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HomeMy WebLinkAboutMINUTES - 02091988 - 1.39 TO BOARD OF SUPERVISORS � r^ FROM: Phil Batchelor C=tra County Administrator CJlJslCl DATE. February 3 , 1966 CO 1* SUBJECT; � ��+ Legislation: Assembly Bi11 ' 2922 (McClintock) SPECIFIC REQUEST(S) OR RECOMMENDATION(S) & BACKGROUND AND JUSTIFICATION RECOMMENDATION• Adopt a position of support for AB 2922 by Assemblyman McClintock which provides an interim solution to the problems presented by the no- and low-property tax city provisions of SB 709. BACKGROUND: In an effort to provide at least an interim solution to the problems presented ; by the no- and low-property tax city provisions of SB 709 , Assemblyman McClintock has . introduced AB 2922 . This bill does the following: 1. For the 1988-89 ;and 1989-90 fiscal years the bill allows the County to reimburse itself from the fines and forfeitures which would otherwise be remitted to the State the amount of property tax which must be transferred to the no- and low-property tax cities. In other words, the county would subtract from the fines and forfeitures which it would have to transfer to the State the amount of property tax it is required to transfer to the no- and low-property tax . cities. 2 . Corrects what may well have been a drafting error in SB 709 . According to SB 7091 the cities do not receive any share of the annual increase in the property tax during the first ten years during which the no- and low-property tax city provisions are being implemented. AB 2922 provides that in addition to a share of the 1987-88 assessed value the city will receive a share. of the annual increase in the assessed value above the 1987-88 base. 3 . AB 2922 corrects another problem with SB 709 relating to the no-property tax cities receipt of a share of the motor vehicle in-lieu .fees. These fees have been provided to the no-property tax cities to compensate them for the loss of certain revenues, they had received prior to Proposition 13 . AB 2922 would reduce this amount by the amount of property tax transferred from the County to the city. According to the Legislative Analyst, there are 18 cities that will CONTINUED ON ATTACHMENT: YES SIGNATURE; RECOMMENDATION OF COUNTY ADMINISTRATOR -, RECOMMENDATION OF BOARD COMMITTEE APPROVE OTHER S I GNATURE(S j: ACTION OF BOARD ON February" 9. 1988 .-PROVED AS REC'WMENDED X OTHER I VOTE OF SUPERVISORS I HEREBY CERTIFY THAT THIS IS A TRUE UNANIMOUS (ABSENT I ) AND CORRECT COPY OF AN ACTION TAKEN AYES: NOES:" AND ENTERED ON THE MINUTES OF THE BOARD ABSENT; ABSTAIN: " OF SUPERVISORS ON THE DATE SHOWN. CCCounty raATTESTED Administrator FEB 9 1988 : I _ Auditor-Controller - - - -- County Counsel PHIL BATCHELOR, CLERK OF THE BOARD OF SUPERVISORS AND COUNTY ADMINISTRATOR CSAC Ralph Heim, Jackson/Barish Assemblyman McClintock __,DEPUTY M382/7-83 — t� 4 Page 2 3 . (continued) actually lose money in the first year or two under SB 709. This is because they lose all of their motor vehicle in-lieu revenue and may initially receive little or no property tax in return. AB 2922 guarantees that no city will actually lose revenue as a result of the passage of SB 109 . AB 2922 corrects some of the most glaring problems with SB 709, although the offset for property tax transfers to the cities from fines and forfeitures is only for two fiscal years. It is, however, a sincere effort to resolve the problems created by SB 709 and, as such, deserves the support of the Board of Supervisors with the clear understanding that this is not the ultimate, nor even necessarily the best, solution to the problem. It is, however, a good start and one which deserves the support of the County.