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10B Action 2018 1119
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10B Action 2018 1119
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11/14/2018 9:47:03 AM
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CM City Clerk-City Council
CM City Clerk-City Council - Document Type
Agenda
Document Date (6)
11/19/2018
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File Number: 18-572 <br /> <br />November 5, 2019 - Election <br />August 9, 2019 - Deadline to file Resolution <br />August 14, 2019 - Deadline to file Arguments In Favor/Against <br />August 19, 2019 - Deadline to file Rebuttals to Arguments In Favor/Against <br /> <br />Possible Mailed Ballot Election Dates: <br />May 7, 2019 - Mail Ballot Election <br />February 8, 2019 - Deadline to file Resolution <br />February 13, 2019 - Deadline to file Arguments In Favor/Against <br />February 18, 2019 - Deadline to file Rebuttals to Arguments In Favor/Against <br /> <br />August 27, 2019 - Mail Ballot Election <br />May 31, 2019 - Deadline to file Resolution <br />June 5, 2019 - Deadline to file Arguments In Favor/Against <br />June 10, 2019 - Deadline to file Rebuttals to Arguments In Favor/Against <br />Overview of Potential Public Safety Parcel Tax & Steps Involved in Placing it on a Future <br />Ballot <br />Under the California Constitution, any proposed parcel tax requires a two-thirds (2/3) affirmative <br />vote of the electorate to pass, which is a significant threshold that requires public support across <br />a broad cross-section of local voters. Parcel taxes are not ad valorem (value-based) property <br />taxes, but rather, are an excise tax levied on the availability and use of a particular public service. <br />Therefore, a property's value may not be a factor in determining the amount of tax that the <br />property owner will pay. Furthermore, the revenues raised by the tax would need to be dedicated <br />towards a specific purpose, such as public safety services and capital, and tracked in a <br />designated account that is separate and discrete from General Fund revenues. <br />Parcel taxes may also be structured such that the City has the option to concurrently adopt <br />general administrative guidelines that would allow for potential discounts for certain at-risk <br />populations such as residential properties owned by lower-income seniors, or the disabled. In <br />addition, state law allows for modified rates for certain parcels based on their anticipated use of <br />the particular public services that would be funded by the tax. Therefore, the tax rate could vary <br />based on parcel size, or the specific use of the parcel. For example, different rates could be <br />applied to commercial properties, mixed-use properties, or vacant land. Parcel taxes typically <br />include a sunset date, which would stipulate an end date for the tax levy that could only be <br />extended through a subsequent vote by the electorate. Therefore, before placing such a measure <br />on the ballot, it would be important for the City to fully evaluate a wide range of potential tax <br />structures, rates, sunset provisions, and the associated revenues derived from each option so <br />that the City Council could make an informed decision about whether and how to structure a <br />measure. <br />Potential On-Going Revenue from a Public Safety Parcel Tax: <br />Based on an analysis of readily accessible parcel tax data, staff estimates that a potential parcel <br />tax could be structured to generate between $3 million to $6 million annually. This very preliminary <br />Page 4 City of San Leandro Printed on 11/13/2018
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