Government Finance and Operations
Funding Augmentation for Broadband Consortia
Assembly Utilities and Commerce – April 20, 2015
AB 1262 (Wood) – Support
This bill would transfer $5 million dollars to the Rural and Urban Regional Broadband Consortia Grant Account from the Broadband Infrastructure Revolving Loan Account. This additional funding will help ensure the consortia may continue their work in collaboration with service providers and community stakeholders. CSAC strongly supports policy that seeks to enhance digital inclusion and overcome the digital divide that still persists in our state.
Revenue and Taxation
VLF Restoration for Newest Cities
Senate Appropriations Committee – April 20, 2015
SB 25 (Roth) – Support
This bill would provide a “Vehicle License Fee (VLF) Adjustment Amount” for newly incorporated cities, including those that were impacted by Senate Bill 89 (2011) formulas and loss of VLF revenues. SB 25 would resume receipt of revenues anticipated prior to the cities’ incorporations or annexations with property taxes from the schools’ share (as currently exists for all other cities and counties in the state) to ensure continued viability for four cities in Riverside County.
Home Appliance Sales and Use Tax Exemption
Assembly Revenue and Taxation Committee – April 20, 2015
AB 88 (Gomez) – Oppose Unless Amended
This bill creates a state and local sales and use tax exemption for certain home appliances that are given away to consumers by utility companies as part of a state or federal energy program. CSAC is requesting the local sales and use tax exemption be removed and allow critical dollars to continue to flow to services. While statewide the loss to counties could be considered modest, it carries forward the precedent of using local sales tax to fund state programs. This is one of nearly a dozen measures seeking to incentive programs or provide consumer relief through local tax exemptions.
Aircraft Property Taxation Change
April Senate Governance and Finance Committee – April 22, 2015
SB 661 (Hill) - Oppose
SB 661 would reverse long-standing practices of assessing property tax on commercial air-carrier property by county assessors and move the jurisdiction under the State Board of Equalization. County assessors have faithfully carried out this assessment and have developed expertise in a difficult and complex area. Finally, BOE assessments may result in lower collections, placing funding for county services and programs at risk. Conversely, CSAC supports Assembly Bill 1157 (Nazarian) that extends the sunset on the current commercial air-craft carrier property assessment process.
Guidance for City Dissolution
Assembly Local Government Committee – April 22, 2015
AB 851 (Mayes) – Support in Concept
CSAC and local government associations are collaborating on AB 851 to provide orderly guidance for cities facing disincorporation. This measure addresses a number of critical issues to ensure appropriate transfer of responsibility for potentially significant financial liabilities, unplanned service demands, and legal challenges that may ensue when a city petitions for disincorporation. CSAC anticipates supporting AB 851 following the adoption of additional amendments to help those cities in this regrettable situation.