HomeMy WebLinkAboutItem 4a - Signature Verification - UUT Repeal InitiativeGPyIF0R'N
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DATE: June 3, 2014
TO: Honorable Mayor and City Council
STAFF REPORT
Office of the City Clerk
FROM: Dominic Lazzaretto, City Manager
Stephen P. Deitsch, City Attorney
Prepared By: Lisa Mussenden, Chief Deputy City Clerk /Records Manager
SUBJECT: VERIFICATION OF SUFFICIENCY OF SIGNATURES ON UTILITY
USERS TAX REPEAL INITIATIVE MEASURE AND REQUEST FOR
FURTHER DIRECTION FROM CITY COUNCIL
Recommended Action: Receive, File and Accept Certificate of
Sufficiency of Initiative Petition from the City Clerk; and Direct Staff
to Prepare A Report Analyzing Its Impact
SUMMARY
On April 7, 2014, proponents of a Utility Users Tax repeal initiative measure filed a
signed petition with the City Clerk's office. Pursuant to the California Elections Code,
the petitions were examined for signature verification by the City Clerk's Office with
assistance from the Los Angeles County Registrar- Recorder /County Clerk.
In a letter dated May 19, 2014, the City Clerk's Office verified that the petition contained
770 valid signatures and notified the proponents of this fact. Under State Law, the
Petition needed 733 signatures to qualify the Measure for the ballot. Therefore, the
measure has obtained the required signatures. The remainder of this report will provide
the City Council with options under the California Elections Code. The recommendation
is to direct staff to prepare a report on the potential impacts of the measure, which
would be required within 30 days.
DISCUSSION
On September 23, 2013, the City received a Notice of Intent to Circulate a Petition and
proposed initiative measure ( "Measure ") from Arcadia residents /proponents that would
amend the City's Municipal Code in the following ways:
• Repeals the Utility Users Tax ( "UUT ") in its entirety (for all utilities currently taxed
telecom, electricity, gas and water);
Certificate of Sufficiency of Initiative Petition
June 3, 2014
Page 2 of 3
• Prohibits the City from enacting or enforcing any ordinance or regulation which
requires the payment, remittance or collection of any tax, fee, charge, or
assessment, for the generation, sale, lease, purchase, supply, use, or delivery of
any utility goods or services, including but not limited to gas, telecommunications
service, cable, water, video services, and electricity;
• Authorizes the Measure's proponents or any person who pays any sum
described in the Measure to defend it in the event of legal challenge; and
• Provides that the Measure may not be repealed except by a 2/3 vote of
Arcadia voters.
In accordance with the Elections Code, the City Attorney's office prepared and sent a
ballot title and summary of the Measure to the proponents on October 8, 2013. The
proponents then had 6 months to gather enough signatures to qualify the Measure for
the ballot. On April 7, 2014, the proponents submitted a signed petition to the City
Clerk's Office.
On May 19, 2014, the City Clerk's office verified that the petition contained 770 valid
signatures to qualify the Measure for the ballot. The Elections Code normally requires
the signatures of at least 10 percent of the City's registered voters. In that case, 770
signatures would not have been sufficient to qualify the Measure. However, because
this concerns the repeal of a local tax, California Proposition 218 applies and it
significantly reduces the signature requirement - only 5 percent of Arcadia voters who
voted for any gubernatorial candidate at the last election (November, 2010). The City
Clerk's office confirmed that 14,656 Arcadia voters voted for a candidate at the last
gubernatorial election, therefore, 733 signatures were required.
The Certificate of Sufficiency of Initiative Petition is attached to this report and it is
recommended that the City Council receive, file, and accept the certificate as valid in all
respects.
Since the Measure has obtained the required number of signatures, tonight, the City
Council's options under the Elections Code are as follows:
a. Adopt the Measure as an ordinance, without alteration;
b. Submit the Measure to the voters at the next regular municipal election. A
"regular election" is one where Council Members are elected. That would be
April 12, 2016;
Certificate of Sufficiency of Initiative Petition
June 3, 2014
Page 2 of 3
c. Submit the Measure to the voters at a special election between 88 and 103 days
after the City Council calls the election (approximately September, 2014);
d. Submit the Measure to the voters at a special election which is to be
consolidated with the upcoming Statewide general election on November 4,
2014;
e. Direct staff to prepare a report analyzing the impact of the Measure on the City's
finances, ability to provide public services, and the like. Staff must present the
report not later than 30 days after it is ordered by the City Council (July 1, 2014,
City Council meeting). If the City Council chooses this option, once the report
has been prepared and presented, the City Council will need to consider all
available options, including a -d above.
The proposed budget for FY 2014 -15 includes $6.7 million in UUT revenues, which is
approximately 13 percent of overall General Fund revenues. While it can be asserted
that a 13 percent drop in revenues would have a significant impact on services in the
community, the precise impact of that loss in revenue cannot be accurately stated
without further review and analysis by each City Department. In addition, there may be
other economic impacts as a result of the Measure. Therefore, it is recommended that
the City Council choose Option "e" above and direct staff to prepare a report to be
presented at or before the July 1, 2014, City Council meeting.
FISCAL IMPACT
There is no fiscal impact to the budget as a result of City Council action on this item.
However, the Measure would have a $6.7 million impact annually to the City's General
Fund if approved by the voters.
RECOMMENDATION
It is recommended that the City Council:
1. Receive, file, and accept the Certificate of Sufficiency of Initiative Petition from
the Chief Deputy City Clerk/Records Manager; and
2. Direct staff to prepare a report analyzing its impact and present the report to the
City Council at its July 1, 2014 meeting.
Attachment: Certificate of Sufficiency of Initiative Petition
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City of
Arcadia
Office of the
City Clerk
240 W. Huntington Drive
Post Office Box 60021
Arcadia, CA 91066 -6021
(626) 574 -5455
(626) 447 -7524 Fax
www. ci.arcadia.ca.us
CERTIFICATE OF SUFFICIENCY OF INITIATIVE PETITION
I Lisa Mussenden, Chief Deputy City Clerk/Records Manager of the City of
Arcadia, County of Los Angeles, State of California, hereby certify that:
The petition for "An Initiative Measure Proposing to Repeal the City of
Arcadia Utility Users Tax" was filed with the City Clerk Office on April 7,
2014.
That said petition consists of 161 sections;
That each section contains signatures purporting to be signatures of
qualified electors of the City of Arcadia, California;
That attached to this petition at the time it was filed, was an affidavit
purporting to be the affidavit of the person who solicited the signatures, and
containing the dates between which the purported qualified electors signed
this petition;
That the affiant stated his or her own qualification, that he or she had
solicited the signatures upon that Section, that all of the signatures were
made in his or her presence, and that to the best of his or her own
information and belief, each signature to that section was the genuine
signature of the person whose name it purports to be;
That after the proponents filed this petition and based on the County of Los
Angeles Registrar of Voters' Signature Verification Certificate, I have
determined the following facts regarding this petition:
1. Total number of signature filed by proponent raw count: 984
2. Number of signatures found sufficient: 770
3. Number of signatures found insufficient: 214
4. Number of signatures insufficient because of duplication: 3
Based on the above, the petition is deemed to be sufficient.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the
official seal of the City of Arcadia this 19th day of May, 2014.
-4",L
Lis Mpssenden
Chi Deputy City Clerk/
Records Manager