces or repeals the taxes described in Section 2 and
adopts an alternative source of revenue to replace the moneys derived from those taxes, the
replacement revenue shall be deposited into the Highway Users Tax Account, dedicated to the
purposes listed in Section 2. and allocated to cities, counties, and areas of the State pursuant to
Section 4. AA other provisions of this article shall applyto any revenues adopted_ythe
Legislature to replace the moneys derived from the taxes described In Section 2.
SEG. 7. SEC. 8. This article shall not affect or apply to fees or taxes Imposed pursuant
to the Sales and Use Tax Law or the Vehicle License Fee Law, and all amendments and additions
now or hereafter made to such statutes.
SEC. 9 SEC. 9. Notwithstanding Sections Sand 2 and 3 of this article, any real
property acquired by the expenditure of the designated tax revenues by an entity other than
the State for the purposes authorized in those sections, but no longer required for such
purposes, may be used for local public park and recreational purposes.
SEG -9. SEC.10. Notwithstanding any other provision of this Constitution, the
Legislature, by statute, with respect to surplus state property acquired by the expenditure of
tax revenues designated in Sections 4 and 2 and 3 and located in the coastal zone, may
authorize the transfer of such property, for a consideration at least equal to the acquisition cost
paid by the eState to acquire the property, to the Department of Parks and Recreation for state
park purposes, or to the Department of Fish and Game for the protection and preservation of
fish and wildlife habitat, or to the Wildlife Conservation Board for purposes of the Wildlife
Conservation Law of 1947, or to the State Coastal Conservancy for the preservation of
agricultural lands.
As used in this section, "coastal zone" means "coastal zone" as defined by Section
30103 of the Public Resources Code as such zone is described on January 1, 1977.
Section Six. Article XIX A of the California Constitution is hereby amended to read as follows:
SECTION 1. (all The Legislature shall not borrow revenues from the Public
Transportation Account, or any successor account, and shall not use these revenues for
Purposes, or in ways. other than those specifically permitted by this article.
M b� The fi-nds IA the Public Transportation Account In the State Transportation Fund,
or any successor account, is a trust fund. The Legislature may not change the status of the
Public Transportation Account as a trust fund. Funds in the Public Transportation Account may
not be loaned or otherwise transferred to the General Fund or any other fund or account in the
State Treasury. may be leaned to the GOROFal Rind only if one of the fallevving senditions is
imposed:
(c) All revenues specified in paragraphs (1) through (3), inclusive, of subdivision (a) of
Section 7102 of the Revenue and Taxation Code, as that section read on June 1.2001--hall bg
deposited no less than quarterly into the Public Transportation Account (Section 99310 of the
Public Utilities Code), or Its successor. The Legislature may not take any action which
temporarily or permanently diverts or appropriates these revenues for purposes other than
those described In subdivision (d), or delays, defers, suspends, or otherwise interrupts the
quarterly deposit of these funds into the Public Transportation Account.
(d) Funds in the Public Transportation Account may only be used for transportation
planning and mass transportati n purposes. The revenues described in subdivision (c) are
hereby continuously appropriated to the Controller without regard to fiscal years for allocation
as follows:
(1) Fifty percent pursuant to subdivisions (a) through (f), inclusive, of Section 99315 of
the Public Utilities Code, as that section read on July 30, 2009.
(2) Twenty-five percent pursuant to subdivision (b) of Section 99312 of the Public
UtllRies Code, as that section read on July 30, 2009,
(3) Twenty-five percent pursuant to subdivision (c) of Section 99312 of the Public
Utilities Code, as that section read on July 30, 2009.
yeaF IR whieh the leari was made, emeep4 ;hat mpaymem may be delayed UAVI a date no% M8F
then 30 days afteF the date of en.astment of ;he lowdest hill fQF As roubsequepA Aseal Vem,
ASS81 VOOF.
10
(e) For purposes of paragraph (1) of subdivision (d), "transportation Planning" means
onivthe purposes described in subdivisions (c) through M, inclusive, of Section 99315 of the
Public Utilities Code, as that section read on July 30, 2009.
(f) For purposes of this article. "mass transportation." "public transit." and "mass
transit" have the same meaning as 'Public transportation." "Pubiictransportation" means:
IVA) Surface transportation service provided to the general public, complementary
Paratransit service provided to persons with disabilities as required by 42 U.S.C. 12143, or
similar transportation provided to people with disabilities or the elderly: B) operated by bus,
rail, ferry, or other conveyance on a fixed route, demand response, or otherwise regularly
available basis, IC) generally for which a fare is charged: and iN provided by any transit district.
Included transit district, municipal operator, Included municipal operator, eligible municioal
operator, or transit development board, as those terms were defined in Article 1 of Chapter 4
of Part 11 of Division 10 of the Public Utilities Code on January 1, 2D09, a ioint powers authority
formed to provide mass transportation services, an agency described In subdivision (f) of
Section 15975 of the Government Code, as that section read on January 1. 2009, any recipient
of funds under Sections 99260, 99260.7.99275. or subdivision (c) of Section 99400 of the Public
Utilities Code, as those sections read on January 1, 2009, or a consolidated agency as defined in
Section 132353,1 of the Public Utilities Code, as that section read on January 1, 2009.
12) Surface transportation service provided by the Department of Transportation
Pursuant to subdivision (a) of Section 99315 of the Public Utilities Code, as that section read on
July 30, 2009,
(3) Public transit capital improvement projects, including those identified in subdivision
Ib) of Section 99315 of the Public Utilities Code. as that section read on July 30, 2009.
SEC. 2. (a) As used in this section, a "local transportation fund" is a fund created under
Section 29530 of the Government Code, or any successor to that statute.
(b) All local transportation funds are hereby designated trust funds. The Legislature
may not change the status of local transportation funds as trust funds.
(c) A local transportation fund that has been created pursuant to law may not be
abolished.
(d) Money in a local transportation fund shall be allocated only by the local
government that created the fund, and oniy for the purposes authorized under Article 11
(commencing with Section 29530) of Chapter 2 of Division 3 of Title 3 of the Government Code
and Chapter 4 (commencing with Section 99200) of Part 11 of Division 10 of the Public Utilities
Code, as those provisions existed on October 1, 1997. Neither the county nor the Legislature
11
may authorize the expenditure of money Ina local transportation fund for purposes other than
those specified in this subdivision.
(e) This section constitutes the sole method of allocating. distributing, and using the
revenues in a local transportation fund. The purposes described in subdivision (d) are the sole
Purposes for which the revenues in a local transportation fund may be used. The Legislature
may not enact a statute or take any other action which, permanently or temporarily, does any
of the following:
(2) Transfers, diverts, or appropriates the revenues in a local transportation fund for any
other purpose than those described in subdivision (d):
(,2) Authorizes the expenditures of the revenue in a local transportation fund for any
other purpose than those described In subdivision (d):
(3) Borrows or loans the revenues in a local transportation fund, regardless of whether
these revenues remain in the Retail Sales Tax Fund in the State Treasury or are transferred to
another fund or account.
(fl The percentage of the tax imposed pursuant to section 7202 of the Revenue and
Taxation Code allocated to local transportation funds shall not be reduced below the
percentage that was transmitted to such funds during the 2008 calendar year. Revenues
allocated to local transportation funds shall be transmitted in accordance with Section 7204 of
the Revenue and Taxation Code and deposited Into local transportation funds in accordance
with Section 29530 of the Government Code, as those sections read on June 30, 2009.
Section Seven. Article XIX 0 of the California Constitution is hereby amended to read as
follows:
SECTION 1. The Legislature shall not borrow revenues from the Transportation
investment Fund or its successor, and shall not use these revenues for purposes, or in ways,
other than those specifically permitted by this article.
SEC. 2. (a) For the 2003-04 fiscal year and each fiscal year thereafter, all weAeys
revenues that are collected during the fiscal year from taxes under the Sales and Use Tax Law
(Part 1(commencing with Section 6001) of Division 2 of the Revenue and Taxation Code), or
any successor to that law, upon the sate, storage, use, or other consumption in this State of
motor vehicle fuel as defined for purposes of the Motor Vehicle Fuel License Tax La Part 2
(commencing with Section 7301) of Division 2 of the Revenue and Taxation Code). and 081 aFe
shall be ..�,m, S
deposited into the Transportation Investment Fund or its successor, which is hereby created in
the State Treasury and which is hereby declared to be a trust fund. The Legislature may not
change the status of the Transoortation Investment Fund as a trust fund.
(b)(1) For the 2003-04 to 2007-08 fiscal years, inclusive, moneys in the Transportation
Investment Fund shall be allocated, upon appropriation bythe Legislature, in accordance with
Section 7104 of the Revenue and Taxation Code as that section read on March 6, 2002.
(2) For the 2008-09 fiscal year and each fiscal year thereafter, moneys in the
Transportation Investment Fund shall be allocated solely for the following purposes:
(A) Public transit and mass transportation. Moneys appropriated for Public transit and
mass transportation shall be allocated as follows: III Twenty-five percent Pursuant to
subdivision,. (b) of Section 99312 of the Public Utilities Code, as that section read on July 30,
2009: ill) Twenty-five Percent pursuant to subdivision (c) of Section 99312 of the Public Utiilties
Code, as that section read on July 30.2009: and (lii) Fifty percent for the purposes of
subdivisions (a) and (b) of Section 99315 of the Public Utilities Code, as that section read on Julv
30, 2009.
(B) Transportation capital improvement projects, subject to the laws governing the State
Transportation Improvement Program, or any successor to that program.
(C) Street and highway maintenance, rehabilitation, reconstruction, or storm damage
repair conducted by cities, including a city and county.
(D) Street and highway maintenance, rehabilitation, reconstruction, or storm damage
repair conducted by counties, including a city and county.
(c) Forthe 2008-o9 fiscal year and each fiscal year thereafter, moneys in the
Transportation Investment Fund are hereby continuously appropriated to the Controller
without regard to fiscal years, which shall be allocated ,
as follows:
(A) Twenty percent of the moneys for the purposes set forth in subparagraph (A) of
paragraph (2) of subdivision (b).
(B) Forty percent of the moneys for the purposes set forth in subparagraph (B) of
paragraph (2) of subdivision (b).
(C) Twenty percent of the moneys for the purposes set forth in subparagraph (C) of
paragraph (2) of subdivision (b).
(D) Twenty percent of the moneys for the purposes set forth in subparagraph (D) of
paragraph (2) of subdivision (b).
13
G -PROM -1 A. -Rd e4 the State tGOSTMRSIROARVOR 'WeSUASRt Fund puFsuamesubdivision (91
(B) 4he LeSISIAMFe enaets by statute, puFswan! to a Will passed In eash house Othe
FGSU't of the suspension, including WeFest as pFeAded by law. This NO FePaymeRt shall be
made ADS IMPIP thnR the OAd Ofth.0 WFFI fisral YeaF immediately following the fiscal yeaF 48
whish ttie suspeRsian applies,
SUbdiVisden
(_) Is ___P_..___.
(e)IM The Legislature may not enact a statute that modifies the percentage shares set
forth in subdivision (c)
until ali of the following have
occurred:
(1) The California Transportation Commission has held no less than four public hearings
in Oftrsnt parts of the State to receive public snout about the need for Public transit mass
transportation transportation capital improvement prolects and street and highway
maintenance
(2) The California Transportation Commission has Published a report describing the
Input received at the public hearings and how the modification to the statutory allocation is
14
consls-tenlwM the orderly achievement of local, regional and statewide goals for public transit,
mass transportation, transportation capital improvements, and street and highway
maintenance in a manner that is consistent with local general plans, regional transportation
Plans, and the California Transportation Plan;
(3) Ninety, days have Passed since the Publication of the report by the California
Transportation Commission.
(4) The statute enacted by the Legislature pursuant to this subdivision must be by a bill
passed in each house of the Legislature by roll call vote entered in the ioumal, two-thirds of the
membership concurring, provided that the bill does not contain any other unrelated provision
and that the revenues described In subdivision (a) are expended solely for the purposes set
forth in paragraph (2) of subdivision (b).
49 jg M An amount equivalent to the total amount of revenues that were not
transferred from the General Fund of the State to the Transportation Investment Fund, as of
July 1, 2007, because of a suspension of transfer of revenues pursuant to this section as it read
on January 1, 2006, but excluding the amount to be paid to the Transportation Deferred
Investment Fund pursuant to Section 63048.65 of the Government Code, shall be transferred
from the General Fund to the Transportation investment Fund no later than June 30, 2016.
Until this total amount has been transferred, the amount of transfer payments to be made in
each fiscal year shall not be less than one-tenth of the total amount required to be transferred
by June 30, 2016. The transferred revenues shall be allocated solely for the purposes set forth
in this section as If they had been received in the absence of a suspension of transfer of
revenues.
(2) The Legislature may provide by statute for the issuance of bonds by the state or local
agencies, as applicable, that are secured by the minimum transfer payments required by
paragraph (1). Proceeds from the sale of those bonds shall be allocated solely for the purposes
set forth in this section as if theywere revenues subject to allocation pursuant to paragraph (2)
of subdivision (b).
it) This section constitutes the sole method of allocating, distributing, and using the
revenues described in subdivision (a). The purposes described in paragraph (2) of subdivision
(b) are the sole Purposes for which the revenues described in subdivision (a) may be used. The
Legislature may not enact a statute or take anv other action which, permanently or temporarily,
does any of the followl
(1) Transfers, diverts, or appropriates the revenues described in subdivision (a) for any
other ourooses than those described in paragra h (2) of subdivision (b):
15
(2) Authorizes the expenditures of the revenues described In subdivision (a) for any
other purposes than those described in paragraph (2) of subdivision (b) or:
(3) Borrows or loans the revenues described In subdivision (a), regardless of whether
these revenues remain in the Transportation investment Fund or are transferred to another
fund or account such as the Public Transportation Account, a trust fund in the State
Transportation Fund.
Ig) For purposes of this article, "mass transportation." "oublictransit" and "mass
transit" have the same meanings as "Public transportation." "Public transportation" means:
(1)(A) Surface transportation service Provided, tQ the general public, complementary
paratransit service provided to persons with disabilities as required by 42 U.S.C. 12143, or
similar transportation provided to people with disabilities or the elderly: (B) operated by bus,
rail ferry, r other conveyance on a fixed route, demand response, or otherwise regularly
available basis: (C) generally for which a fare is charged: and (D) provided by any transit district,
included transit district, municipal operator, included municipal operator, eligible municipal
operator, or transit development board as those terms were defined in Article 1 of Chapter 4
of Part 11 of Division 10 of the Public Utilities Code on January 1, 2009, a joint Powers authority
formed to provide mass transportation services an agency described in subdivision (f) of
Section 15975 of the Government Code as that section read on January 1 2009 any recipient
of funds under Sections 99260 99260.7, 99275, or subdivision (c) of Section 99400 of the Public
Utilities Code as those sections read on January 1 2009 or a consolidated agency as defined in
Section 132353.1 of the Public Utliities Code. as that section read on January 1, 2009.
(2) Surface transportation service provided by the Department of Transportation
pursuant to subdivision (a) of Section 99315 of the Public Utilities Code, as that section read on
July 30, 2009.
(3) Public transit capital improvement proiects, including those identified in_subdivision
(b) of Section 99315 of the Public Utilities Code, as that section read on July 30, 2009.
IN If the Legislature reduces or repeals the taxes described in subdivision (a) and adopts
an alternative source of revenue to replace the moneys derived from those taxes, the
replacement revenue shall be deposited into the Transportation Investment Fund, dedicated to
the purposes Ilsted in paragraph (2) of subdivision (b) and allocated Pursuant to subdivision Ic).
All other provisions of this article shall apply to any revenues adopted by the Legislature to
replace the moneys derived from the taxes described in subdivision (a).
Section Eight. Article XIX C is hereby added to the Constitution to read as follows:
16
SECTION 1. If any challenge to invalidate an action that violates Articles XIX, XIX A, or
XIX B of the California Constitution is successful either by way of a final judgment, settlement,
or resolution by administrative or legislative action, there is hereby continuously appropriated
from the General Fund to the Controller, without regard to fiscal years, that amount of revenue
necessary to restore the fund or account from which the revenues were unlawfullytaken or
diverted to its financial status had the unlawful action not been taken.
SEC. 2. If any challenge to invalidate an action that violates Section 24 or Section 25.5 of
Article XIII of this Constitution is successful either by way of a final judgment, settlement, or
resolution by administrative or legislative action, there is hereby continuously appropriated
from the General Fund to the local government an amount of revenue equal to the amount of
revenue unlawfully taken or diverted.
SEC. 3. Interest calculated at the Pooled Money Investment Fund rate from the date or
dates the revenues were unlawfully taken or diverted shall accrue to the amounts required to
be restored pursuant to this section. Within thirty days from the date a challenge is successful,
the Controller shall make the transfer required by the continuous appropriation and Issue a
notice to the parties that the transfer has been completed.
SEC. 4. If in any challenge brought pursuant to this section a restraining order or
preliminary Injunction is Issued, the plaintiffs or petitioners shall not be required to post a bond
obligating the plaintiffs or petitioners to indemnlfy the government defendants or the State of
California for any damage the restraining order or preliminary injunction may cause.
Section Nine.
Section 16 of Article XVI of the Constitution requires that a specified portion of the
taxes levied upon the taxable property in a redevelopment project each year be allocated to
the redevelopment agency to repay indebtedness Incurred for the purpose of eliminating blight
within the redevelopment project area. Section 16 of Article XVI prohibits the Legislature from
reallocating some or that entire specified portion of the taxes to the State, an agency of the
State, or any other taxing jurisdiction, instead of to the redevelopment agency. The Legislature
has been illegally circumventing Section 16 of Article XVI in recent years by requiring
redevelopment agencies to transfer a portion of those taxes for purposes other than the
financing of redevelopment projects. A purpose of the amendments made by this measure is to
prohibit the legislature from requiring, after the taxes have been allocated to a redevelopment
agency, that the redevelopment agency transfer some or all of those taxes to the State, an
agency of the State, or a jurisdiction; or use some or all of those taxes for the benefit of the
State, an agency of the State, or a jurisdiction.
Section Ten. Continuous Appropriations.
17
The provisions of Sections 6, 7, and 8 of this Act that require a continuous appropriation
to the Controller without regard to fiscal year are intended to be "appropriations made by law"
within the meaning of Section 7 of Article XVI of the California Constitution.
Section Eleven. Liberal Construction.
The provisions of this Act shall be liberally construed In order to effectuate its purposes.
Section Twelve. Conflicting Statutes.
Any statute passed by the Legislature between October 21, 2009 and the effective date
of this measure, that would have been prohibited if this measure were in effect on the date it
was enacted, Is hereby repealed.
Section Thirteen, Conflicting Ballot Measures.
In the event that this measure and another measure or measures relating to the
direction or redirection of revenues dedicated to funding services provided by local
governments and/or transportation projects or services appear on the same statewide election
ballot, the provisions of the other measure or measures shall be deemed to be in conflict with
this measure. In the event that this measure shall receive a greater number of affirmative
votes, the provisions of this measure shall prevail in their entirety, and the provisions of the
other measure or measures shall be null and void.
Section Fourteen. Severability.
it is the intent of the People that the provisions of this Act are severable and that if any
provision of this Act or the application thereof to any person or circumstance, is held invalid,
such invalidity shall not affect any other provision or application of this Act which can be given
effect without the invalid provision or application.
18
RESOLUTION NO.
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL IN
SUPPORT OF AN INITIATIVE TO PROTECT LOCAL FUNDING FOR PUBLIC
SAFETY, EMERGENCY RESPONSE, ROAD IMPROVEMENTS AND PUBLIC
TRANSIT
WHEREAS, California voters have repeatedly and overwhelmingly passed separate
ballot measures to stop State raids of local government funds, and to dedicate the taxes on
gasoline to fund local and state transportation improvement projects; and
WHEREAS, these local government funds are critical to provide the police and fire,
emergency response, parks, libraries, and other vital local services that residents rely upon
every day, and gas tax funds are vital to maintain and improve local streets and roads, to
make road safety improvements, relieve traffic congestion, and provide mass transit; and
WHEREAS, despite the fact that voters have repeatedly passed measures to prevent the
State from taking these revenues dedicated to funding local government services and
transportation improvement projects, the State Legislature has seized and borrowed
billions of dollars in local government and transportation funds in the past few years; and
WHEREAS, this year's borrowing and raids of local government, redevelopment and
transit funds, as well as previous, ongoing raids of local government and transportation
funds have lead to severe consequences, such as layoffs of police, fire and paramedic first
responders, fire station closures, stalled economic development, healthcare cutbacks,
delays in road safety improvements, public transit fare increases and cutbacks in public
transit services; and
WHEREAS, State politicians in Sacramento have continued to ignore the will of the
voters, and current law provides no penalties when state politicians take or borrow these
locally -dedicated funds; and
WHEREAS, a coalition of local government, transportation and transit advocates
recently filed an initiative petition for a constitutional amendment with the California
Attorney General, called the "Local Taxpayer, Public Safety, and Transportation
Protection Act" for potential placement on California's November 2010 statewide ballot;
and
WHEREAS, approval of this ballot initiative would close loopholes and change the
constitution to further prevent State politicians in Sacramento from seizing, diverting,
shifting, borrowing, transferring, suspending or otherwise taking or interfering with tax
revenues dedicated to funding local government services, including redevelopment, or
dedicated to transportation improvement projects and mass transit.
NOW, THEREFORE, BE IT RESOLVED that the City of San Rafael formally
endorses the initiative "Local Taxpayer, Public Safety and Transportation Protection
Act," a proposed constitutional amendment.
BE IT FURTHER RESOLVED that we hereby authorize the listing of San Rafael in
support of the Local Taxpayer, Public Safety and Transportation Protection Act of 2010
and instruct staff to fax a copy of this resolution to campaign offices at 916.442.3510.
I, Esther Beirne, Clerk of the City of San Rafael, hereby certify that the
foregoing resolution was duly and regularly introduced and adopted at a regular meeting
of the San Rafael City Council held on the 16th day of November 2009, by the following
vote, to wit:
AYES: COUNCILMEMBERS:
NOES: COUNCILMEMBERS:
G1 1,31.1 a04 4011J`CMMMALMIMI
ESTHER BEIRNE, City Clerk