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Home My WebLink AboutMINUTES - 05222001 - SD.2 • O:! BOARD OF SUPERVISORS •� FROM: SUPERVISOR GAYLE B. UILKEMAdy Contra Costa DATE: May 22, 2001 `. ------- County SUBJECT: ACA 10 Assembly Constitutional Amendment regarding Property Tax SPECIFIC REQUEST(S) OR RECOMMENDATION(S) & BACKGROUND AND JUSTIFICATION RECOMMENDATION: Consider adopting a position of support for ACA 10—Property Tax by Assembly Member Cogdill which provides a phased-in cap on the amount of Property Tax revenues shifted annually to the Educational Revenue Augmentation Fund by local governments. This is an amendment to the Constitution of the State, relating to local government finance. BACKGROUND: See attached bill. CONTINUED ON ATTACHMENT: YES SIGNATURE: RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE APPROVE OTHER r SIGNATURE: GAYLE B.UILKEMA ACTION OF BOARD ON May 2 .2001 "APPROVED AS RECOMMENDED OTHER XX Following the Board's discussion, the Board APPROVED.Staffs recommendation as stated above; and DETERMINED that the Board send letters of support, through the County Administrator's Office, to the sponsor,.co-authors of the amendment, and legislative delegation. VOTE OF SUPERVISORS I HEREBY CERTIFY THAT THIS IS A TRUE .XX UNANIMOUS (ABSENT --------- " ) 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. ATTESTED May 22, 2001 JOHN SWEETEN, Clerk of the Board of Supervisors and County Administrator BY ,DEPUTY Contact'Person: CC: County Administrator Supervisor District 2 Commission Appointee ACA 10 Assembly Constitutional Amendment-AMENDED http://www.leginfo.ca.gov/pub/bill/asm/...0/aca_10_bill_20010515_amended_asm.html TILL NUMBER: ACA 10 AMENDED BILL TEXT AMENDED IN ASSEMBLY MAY 15, 2001 INTRODUCED BY Assembly Member Cogdill (Coauthors: Assembly Members Correa, Daucher, Diaz, Harman, LaSuer, Lowenthal, NegreteMcLeod, Salinas, and Wiggins) MARCH 29, 2001 Assembly Constitutional Amendment No. 10--A resolution to propose to the people of the State of California an amendment to the Constitution of the State, by adding Section 1.5 to Article XIIIA thereof, relating to local government finance. LEGISLATIVE COUNSEL'S DIGEST ACA 10, as amended, Cogdill. Local government finance: property tax revenue allocation: local agency relief. Existing provisions of the California Constitution require that the revenues derived from the general ad valorem property tax be allocated to local jurisdictions in each county in accordance with law. Existing statutory law implementing these provisions requires each county auditor, in each fiscal year, to allocate property tax revenues to local jurisdictions in accordance with specified formulas and procedures, and generally requires that each jurisdiction be allocated an amount equal to the total of the amount of revenue allocated to that jurisdiction in the prior fiscal year, subject to certain modifications, and that jurisdiction's portion of the annual tax increment, as defined. Existing statutory law reduces the amounts of ad valorem property revenue that would otherwise be annually allocated to the county, cities, and special districts pursuant to these general allocation provisions by requiring, for purposes of determining property tax revenue allocations in each county for the 1992-93 and 1993-94 fiscal years, that the amounts of property tax revenue deemed allocated in the prior fiscal year to the county, cities, and special districts be reduced in accordance with certain formulas. Existing law annually requires that the revenues not allocated to the county, cities, and special districts as a result of these reductions be transferred to the Educational Revenue Augmentation Fund in that county for allocation to school .districts, community college districts, and the county office of education. This measure would modify these reduction and transfer requirements, for the 2002-03 fiscal year and each fiscal year thereafter, by prohibiting the total amount allocated to a county's Educational Revenue Augmentation Fund from exceeding the applicable percentage, set forth in a specified schedule, of the total amount allocated to that fund for the 2000-01 fiscal year. This measure would further require that the revenues not allocated to the county's Educational Revenue Augmentation Fund as a result of these limits be instead allocated among the local agencies in the county, as provided, and that the decrease in allocations to a county's Educational Revenue Augmentation Fund resulting from those limitations be first applied to reduce allocations from that fund to school districts and the county office of education. This measure would also specify that the amount of moneys required by the California Constitution to be applied by the state for the support of school districts and community college districts be determined in that amount that would be determined pursuant to that provision in the absence of this measure. Vote: 2/3. Appropriation: no. Fiscal committee: yes. State-mandated local program: no. Resolved by the Assembly, the Senate concurring, That the \) Legislature of the State of California at its 2001-02 Regular Session ACA 10 Assembly Constitutional Amendment-AM ENDED http://www.leginfo.ca.gov/pub/bill/asm/...0/aca_10_bill_20010515_amended_asm.html =Fiscal Year Percentage (°s) 2002-03 80 2003-04 70 2004-05 60 2005-06 50 2006-07 40 2007-08 30 2008-09 20 2009-10 10 2010-11 and each fiscal year thereafter 0 (b) In the 2002-03 fiscal year and each fiscal year thereafter, both of the following requirements apply: (1) Any amount of ad valorem property tax revenue that is not allocated to a county's Educational Revenue Augmentation Fund as a result of the limit established in subdivision (a) shall instead be allocated among the local agencies in the county in accordance with each local agency's percentage share of the total amount of ad valorem property tax revenues that would be required to be allocated to the county's Educational Revenue Augmentation Fund, or the successor to that fund, in the absence of this section. (2) Any reduction resulting from subdivision (a) in the amount of ad valorem property tax revenue allocated to a county's Educational Revenue Augmentation Fund, or the successor to that fund, shall be first applied to reduce allocations made from that fund to school districts and the county office of education, and may be applied to reduce the allocations.made from that fund to community college districts only after the allocations made from that fund to school districts and the county office of education have been reduced to zero. (c) The amount of moneys that is required by Section 8 of Article XVI to be applied by the State for the support of school districts and community college districts shall be determined in accordance with Section 8 of Article XVI in that amount that would be so determined in the absence of this section.