HomeMy WebLinkAboutMINUTES - 08131985 - 1.25 TO: BOARD OF SUPERVISORS Contra
FROM: Phil Batchelor, County Administrator Costa
DATE: Courly
August 6, 1985
SUBJECT: Legislation: A8 1475
SPECIFIC REQUEST(S) OR RECOMMENDATION(S) & BACKGROUND AND JUSTIFICATION
RECOMMENDATION:
Adopt a position of opposition to AB 1475 by Assemblyman Hill
which would exempt from---property taxation the possessory
interests of cable TV companies.
BACKGROUND:
On June 18 , 1985, the Board of Supervisors referred to our
office AB 1475 (Hill.) which Supervisor Torlakson had urged the
Board of Supervisors to oppose.
Under current law, government owned land is exempt from
property taxation. However, when a government agency enters
into a lease or otherwise grants a private person or company
the right to use that government land, the private individual
or company acquires a valuable interest. The law allows the
Assessor to determine the value of that "possessory interest"
and tax it. In the case of cable TV companies, they have an
extensive possessory interest because they use public streets
and rights-of-way to lay their cables. The value of this
possessory interest is presently subject to property tax.
AB 1475 would exempt this possessory interest from property
taxes. The County Assessor, Carl Rush, has already written to
this County' s legislative delegation expressing his opinion
that legislation, such as AB 1475 , is "special interest"
legislation. Passage of AB 1475 would provide a "gift" to all
cable TV companies in the State at a time when the County' s
right to regulate them is being preempted at the State and
Federal level. While the Assessor has not calculated the loss
of property tax revenue from AB 1475 , it seems clear that it
would further erode the property tax base of all local
jurisdictions.
AB 1475 passed the Assembly Revenue and Taxation Committee May
20 by a vote of 12: 0 . The bill passed the Assembly Ways and
Means Committee June 19 by a vote of 21 : 2 . Assemblymen Baker
and Campbell voted "aye" . Assemblyman Isenberg voted "no" .
CONTINUED ON ATTACHMENT.,-YES SIGNATURE:
--L RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD.COMMITTEE
X-APPROVE OTHER
SIGNATURE(S) &4
ACTION OF BOARD ON August 13, 1985 APPROVED AS RECOMMENDED OTHER
VOTE OF SUPERVISORS
UNANIMOUS (ABSENT I HEREBY CERTIFY THAT THIS IS A TRUE
AYES: NOES: AND CORRECT COPY OF AN ACTION TAKEN
ASSENT: ABSTAIN: AND ENTERED ON THE MINUTES OF THE BOARD
County Administrator OF SUPERVISORS,,PN THE DATE SHOWN.
Assessor dv_A� 13 9?415
CC: ATTESTED
CSAC Director _7
Assemblyman Hill PHIL BA LOR, CLERK OF THE BOARD OF
Senator Dan Boatwright, Chairman SUPERVISORS AND COUNTY ADMINISTRATOR
Revenue & Taxation Committee
M382/7-83 BY DEPUTY
Page 2
The bill passed the Assembly floor by a vote of 73 : 2 on June
25 , with Assemblymen Baker, Bates and Campbell voting "aye" and
Assemblyman Isenberg voting "no" .
AB 1475 is now in the Senate Revenue and Taxation Committee,
chaired by Senator Boatwright, where it might be heard as early
as August 21 .
It is important that the Board of Supervisors go on record in
opposition to AB 1475 and advise Senator Boatwright of the
Board' s opposition before the bill is heard in the Senate
Revenue and Taxation Committee.
AB 1475 also contains an SB 90 disclaimer and states that "the
State shall not reimburse any local agency for any property tax
revenue lost by it pursuant to this act" .
The Assessor opposes AB 1475 and this office concurs in this
position.