Bill Text: CA SCA7 | 2013-2014 | Regular Session | Amended
Bill Title: Local government financing: public libraries: voter approval.
Spectrum: Partisan Bill (Democrat 3-0)
Status: (Introduced - Dead) 2013-06-27 - Re-referred to Com. on APPR. [SCA7 Detail]
Download: California-2013-SCA7-Amended.html
BILL NUMBER: SCA 7 AMENDED
BILL TEXT
AMENDED IN SENATE FEBRUARY 26, 2013
INTRODUCED BY Senator Wolk
(Coauthor: Senator Leno)
(Coauthor: Assembly Member Williams)
DECEMBER 3, 2012
A resolution to propose to the people of the State of California
an amendment to the Constitution of the State, by amending
Section Sections 1 and 4 of, and by adding
Section 4.5 to, Article XIII A thereof, by amending Section 2 of
Article XIII C thereof, by amending Section 3 of Article XIII D
thereof, and by amending Section 18 of Article XVI thereof, relating
to public libraries.
LEGISLATIVE COUNSEL'S DIGEST
SCA 7, as amended, Wolk. Local government financing: public
libraries: voter approval.
(1) The California Constitution prohibits the ad valorem tax rate
on real property from exceeding 1% of the full cash value of the
property, subject to certain exceptions.
This measure would create an additional exception to the 1% limit
for a rate imposed by a city, county, city and county, or special
district to service bonded indebtedness incurred to fund public
library facilities, that is approved by 55% of the voters of the
city, county, city and county, or special district, as
applicable. applicable, if the proposition meets
specified requirements.
(2) The California Constitution conditions the imposition of a
special tax by a city, county, or special district upon the approval
of 2/3 of the voters of the city, county, or special district voting
on that tax, and prohibits these entities from imposing an ad valorem
tax on real property or a transactions or sales tax on the sale of
real property.
This measure would authorize the imposition, extension, or
increase of a special tax by a city, county, city and county, or
special district for the purpose of funding public libraries, upon
the approval of 55% of its voters voting on the proposition,
and if the proposition meets specified requirements.
This measure would also make conforming changes to related
provisions.
(3) The California Constitution prohibits specified local
government agencies from incurring any indebtedness exceeding in any
year the income and revenue provided in that year, without the assent
of 2/3 of the voters and subject to other conditions. In the case of
a school district, community college district, or county office of
education, the California Constitution permits a proposition for the
incurrence of indebtedness in the form of general obligation bonds
for the construction, reconstruction, rehabilitation, or replacement
of school facilities, including the furnishing and equipping of
school facilities, or the acquisition or lease of real property for
school facilities, to be adopted upon the approval of 55% of the
voters of the district or county, as appropriate, voting on the
proposition at an election.
This measure would similarly lower to 55% the voter-approval
threshold for a city, county, or city and county to incur bonded
indebtedness, exceeding in any year the income and revenue provided
in that year, that is in the form of general obligation bonds issued
to fund public libraries.
Vote: 2/3. Appropriation: no. Fiscal committee: no. State-mandated
local program: no.
Resolved by the Senate, the Assembly concurring, That the
Legislature of the State of California at its 2013-14 Regular Session
commencing on the third day of December 2012, two-thirds of the
membership of each house concurring, hereby proposes to the people of
the State of California, that the Constitution of the State be
amended as follows:
First-- That Section 1 of Article XIII A thereof is amended to
read:
SECTION 1. (a) The maximum amount of any ad valorem tax on
real property shall not exceed 1 percent of the full cash value of
that property. The 1 percent tax shall be collected by the counties
and apportioned according to law to the districts within the
counties.
(b) The limitation provided for in subdivision (a) shall not apply
to ad valorem taxes or special assessments to pay the interest and
redemption charges on any of the following:
(1) Indebtedness approved by the voters prior to July 1, 1978.
(2) Bonded indebtedness for the acquisition or improvement of real
property approved on or after July 1, 1978, by two-thirds of the
votes cast by the voters voting on the proposition.
(3) Bonded indebtedness incurred by a school district, community
college district, or county office of education to fund the
construction, reconstruction, rehabilitation, or replacement of
school facilities, including the furnishing and equipping of school
facilities, or the acquisition or lease of real property for school
facilities, approved by 55 percent of the voters of the district or
county, as appropriate, voting on the proposition on or after
November 8, 2000. This paragraph shall apply only if the proposition
approved by the voters and resulting in the bonded indebtedness
includes all of the following accountability requirements:
(A) A requirement that the proceeds from the sale of the bonds be
used only for the purposes specified in this paragraph and not for
any other purpose, including teacher and administrator salaries and
other school operating expenses.
(B) A list of the specific school facilities projects to be funded
and certification that the school district board, community college
board, or county office of education has evaluated safety, class size
reduction, and information technology needs in developing that list.
(C) A requirement that the school district board, community
college board, or county office of education conduct an annual,
independent performance audit to ensure that the funds have been
expended only on the specific projects listed.
(D) A requirement that the school district board, community
college board, or county office of education conduct an annual,
independent financial audit of the proceeds from the sale of the
bonds until all of those proceeds have been expended for the school
facilities projects.
(4) (A) Bonded indebtedness, approved by 55
percent of the voters of a city, county, city and county, or special
district, as applicable, voting on the proposition on or after the
effective date of the measure adding this paragraph, incurred by the
city, county, city and county, or special district to fund the
construction, reconstruction, rehabilitation, or replacement of
public library facilities, including the furnishing and equipping of
public library facilities, or the acquisition or lease of real
property for public library facilities. This paragraph shall
apply only if the proposition approved by the voters includes all of
the following accountability requirements:
(i) A requirement that the proceeds from the sale of the bonds be
used only for the purposes specified in this paragraph and not for
any other purpose, including personnel and operating expenses of the
public library.
(ii) A list of the specific public library facilities projects to
be funded and certification that the city, county, city and county,
or special district has evaluated the degree to which existing public
library facilities are inadequate in meeting the needs of, and the
degree to which the proposed public library facilities projects
respond to the needs of, the residents in the library service area,
in the development of that list.
(iii) A requirement that the city, county, city and county, or
special district conduct an annual, independent performance audit to
ensure that the funds have been expended only on the public library
facilities projects listed.
(iv) A requirement that the city, county, city and county, or
special district conduct an annual, independent financial audit of
the proceeds from the sale of the bonds until all of those proceeds
have been expended for the public library facilities projects.
(B) For purposes of this paragraph, "special district" has the
same meaning as that term is used in subdivision (c) of Section 1 of
Article XIII C, but does not include a redevelopment agency.
(c) Notwithstanding any other provisions of law or of this
Constitution, a school district, community college district, county
office of education, city, county, city and county, or special
district may levy a 55 percent vote ad valorem tax pursuant to
subdivision (b).
Second-- That Section 4 of Article XIII A thereof is amended to
read:
SEC. 4. Except as provided by Section 4.5, a city, county, or
special district, by a two-thirds vote of its voters voting on the
proposition, may impose a special tax within that city, county, or
special district, except an ad valorem tax on real property or a
transactions tax or sales tax on the sale of real property within
that city, county, or special district.
Third-- That Section 4.5 is added to Article XIII A thereof, to
read:
SEC. 4.5. The imposition, extension, or increase of a special
tax by a city, county, city and county, or special district, as may
otherwise be authorized by law for the purpose of funding public
libraries, is subject to approval by 55 percent of the voters in the
city, county, city and county, or special district, as applicable,
voting on the proposition. proposition, if
all of the following conditions are met:
(a) The proposition is approved by a majority vote of the
membership of the governing board of a city, county, city and county,
or special district.
(b) The proposition contains all of the following accountability
requirements:
(1) A list of the specific purposes and programs that are to be
funded.
(2) A requirement that the proceeds be used only for the purposes
and programs specified in the proposition, and not for any other
purpose.
(3) To ensure compliance with paragraph (2), a requirement that
the governing board of a city, county, city and county, or special
district conduct an annual, independent financial audit of the amount
of special tax proceeds collected and expended, and the specified
purposes and programs funded.
(4) To ensure compliance with paragraph (2), a requirement that
the governing board of a city, county, city and county, or special
district establish a citizens' oversight committee to review all
expenditures of proceeds and financial audits, and report its
findings to the governing board and to the public.
Fourth-- That Section 2 of Article XIII C thereof is amended to
read:
SEC. 2. Notwithstanding any other provision of this
Constitution:
(a) Any tax imposed by any local government is either a general
tax or a special tax. A special district or agency, including a
school district, has no authority to levy a general tax.
(b) A local government may not impose, extend, or increase any
general tax unless and until that tax is submitted to the electorate
and approved by a majority vote. A general tax is not deemed to have
been increased if it is imposed at a rate not higher than the maximum
rate so approved. The election required by this subdivision shall be
consolidated with a regularly scheduled general election for members
of the governing body of the local government, except in cases of
emergency declared by a unanimous vote of the governing body.
(c) Any general tax imposed, extended, or increased, without voter
approval, by any local government on or after January 1, 1995, and
prior to the effective date of this article, may continue to be
imposed only if that general tax is approved by a majority vote of
the voters voting in an election on the issue of the imposition,
which election shall be held no later than November 6, 1996, and in
compliance with subdivision (b).
(d) Except as provided by Section 4.5 of Article XIII A, a local
government may not impose, extend, or increase any special tax unless
and until that tax is submitted to the electorate and approved by a
two-thirds vote. A special tax is not deemed to have been increased
if it is imposed at a rate not higher than the maximum rate so
approved.
Fifth-- That Section 3 of Article XIII D thereof is amended to
read:
SEC. 3. (a) An agency shall not assess a tax, assessment, fee,
or charge upon any parcel of property or upon any person as an
incident of property ownership except:
(1) The ad valorem property tax imposed pursuant to Article XIII
and Article XIII A.
(2) Any special tax receiving a two-thirds vote pursuant to
Section 4 of Article XIII A or, as applicable, a 55-percent vote
pursuant to Section 4.5 of Article XIII A.
(3) Assessments as provided by this article.
(4) Fees or charges for property related
property-related services as provided by this article.
(b) For purposes of this article, fees for the provision of
electrical or gas service are not deemed charges or fees imposed as
an incident of property ownership.
Sixth-- That Section 18 of Article XVI thereof is amended to read:
SEC. 18. (a) No A county, city,
town, township, board of education, or school district,
district shall not incur any
indebtedness or liability in any manner or for any purpose exceeding
in any year the income and revenue provided for that year, without
the assent of two-thirds of the voters of the public entity voting at
an election to be held for that purpose, except that with respect to
any such public entity that is authorized to
incur indebtedness for public school purposes, any proposition for
the incurrence of indebtedness in the form of general obligation
bonds for the purpose of repairing, reconstructing, or replacing
public school buildings determined, in the manner prescribed by law,
to be structurally unsafe for school use, shall be adopted upon the
approval of a majority of the voters of the public entity voting on
the proposition at that election; nor unless before or at the time of
incurring the indebtedness , provision shall be
made for the collection of an annual tax sufficient to pay the
interest on the indebtedness as it falls due, and to provide for a
sinking fund for the payment of the principal thereof, on or before
maturity , which that shall not exceed
forty 40 years from the time of
contracting the indebtedness.
(b) Notwithstanding subdivision (a), on or after November 8, 2000,
in the case of any school district, community college district, or
county office of education, any proposition for the incurrence of
indebtedness in the form of general obligation bonds for the
construction, reconstruction, rehabilitation, or replacement of
school facilities, including the furnishing and equipping of school
facilities, or the acquisition or lease of real property for school
facilities, shall be adopted upon the approval of 55 percent of the
voters of the district or county, as appropriate, voting on the
proposition at an election. This subdivision shall apply only to a
proposition for the incurrence of indebtedness in the form of general
obligation bonds for the purposes specified in this subdivision if
the proposition meets all of the accountability requirements of
paragraph (3) of subdivision (b) of Section 1 of Article XIII A.
(c) Notwithstanding subdivision (a), on or after the effective
date of the measure adding this subdivision, in the case of any city,
county, or city and county, any proposition to incur indebtedness in
the form of general obligation bonds shall be adopted by 55 percent
of the voters of the city, county, or city and county, as applicable,
voting on the proposition at an election, where the general
obligation bonds would fund public libraries, including, but not
limited to, the construction, reconstruction, rehabilitation, or
replacement of public library facilities, the furnishing and
equipping of public library facilities, or the acquisition or lease
of real property for public library facilities.
(d) When two or more propositions for incurring any indebtedness
or liability are submitted at the same election, the votes cast for
and against each proposition shall be counted separately, and when
two-thirds or a majority or 55 percent or a
majority of the voters, as the case may be, voting on any one
of those propositions, vote in favor thereof, the proposition shall
be deemed adopted.
