HomeMy WebLinkAboutItem 13b - Oppose Indefinite Half-Cent Sales Tax
DATE: August 20, 2024
TO: Honorable Mayor and City Council
FROM: Dominic Lazzaretto, City Manager
By: Justine Bruno, Deputy City Manager
SUBJECT: RESOLUTION NO. 7580 OPPOSING THE HOMELESSNESS SERVICES
AND AFFORDABLE HOUSING TRANSACTIONS AND USE TAX
ORDINANCE PETITION
CEQA: Not a Project
Recommendation: Adopt
SUMMARY
At the regular City Council Meeting on December 19, 2023, then-Mayor Verlato
received support from two City Council Members to prepare a Resolution in opposition
of a permanent half-cent sales tax proposal for Los Angeles County. Resolution No.
7580 expresses the City Council’s opposition to an indefinite half-cent sales tax
proposal known as the Homelessness Services and Affordable Housing Transactions
and Use Tax initiative due to its lack of local return surety and for exceeding the
established limit on local sales tax rates. It is recommended that the City Council adopt
Resolution No. 7580 in opposition to this ballot measure.
BACKGROUND
Measure H, a sales tax to fund services for the homeless, was passed by Los Angeles
County voters on March 7, 2017. The Measure passed with nearly 70% of the vote and
levied a ¼ cent sales tax for 10 years to fund mental health, substance abuse
treatment, health care, education, job training, rental subsidies, emergency and
affordable housing, transportation, outreach, prevention, and supportive services for
homeless children, families, foster youth, veterans, battered women, seniors, disabled
individuals, and other homeless adults.
The proponents of Measure H promised that the funding would be used to end
homelessness for the nearly 45,000 unhoused individuals (at the time) across Los
Angeles County and prevent an estimated 30,000 from becoming homeless. More than
seven years after its approval, Measure H has achieved certain success with permanent
supportive housing, rental subsidies, street outreach, emergency shelter, transitional
housing, and prevention services; however, the billions of dollars generated by Measure
Resolution No. 7580 – Oppose Indefinite Half-Cent Sales Tax
August 20, 2024
Page 2 of 4
H since its approval in 2017 have not been able to reduce the growing number of
homeless individuals and families in Los Angeles County.
In January 2024, the point-in-time count conducted by the Los Angeles Homeless
Services Authority (“LAHSA”) showed that the number of homeless across L.A. County
(excluding Glendale, Pasadena, and Long Beach) has risen to 71,201. This represents
a 29% increase in homeless individuals from the 55,048 that were counted in 2017,
when Measure H was first approved.
While homelessness affects all communities, the vast majority of funding flows to the
County and City of Los Angeles, leaving very few dollars for local programming.
Annually, approximately $3.2 million is generated in Arcadia to fund Measure H
programs and services. In FY 2023-24, the City estimates it received just $50,000
directly from Measure H, a rate of return of just 1.5%. Since Measure H collections first
began in Fiscal Year 2017-18, Arcadia has received an estimated 3.5%, or $712,005 in
direct funding, of the $20 million that has been generated in total by the City.
DISCUSSION
Measure H was originally projected to generate over $350 million annually. Recent
estimates place annual revenues at over $520 million. The proposed Homelessness
Services and Affordable Housing Transactions and Use Tax measure seeks to more
than double that amount by increasing the tax from ¼ cent to ½ cent, removing certain
exemptions, and lifting the time limit altogether. The measure promises to include more
accountability and efficiency than the current Measure H without providing significant
details on how that would be achieved. Likewise, the proposal promises increased local
funding without any specific guarantees for individual local governments.
In June, the L.A. County Registrar-Recorder/County Clerk certified that this initiative
qualified for the November ballot with 393,293 valid signatures. Without alteration, the
ordinance petition was submitted by the Los Angeles County Board of Supervisors and
will be placed before voters this November.
The indefinite ½ cent sales tax proposal will more than double annual funding for
homelessness and mental health services, with estimates topping $1.2 billion annually.
Without debating the effectiveness of Measure H and its various outcomes, the
proposed initiative violates a core promise Arcadia made to its residents when Measure
A was being considered and ultimately approved by the City’s voters in 2019. During the
2019 election, state law made it impossible to have a transaction and use tax for
general or specific purposes in Los Angeles County, which exceeded the 2% statutory
limitation. Arcadia’s Measure A – a ¾ cent sales tax proposal, promised locally
controlled revenue that would place the City at the 2% cap. Voters approved Measure A
under this premise and voted to maintain key public safety services like Police and Fire,
as well as the continued maintenance of residential neighborhoods, parks, and
Resolution No. 7580 – Oppose Indefinite Half-Cent Sales Tax
August 20, 2024
Page 3 of 4
commercial spaces. By all accounts, the Measure A sales tax has helped Arcadia
weather the COVID-19 pandemic with certainty and strength.
In February 2023, Assembly Bill 1679 (“AB 1679”) was introduced by Assemblymember
Miguel Santiago, which ultimately paved the way for Los Angeles County to exceed the
2% statutory cap on local sales and use taxes. After AB 1679 was approved by
Governor Newsom in October 2023, Los Angeles County was able to propose a
transaction and use tax that exceeded the 2% statutory limitation, as long as the funding
generated from the tax was dedicated to preventing and mitigating homelessness in the
County. Importantly, by December 31, 2028, if any ordinance proposing a transaction
and use tax has not been approved in Los Angeles County, the Chapter authorizing the
transaction and use tax rate above the 2% cap is effectively repealed. With the
proposed measure, the overall sales tax rate in Arcadia would rise from 10.25% to
10.5%; this was impossible before the passage of AB 1679.
To uphold the commitment made to the community when Measure A was proposed, it is
recommended that the City Council oppose the Homelessness Services and Affordable
Housing Transactions and Use Tax initiative, by adopting Resolution No. 7580.
ENVIRONMENTAL ANALYSIS
The proposed resolution does not constitute a project under the California
Environmental Quality Act (“CEQA”), as it can be seen with certainty that it will have no
impact on the environment.
FISCAL IMPACT
If the Homelessness Services and Affordable Housing Transactions and Use Tax
initiative is passed by L.A. County voters in November, the overall sales tax rate in
Arcadia would rise from 10.25% to 10.5%. While additional funds would be expected to
flow into Arcadia to address homelessness, it is expected to be a very small percentage
of the millions of extra dollars generated annually from the additional tax burden placed
on shoppers in Arcadia.
RECOMMENDATION
It is recommended that the City Council determine that this action is exempt under the
California Environmental Quality Act (“CEQA”); and adopt Resolution No. 7580
opposing the Homelessness Services and Affordable Housing Transactions and Use
Tax Ordinance Petition.
Attachment No. 1: Resolution No. 7580
Attachment No. 2: Los Angeles County Registrar-Recorder/County Clerk Certificate of
Initiative Petition
Attachment No. 3: Resolution No. 7267
Resolution No. 7580 – Oppose Indefinite Half-Cent Sales Tax
August 20, 2024
Page 4 of 4
Attachment No. 4 Countywide Measure 1 (Measure H) Ballot Language – Los
Angeles County Plan to Prevent and Combat Homelessness
Attachment No. 5: Los Angeles County Ordinance No. 2017-0001
Attachment No. 6: Affordable Housing, Homelessness Solutions & Prevention Now
presentation from Proponents
1
RESOLUTION NO. 7580
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARCADIA,
CALIFORNIA, OPPOSING THE HOMELESSNESS SERVICES AND
AFFORDABLE HOUSING TRANSACTIONS AND USE TAX
ORDINANCE PETITION
WHEREAS, Homelessness is both a local and regional issue that has intensified
across Los Angeles County, requiring interagency collaboration, funding, and services;
and
WHEREAS, Measure H was approved in 2017 by 69.34% of the voters of Los
Angeles County, levying a ¼ cent transactions and use tax for a period of 10 years;
and
WHEREAS, Revenue generated by the ¼ cent tax has been used to fund
mental health, substance abuse treatment, health care, education, job training, rental
subsidies, emergency and affordable housing, transportation, outreach, prevention,
and supportive services for homeless children, families, foster youth, veterans,
battered women, seniors, disabled individuals, and other homeless adults; and
WHEREAS, Funding generated by Measure H was intended to end
homelessness for the 55,048 unhoused individuals counted across Los Angeles
County in 2017; and
WHEREAS, In 2024, the Los Angeles Homeless Services Authority (LAHSA)
count of unhoused individuals has risen to 71,201, a 29 percent increase since 2017
when Measure H was first approved; and
WHEREAS, Measure H has generated an estimated $335 - $520 million
annually since its initial approval in 2017; and
WHEREAS, Over $20 million in tax revenue for Measure H has been collected
Attachment No. 1
2
from Arcadia since 2017, with the City only receiving 3.5%, or $700,000 in direct
funding across that same timespan; and
WHEREAS, The Homelessness Services and Affordable Housing
Transactions and Use Tax Ordinance Petition has been deemed qualified by the Los
Angeles County Registrar-Recorder/County Clerk, for the November 5, 2024,
General Election; and
WHEREAS, The Homelessness Services and Affordable Housing
Transactions and Use Tax Ordinance Petition will repeal and replace Measure H with
an indefinite, ½ cent sales tax; and
WHEREAS, In 2019, Arcadia voters approved Measure A, a local sales tax
proposal to support public safety and community maintenance, placing the City at
the local sales tax maximum of 2.0%; and
WHEREAS, The Homelessness Services and Affordable Housing
Transactions and Use Tax Ordinance Petition will raise the overall sales tax rate in
Arcadia to 10.5%, beyond the 10.25% limit that was promised to residents.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ARCADIA,
CALIFORNIA, DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS:
SECTION 1. The City Council of the City of Arcadia supports effective methods to
reduce the number of unhoused individuals residing in Arcadia and Los Angeles County.
SECTION 2. The City Council of the City of Arcadia opposes the Homelessness
Services and Affordable Housing Transactions and Use Tax Ordinance Petition, an
indefinite, ½ cent sales tax proposal that has qualified for the November 5, 2024, Ballot.
SECTION 3. The City Clerk shall certify to the adoption of this Resolution.
3
Passed, approved, and adopted this 20th day of August, 2024.
________________________
Mayor of the City of Arcadia
ATTEST:
_____________________
City Clerk
APPROVED AS TO FORM:
______________________
Michael J. Maurer
City Attorney
DEAN C. LOGAN
Registrar-Recorder/County Clerk
LOS ANGELES COUNTY
REGISTRAR-RECORDER/COUNTY CLERK
June 25, 2024
TO:
FROM:
Supervisor Lindsey P. Horvath, Chair
Supervisor Hilda L. Solis
Supervisor Holly J. Mitchell
Supervisor Janice Hahn
Supervisor Kathryn Barger
Dean C. Logan�1 �
Registrar-RecordiH'�o-unty Clerk
ADOPTED
BOARD OF SUPERVISORS
COUNTY OF LOS ANGELES
40 June 25, 2024
cdMod�
EDWARD YEN
EXECUTIVE OFFICER
CONSIDER OPTIONS FOR THE HOMELESSNESS SERVICES AND AFFORDABLE
HOUSING TRANSACTIONS AND USE TAX ORDINANCE PETITION (ALL
SUPERVISORIAL DISTRICTS) (3 VOTES)
This is to inform you that the review of the Homelessness Services and Affordable
Housing Transactions and Use Tax Ordinance Petition, received on May 7, 2024, was
completed by my office. The review of petition signatures was conducted in
accordance with California Government Code, Elections Code, and Code of
Regulations. In accordance with Elections Code Section 9115, my office examined the
signatures on the initiative petition using a random sampling technique (i.e., verifying a
random 3 percent sample of the signatures in the Petition) and found the petition to be
sufficient. Enclosed is the certificate reporting the results of the signature verification.
Pursuant to Elections Code Section 9118, the Board shall either:
1.Submit the ordinance, without alteration, to the voters pursuant to Elections Code
Section 1405; or
2.Order a report pursuant to Section 9111 at the regular meeting at which the
certification of the petition is presented and direct the report to be presented no
later than 30 days therefrom. When the report is presented to the board of
supervisors, the board shall order an election by submitting the ordinance,
without alteration, to the voters pursuant to Section 1405.
12400 IMPERIAL HIGHWAY, NORWALK, CA 90650 LAVOTE GOV
HOA.104829250-1
Attachment No. 2
Honorable Board of Supervisors
June 25,2024
Page2
If you have any questions or require additional information, please contact me at
(562)462-2716 or email dlogan@rrcc.lacounty.gov. Your staff may also contact
Chief Deputy Jeramy Gray at (562) 462-2883 or email jgray@rrcc.lacounty.gov.
DCL:JG:MF
AL:EC:cc
c: Fesia A. Davenport, Chief Executive Officer
Edward Yen, Executive Officer, Board of Supervisors
County Counsel
12400 IMPERIAL HIGHWAY, NORWALK, CA 90650 LAVOTE GOV
HOA.104829250.1
Los Angeles County Registrar-Recorder/County Clerk
CERTIFICATE
OF INITIATIVL PETITION
I, DEAN C. LOGAN, Registrar-Recorder/County Clerk of the County of Los Angeles, of the State of
California, DO HEREBY CERTIFY:
That the HOMELESSNESS SERVICES AND AFFORDABLE HOUSING TRANSACTIONS AND USE TAX
ORDINANCE petition was filed with this office on May 7, 2024.
That said petition consists of 43,248 sections; containing 393,293 signatures;
That each section contains signatures purporting to be the signatures of qualified electors of this county;
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 qualifications, 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 knowledge and belief each signature to that section was the genuine signature of the
person whose name it purports to be;
That after the proponent filed this petition, I verified the required number of signatures by
examining the records of the registration in this county, current and in effect at the respective
purported dates of such signing, to determine what number of qualified electors signed the
petition, and from that examination I have determined the following facts regarding this petition:
1.Number of signatures filed by proponent: 393,293
2.Number of signatures verified (3%): 11,800
3.Number of signatures found VALID: 8,649
4.Number of signatures CHALLENGED: 3,151
5.Number CHALLENGED because DUPLICATE: 1
6.Required number of valid Signature:238,922
7.Proje cted number of valid signatures (from 3% random Sample): 287,217 (120%)
IN WITNESS WHEREOF, I have here unto set my hand and a
my official seal this 18th day of June 2024.
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DEAN C. LOG�
Registrar-Recorder/County Clerk
County of Los Angeles
RESOLUTION NO. 7267
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ARCADIA, CALIFORNIA, RECITING THE FAC T OF THE SPECIAL
MUNICIPAL ELECTION HELD ON JUNE 4, 2019, DECLARING THE
RESULTS AND SUCH OTHER MA TIERS AS PROVIDED BY LAW
WHEREAS, a Special Municipal Election was held and conducted in the City
of Arcadia, California, on Tuesday, June 4, 2019, as required by law; and
WHEREAS, notice of the special election was given in time, form and manner
as provided by law; in all respects the election was held and conducted and the votes
were cast, received and canvassed and the returns made and declared in time, form
and manner as require d by the provisions of the Elections Code of the State of
California for the holding of elections in charter cities; and
WHEREAS, pursuant to Resolution No. 7247, dated March 5, 2019, the County
Elections Department canvassed the returns of the election and has certified the results
to this City Council, and the results are received, attached and made a part hereof as
Exhibit "A".
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ARCADIA,
CALIFORNIA, DOES FIND, DETERMINE AND RESOLVE AS FOLLOWS:
SECTION 1. The whole number of vote by mail ballots cast was 7,559.
SECTION 2. The measure voted upon at the election is as follows:
MEASURE A
"ARCADIA PUBLIC SAFETY, CITY SERVIC ES, AND ACCOUNTABILITY
MEASURE. To maintain 9-1-1 emergency response times, including to home
break-ins and thefts; neighborhood, school and park police patrols,
fire/paramedic services, fire station operations, emergency preparedness;
retain/attract local businesses; maintain streets/infrastructure; provide other
1
Attachment No. 3
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS:
CITY OF ARCADIA )
I, GENE GLASCO, City Clerk of the City of Arcadia, hereby certifies that the
foregoing Resolution No. 7267 was passed and adopted by the City Council of the City of
Arcadia, signed by the Mayor and attested to by the City Clerk at a regular meeting of said
Council held on the 16th day of July, 2019 and that said Resolution was adopted by the
following vote, to wit:
AYES: Beck, Chandler, Tay, and Verlato
NOES: None
ABSENT: Amundson
3
I .
Exhibit "A"
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1l6�-1l6�;�� �
Certlftcalt of the Canvass of the Elactlon Rebns
1, DEAN C. LOGAN, Registrar-Recorder/County Clerk of the County of
Los Angeles, of the State of California, DO HEREBY CERTIFY that pursuant to the
provisions of Seed.on 15300 et seq. of the California Elections Code, I did canvass the
returns of the votes cast for each elective office and/or measure(s) for
at the Municipal and Special Elections, held on the 4th day of June, 2019.
I FURTHER CERTIFY that the Statement of Votes Cast, to which this certificate
is attached, shows the total number of ballots cast in said jurisdiction, and that the
1 whole number of votes cast for each candidate and/or measure(s) in said jurisdiction
in each of the respective precincts therein, and the totals of the respective columns
and the totals as shown for each candidate and/or measure(s) are full, true and correct.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my seal this
21st day of June, 2019.
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Registrar-Recorder!Coun y Clerk
County of Los Angeles
COUNTY OF LOS ANGELES·
FtlAI. OFFICIAL STATEMENT OF VOTES CAST
��NCi:_ .. . . -LOCATION
SENATE DISTRICT 33 6PECIAL GENERAL ELECTION (AND MUNICIPAi. MD SPECIAi. ELECTIONSI l CJTV Of ARCADlA SPC MUNI MEASURE A
•• -----;EGIST :·: ·a�orsRATION I CAST Jl ! � I
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TOTAi. ____ 2631 806 au •-_ ARCADIA· 0350017A' 'l:1'l1 o1 0 0 VOTE BY MAL SERIAL 6002 0 883· 580 300 TOTAi. 27V 8831 580 300 ARCADIA-035DCXIJA' 4437 836.io o o I
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-t--i VOTE BY MAil SERIAL 6003 0 ..,. 525 307 ! TOTAL � 525 YJ7 ARCADIA· 035003!A' 3137 0' 0 I VOTE BY MAil SERIAL 600( I O 740 44B I 291 '. TOTAi. 3137 740 448 1 291 _ _ AACADIA·035003BA' I 3315 VOTE BY MAIL SERIAL �005 0 339 TOTAL 3315 339 �-0350042A' 2794 ol
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VOTE BY M�L SERIAL 6006 0 2171 TOTAi. ________ 2794 217 ARCAOiA. 0350049,V-•• ··2119 - 0 VOTE BY MAIL SERIAL 6007 O 245 TOTAi. ____ 2719 5891 341 245, __ _l ________ 1 ARCADIA ·03SOOSOA' I 2352 0 0 0 ! • VOTE BY MAIL SERIAi. 6008 I O 5891 373 214 • �A-03600628' ______ •• -7-= �9..,..10391·--j :�
! -+ VOTE BY MAIL SERIAL 8009 o1 '""' ,.,.. TOTAL l � J913 1145395_0 2640 I J ARCAO!A·0350104A' --2485 VOTE BY MAIi. SERIAL 6010 0 257 I TOTAi. • __ .l,485 ___ Tl-m, , _________ _
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COUNTY OF LOS ilHGaE'S --
ANAi. OFFICIAL STATDIEITT OF VOTES CAST ����
LOCATION
PREciNcTTOTAL
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GROUP TOTAL
GRAIi! TOT"l
SEN"TE DISTRICT 33 SPECIAL GENEAAI. a.ECTION (ANO MUNICIPo\l. .\ND SPECIM. aECTIONS)
REGIST • I BAI.LOTS --_ RATION� CAST
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EXHIBIT
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CONSOLIDATED MUNICIPAL AND SPECIAL ELECTIONS
MARCH 7, 2017
MEASURES APPEARING ON THE BALLOT
COUNTYWIDE MEASURE – (1)
LOS ANGELES COUNTY
H – Los Angeles County Plan to Prevent and Combat Homelessness. To fund mental
health, substance abuse treatment, health care, education, job training, rental
subsidies, emergency and affordable housing, transportation, outreach, prevention, and
supportive services for homeless children, families, foster youth, veterans, battered
women, seniors, disabled individuals, and other homeless adults; shall voters authorize
Ordinance No. 2017-0001 to levy a ¼ cent sales tax for ten years, with independent
annual audits and citizens’ oversight?
LOCAL JURISDICTION MEASURES – (13)
ARCADIA UNIFIED SCHOOL DISTRICT
A – ARCADIA TEACHER AND ACADEMIC INSTRUCTION PROTECTION MEASURE. To
keep Arcadia schools among the best in California by renewing approximately $4.3
million in annual local funding the state cannot take away, shall Arcadia Unified School
District continue attracting/retaining quality teachers; keeping schools safe/clean;
protecting quality math, science, technology, reading, writing, art and music programs
by extending the expiring school parcel tax at $288 per parcel annually for 18 years,
requiring independent oversight/audits, senior exemptions, and all funds used locally to
maintain quality education?
BELL CITY
T – Shall the ordinance, to permit the Council to levy generally on visitors to the City a
maximum 12% tax on hotel/motel charges, estimated to annually raise $285,000 for
general City purposes, including for law enforcement and street repairs, and without a
sunset clause, be adopted?
BELLFLOWER CITY
B – CANNABIS TAX. Shall the proposition imposing a tax on cannabis related businesses
operating within the City of Bellflower be adopted?
COVINA CITY
CC – To continue to provide about $5 million annually to preserve essential City services like
Police, Fire, Parks, Library, Recreation and Public Works and other local programs and
general services, shall an ordinance be adopted to extend the City of Covina’s current
6% utility users tax on telephone, gas, electricity and water services to March of 2029,
without raising the rate of the tax or taxing any additional utility services?
S:\ECS\WORD\W006MeasuresAppearing\2017\ConsolidatedMunicipalandSpecialElections\MeasuresAppearingonBallot3717.doc 1
Revised 12 22 16
LOS ANGELES COUNTY
REGISTRAR-RECORDER/COUNTY CLERK
ELECTION COORDINATION UNIT
(562) 462 - 2912
Attachment No. 4
MEASURES APPEARING ON THE BALLOT (Continued)
CUDAHY CITY
PS – Shall the 2017 Temporary Public Safety Funding Ordinance imposing an excise tax of
$139 per parcel per year on single-family and unimproved property; $181 per dwelling
per year on multifamily property; and between $1,550 to $49,600 per parcel per year on
industrial, commercial, mobilehome park and other nonresidential properties be adopted
for 5 years to raise approximately $2,000,000 per year to pay for approximately half of
the City’s annual cost of providing police protection services?
LOS ANGELES CITY
M – CANNABIS REGULATION AFTER CITIZEN INPUT, TAXATION AND
ENFORCEMENT. PROPOSITION M. Shall an ordinance providing for enforcement,
taxation and regulation of cannabis and/or cannabis products (cannabis) by: 1)
providing that the City Council retains the authority to amend existing and adopt new
regulations regarding cannabis activity in the City after conducting public hearings
regarding various aspects of the commercialization of cannabis and medical cannabis,
and giving priority in the processing of applications to existing medical marijuana
dispensaries operating in compliance with current City law; 2) authorizing criminal
penalties, nuisance abatement, increased civil fines and disconnection of water and
power utilities for unauthorized cannabis activities; and 3) establishing new business
taxes, effective January 1, 2018, including taxes of $100 per each $1,000 of gross
receipts from cannabis sales and $50 per each $1,000 of gross receipts from medical
cannabis sales, $10 per each $1,000 of gross receipts from cannabis transportation,
testing or research, and $20 per each $1,000 of gross receipts from cannabis
manufacturing, cultivation or other commercialization of cannabis; be adopted?
LOS ANGELES CITY
N – CANNABIS ACTIVITY PERMITS, REGULATION AND TAXATION. INITIATIVE
ORDINANCE N. Shall an ordinance establishing a City permitting program for cannabis
activity, prioritizing existing medical marijuana businesses compliant with current City
law (MMBs) and maintaining 135 dispensaries in the City unless increased by the City
Council, including by: 1) authorizing the City to issue permits for cannabis activity
including cultivation, manufacture and sale of medical cannabis; 2) providing existing
compliant MMBs a limited time to register for initial permits for specified cannabis
activity and other priority in the permitting process; 3) allowing permitted cannabis
activity in certain non-residential zones; 4) providing operational standards and
minimum-distance requirements from schools and other sites; 5) authorizing fines and
other penalties for non-permitted cannabis activity but limit enforcement procedures for
violations of the ordinance by permit holders; and 6) allowing permittees to operate as
adult use marijuana businesses and impose a tax of $80 per each $1,000 of gross
receipts from adult use marijuana sales if state law changes to allow non-medical adult
use of marijuana; be adopted?
S:\ECS\WORD\W006MeasuresAppearing\2017\ConsolidatedMunicipalandSpecialElections\MeasuresAppearingonBallot3717.doc 2
Revised 12 22 16
MEASURES APPEARING ON THE BALLOT (Continued)
LOS ANGELES CITY
P – MAXIMUM TERM OF HARBOR DEPARTMENT LEASES. CHARTER AMENDMENT P.
Shall the City Charter be amended to increase the maximum term for franchises,
concessions, permits, licenses and leases that may be entered into by the Harbor
Department from the current maximum of 50 years to a new maximum of 66 years, to be
consistent with recent changes to state law?
LOS ANGELES CITY
S – BUILDING MORATORIUM; RESTRICTIONS ON GENERAL PLAN AMENDMENTS;
REQUIRED REVIEW OF GENERAL PLAN. INITIATIVE ORDINANCE S. Shall an
ordinance amending City laws related to the General Plan, including to: 1) impose a
two-year moratorium on projects seeking General Plan amendments or zone or height-
district changes resulting in more intense land use, an increase in density or height, or a
loss of zoned open space, agricultural or industrial areas, with exceptions including for
affordable housing projects and projects for which vested rights have accrued; 2)
prohibit geographic amendments to the General Plan unless the affected area has
significant social, economic or physical identity (defined as encompassing an entire
community or district plan area, specific plan area, neighborhood council area or at
least 15 acres); 3) require systematic, public review of the General Plan every five
years; 4) prohibit project applicants from completing environmental impact reports for
the City; 5) require the City make findings of General Plan consistency for planning
amendments, project approvals and permit decisions; and 6) prohibit certain parking
variances; be adopted?
MONTEREY PARK CITY
LL – LIBRARY TAX. Shall the proposition renewing a special parcel tax for library services at
the Monterey Park Bruggemeyer Library be adopted?
PALOS VERDES ESTATES CITY
D – Shall an ordinance be adopted that continues a levy of the existing special tax for a
period of twelve (12) years on each eligible parcel in the City at the initial base rate of
$342.34 plus $0.196073 per square foot of building improvement effective July 1, 2017,
and maintains the existing 6.2% limit on annual adjustments, initially generating
approximately $4.7 million annually to finance fire suppression and paramedic services?
REDONDO BEACH CITY
C – Shall Redondo Beach approve amendments to its Coastal Land Use Plan Implementing
Ordinance (partially adopted in 2010 in Measure G) to provide additional analytical
procedures and additional limits reducing the amount and type of development in the
Coastal Commercial Zones and the Parks, Recreation, and Open Space Zone (Seaside
Lagoon), located in the Redondo Beach King Harbor-Pier area?
SAN FERNANDO CITY
SF – 2017 Administrative and Election Cost Reduction Measure: Shall the office of City
Treasurer be appointive?
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Title 4 - REVENUE AND FINANCE
Chapter 4.73 TRANSACTIONS AND USE TAX TO PREVENT AND COMBAT HOMELESSNESS
Los Angeles County, California, Code of Ordinances Created: 2024-08-08 11:11:49 [EST]
(Supp. No. 139)
Page 1 of 9
Chapter 4.73 TRANSACTIONS AND USE TAX TO PREVENT AND COMBAT
HOMELESSNESS
4.73.010 Title.
This Chapter shall be known as the "Transactions and Use Tax to Prevent and Combat Homelessness" ordinance.
The County of Los Angeles hereinafter shall be called "County." This ordinance shall be applicable in the
incorporated and unincorporated territory of the County.
(Ord. 2017-0001 § 1, 2017.)
4.73.020 Operative Date.
Except as provided for in Section 4.73.050, the "Operative Date" means the first day of the first calendar quarter
commencing more than 110 days after the adoption of this ordinance, the date of such adoption being as set forth
below.
(Ord. 2017-0001 § 1, 2017.)
4.73.030 Purpose.
This ordinance is adopted to achieve the following and directs that the provisions hereof be interpreted in order to
accomplish those purposes:
A.To impose a retail transactions and use tax in accordance with the provisions of Part 1.6 (commencing with
section 7251) of Division 2 of the Revenue and Taxation Code and section 7285.5 of Part 1.7 of Division 2
which authorizes the County to adopt this tax ordinance which shall be operative if two thirds of the electors
voting on the measure vote to approve the imposition of the tax at an election called for that purpose.
B.To adopt a retail transactions and use tax ordinance that incorporates provisions identical to those of the
Sales and Use Tax Law of the State of California insofar as those provisions are not inconsistent with the
requirements and limitations contained in Part 1.6 of Division 2 of the Revenue and Taxation Code.
C.To adopt a retail transactions and use tax ordinance that imposes a tax and provides a measure therefor that
can be administered and collected by the State Board of Equalization in a manner that adapts itself as fully as
practicable to, and requires the least possible deviation from, the existing statutory and administrative
procedures followed by the State Board of Equalization in administering and collecting the California State
Sales and Use Taxes.
D.To adopt a retail transactions and use tax ordinance that can be administered in a manner that will be, to the
greatest degree possible, consistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation
Code, minimize the cost of collecting the transactions and use taxes, and at the same time, minimize the
burden of record keeping upon persons subject to taxation under the provisions of this ordinance.
E.To adopt a retail transactions and use tax ordinance for the specific purpose of preventing and combatting
homelessness within Los Angeles County. Revenues generated by the retail transactions and use tax shall be
used to sustain the implementation of the County's Homeless Initiative's recommended strategies, adopted
by the Board of Supervisors on February 9, 2016, and as otherwise directed by the Board of Supervisors to
address the causes and effects of homelessness, consistent with this Chapter.
Attachment No. 5
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(Ord. 2017-0001 § 1, 2017.)
4.73.040 Expenditure Plan.
A. Consistent with Subsection E of Section 4.73.030, above, the revenues generated by the retail transactions
and use tax will be expended by the County pursuant to an expenditure plan approved by the Board of
Supervisors prior to June 30th of each year. The annual expenditure plan will include, but not be limited to,
the following projects:
1. Prevent Homelessness:
a. Homeless Prevention Program for Families;
b. Homeless Prevention Program for Individuals.
2. Subsidize Housing:
a. Expand Rapid Rehousing;
b. Provide subsidized housing to homeless disabled individuals pursuing Supplemental Security
Income;
c. Facilitate utilization of federal housing subsidies;
d. Family reunification housing subsidies;
e. Interim/bridge housing for those exiting institutions.
3. Provide Case Management and Services:
a. Mental health, substance use, and counseling services;
b. Regional Integrated Re-entry Network;
c. Jail In-reach;
d. Criminal Record Clearing Project;
e. Provide services for Permanent Supportive Housing.
4. Increase Income:
a. Increase employment for homeless adults by supporting social enterprise;
b. Subsidized employment for homeless adults;
c. Countywide Supplemental Security/Social Security Disability income, and Veterans benefits
advocacy.
5. Create a Coordinated System:
a. Expand the Countywide Outreach System;
b. Strengthen the Coordinated Entry System;
c. Enhance the Emergency Shelter System;
d. Enhance services for transition age youth.
6. Affordable Housing for the Homeless:
a. Preserve current affordable housing;
b. Promote the development of affordable housing for homeless families and individuals.
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7. Other services to address the causes and effects of homelessness.
B. To the extent feasible, revenues from the retail transactions and use tax shall be used to leverage additional
public and private resources to address the causes and effects of homelessness, consistent with this Chapter.
C. Revenues from the retail transactions and use tax may be awarded as grants to public agencies and non-
profit organizations to address the causes and effects of homelessness, consistent with this Chapter. The
Board of Supervisors shall adopt policies and procedures for the solicitation and award of such grants.
Nothing herein precludes the County from using revenue generated by the retail transactions and use tax for
contracting with for-profit contractors and private businesses in compliance with applicable law.
(Ord. 2017-0001 § 1, 2017.)
4.73.050 Special Account.
Any retail transactions and use tax proceeds shall be deposited in a special account, created and maintained by the
County, and used only for the specific purposes identified in Subsection E of Section 4.73.030, above, in
accordance with Section 4.73.030, above.
(Ord. 2017-0001 § 1, 2017.)
4.73.060 Community Oversight and Accountability.
A. The Citizen's Homelessness Initiative Oversight Advisory Board ("Advisory Board") is hereby created.
B. The Advisory Board shall be comprised of five members appointed by the Board of Supervisors. Each
Supervisorial District shall nominate one member for appointment by the Board of Supervisors. The Advisory
Board shall include at least one member that meets each of the following criteria:
1. A professional from the field of municipal/public finance and/or accounting and budgeting with a
minimum of ten years of relevant experience in evaluating financial transactions and program cost-
effectiveness; and
2. An individual working in the homelessness services, research, or advocacy field in a management
position with a minimum of ten years of relevant experience.
The Advisory Board members shall be governed by and comply with State conflict of interest laws (e.g.,
Government Code section 87000 et seq.; and section 1090 et seq.) and the County's conflict of interest policies.
The members shall have no legal action pending against Los Angeles County and are prohibited from acting in any
activity directly or indirectly involving funding provided through this ordinance during their tenure on the Advisory
Board. Advisory Board members shall not have direct interest or employment with any public or private entity,
which receives funding provided through this ordinance.
C. The Advisory Board shall do all of the following:
1. Semi-annual review of all expenditures from the retail transactions and use tax;
2. Publish a complete accounting of all allocations each year, posting the information on the County's
publicly accessible Internet Web site; in a downloadable spreadsheet format, including information
about the location and footprint of each funded project, its objectives, status, and outcomes, any
matching funds used, and the applicable program from the expenditure plan schedule;
3. Submit periodic evaluations to the County of the retail transactions and use tax expenditures, which
may at the Board of Supervisors' direction be undertaken by independent researchers, identifying any
changes needed to meet the objectives of the Homeless Initiative.
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D. Members of the Advisory Board shall serve for a term of four years at the pleasure of the Board of
Supervisors, and no member may serve more than two consecutive four-year terms. The Board of
Supervisors may, by order, extend this length of service or waive this limit for individuals or the Advisory
Board as a whole. A member's position shall become vacant upon his or her death, resignation, or removal
by the Board of Supervisors. In the case of such a vacancy, the Supervisorial District from which the vacancy
arose shall nominate a successor for appointment by the Board of Supervisors to fill the unexpired term.
E. Members of the Advisory Board shall not be compensated for their service, but may be reimbursed for actual
and necessary expenses incurred in the performance of their duties.
(Ord. 2017-0001 § 1, 2017.)
4.73.070 Accountability Measures.
For so long as any proceeds of the retail transactions and use tax remain unexpended, the Auditor-Controller shall
cause a report to be prepared by an independent auditor and filed with the Board of Supervisors no later than
December 31st of each year, stating: (i) the amount of retail transactions and use tax proceeds collected and
expended in such year; and (ii) the status of any projects or description of any services or programs funded from
proceeds of the retail transactions and use tax.
(Ord. 2017-0001 § 1, 2017.)
4.73.080 Contract with State.
Prior to the operative date, the County shall contract with the State Board of Equalization to perform all functions
incident to the administration and operation of this transactions and use tax ordinance; provided, that if the
County shall not have contracted with the State Board of Equalization prior to the operative date, it shall
nevertheless so contract and in such a case the operative date shall be the first day of the first calendar quarter
following the execution of such a contract.
(Ord. 2017-0001 § 1, 2017.)
4.73.090 Transactions Tax Rate.
For the privilege of selling tangible personal property at retail, a transaction tax is hereby imposed upon all
retailers in the incorporated and unincorporated territory of the County at the rate of 0.25% of the gross receipts
of any retailer from the sale of all tangible personal property sold at retail in said territory for a period of ten (10)
years beginning on and after the operative date of this ordinance.
(Ord. 2017-0001 § 1, 2017.)
4.73.100 Place of Sale.
For the purpose of this ordinance, all retail sales are consummated at the place of business of the retailer unless
the tangible personal property sold is delivered by the retailer or his agent to an out-of-state destination or to a
common carrier for delivery to an out-of-state destination. The gross receipts from such sales shall include delivery
charges, when such charges are subject to the State sales and use tax, regardless of business in the State or has
more than one place of business, the place or places at which the retail sales are consummated shall be
determined under rules and regulations to be prescribed and adopted by the State Board of Equalization.
(Ord. 2017-0001 § 1, 2017.)
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4.73.110 Use Tax Rate.
A use tax is hereby imposed on the storage, use or other consumption in the County of tangible personal property
purchased from any retailer on and after the operative date of this ordinance for storage, use or other
consumption in said territory at the rate of 0.25% of the sale price of the property for a period of ten (10) years
beginning on and after the operative date of this ordinance. The sales price shall include delivery charges when
such charges are subject to State sales or use tax regardless of the place to which delivery is made.
(Ord. 2017-0001 § 1, 2017.)
4.73.120 Adoption of Provisions of State Law.
Except as otherwise provided in this ordinance and except insofar as they are inconsistent with the provisions of
Part 1.6 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 (commencing with section
6001) of Division 2 of the Revenue and Taxation Code are hereby adopted and made a part of this ordinance as
though fully set forth herein.
(Ord. 2017-0001 § 1, 2017.)
4.73.130 Limitations on Adoption of State Law and Collection of Use Taxes.
In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code:
A. Wherever the State of California is named or referred to as the taxing agency, the name of this County shall
be substituted therefor. However, the substitution shall not be made:
1. When the word "State" is used as a part of the title of the State Controller, State Treasurer, State Board
of Equalization, State Treasury, or the Constitution of the State of California;
2. Where the result of that substitution would require action to be taken by or against this County or any
agency, officer, or employee thereof rather than by or against the State Board of Equalization, in
performing the functions incident to the administration or operation of this ordinance.
3. In those sections, including, but not necessarily limited to sections referring to the exterior boundaries
of the State of California, where the result of the substitution would be to:
a. Provide an exemption from this tax with respect to certain sales, storage, use or other
consumption of tangible personal property which would not otherwise be exempt from this tax
while such sales, storage, use or other consumption remain subject to tax by the State under the
provisions of Part 1 of Division 2 of the Revenue and Taxation Code, or;
b. Impose this tax with respect to certain sales, storage, use or other consumption of tangible
personal property which would not be subject to tax by the State under the said provision of that
code.
4. In sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 or 6828 of the
Revenue and Taxation Code.
B. The word "County" shall be substituted for the word "State" in the phrase "retailer engaged in business in
this State" in section 6203 of the Revenue and Taxation Code, and in the definition of that phrase in section
6203.
(Ord. 2017-0001 § 1, 2017.)
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4.73.140 Permit Not Required.
If a seller's permit has been issued to a retailer under section 6067 of the Revenue and Taxation Code, an
additional transactor's permit shall not be required by this ordinance.
(Ord. 2017-0001 § 1, 2017.)
4.73.150 Exemptions and Exclusions.
A. There shall be excluded from the measure of the transactions tax and the use tax the amount of any sales tax
or use tax imposed by the State of California or by any city, city and county, or county pursuant to the
Bradley-Burns Uniform Local Sales and Use Tax Law or the amount of any state-administered transactions or
use tax.
B. There are exempted from the computation of the amount of transactions tax the gross receipts from:
1. Sales of tangible personal property, other than fuel or petroleum products, to operators of aircraft to
be used or consumed principally outside the County in which the sale is made and directly and
exclusively in the use of such aircraft as common carriers of persons or property under the authority of
the laws of this State, the United States, or any foreign government.
2. Sales of property to be used outside the County which is shipped to a point outside the County,
pursuant to the contract of sale, by delivery to such point by the retailer or his agent, or by delivery by
the retailer to a carrier for shipment to a consignee at such point. For the purposes of this paragraph,
delivery to a point outside the County shall be satisfied:
a. With respect to vehicles (other than commercial vehicles) subject to registration pursuant to
Chapter 1 (commencing with section 4000) of Division 3 of the Vehicle Code, aircraft licensed in
compliance with section 21411 of the Public Utilities Code, and undocumented vessels registered
under Division 3.5 (commencing with section 9840) of the Vehicle Code by registration to an out-
of-County address and by a declaration under penalty of perjury, signed by the buyer, stating that
such address is, in fact, his or her principal place of residence; and
b. With respect to commercial vehicles, by registration to a place of business out-of-County and
declaration under penalty of perjury, signed by the buyer, that the vehicle will be operated from
that address.
3. The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price
pursuant to a contract entered into prior to the operative date of this ordinance.
4. A lease of tangible personal property which is a continuing sale of such property, for any period of time
for which the lessor is obligated to lease the property for an amount fixed by the lease prior to the
operative date of this ordinance.
5. For the purposes of subparagraphs (3) and (4) of this section, the sale or lease of tangible personal
property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for
which any party to the contract or lease has the unconditional right to terminate the contract or lease
upon notice, whether or not such right is exercised.
C. There are exempted from the use tax imposed by this ordinance, the storage, use or other consumption in
this County of tangible personal property:
1. The gross receipts from the sale of which have been subject to a transactions tax under any state-
administered transactions and use tax ordinance.
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2. Other than fuel or petroleum products purchased by operators of aircraft and used or consumed by
such operators directly and exclusively in the use of such aircraft as common carriers of persons or
property for hire or compensation under a certificate of public convenience and necessity issued
pursuant to the laws of this State, the United States, or any foreign government. This exemption is in
addition to the exemptions provided in sections 6366 and 6366.1 of the Revenue and Taxation Code.
3. If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered
into prior to the operative date of this ordinance.
4. If the possession of, or the exercise of any right or power over, the tangible personal property arises
under a lease which is a continuing purchase of such property for any period of time for which the
lessee is obligated to lease the property for an amount fixed by a lease prior to the operative date of
this ordinance.
5. For the purposes of subparagraphs 3 and 4 of this section, storage, use, or other consumption, or
possession of, or exercise of any right or power over, tangible personal property shall be deemed not
to be obligated pursuant to a contract or lease for any period of time for which any party to the
contract or lease has the unconditional right to terminate the contract or lease upon notice, whether
or not such right is exercised.
6. Except as provided in subparagraph 7, a retailer engaged in business in the County shall not be
required to collect use tax from the purchaser of tangible personal property, unless the retailer ships or
delivers the property into the County or participates within the County in making the sale of the
property, including, but not limited to, soliciting or receiving the order, either directly or indirectly, at a
place of business of the retailer in the County or through any representative, agent, canvasser,
solicitor, subsidiary, or person in the County under the authority of the retailer.
7. "A retailer engaged in business in the County" shall also include any retailer of any of the following:
vehicles subject to registration pursuant to Chapter 1 (commencing with section 4000) of Division 3 of
the Vehicle Code, aircraft licensed in compliance with section 21411 of the Public Utilities Code, or
undocumented vessels registered under Division 3.5 (commencing with section 9840) of the Vehicle
Code. That retailer shall be required to collect use tax from any purchaser who registers or licenses the
vehicle, vessel, or aircraft at an address in the County.
D. Any person subject to use tax under this ordinance may credit against that tax any transactions tax or
reimbursement for transactions tax paid to a County imposing, or retailer liable for a transactions tax
pursuant to Part 1.6 of Division 2 of the Revenue and Taxation Code with respect to the sale to the person of
the property the storage, use or other consumption of which is subject to the use tax.
E. When contracting with the State Board of Equalization pursuant to section 4.73.080 to administer the tax
imposed by this ordinance, it shall be the County's intent, and any agreement shall ensure, that the
combined rate limit specified in Revenue and Taxation Code section 7251.1 is not exceeded in any district
within the County that has imposed a transactions and use tax pursuant to Part 1.6 of Division 2 of the
Revenue and Taxation Code in effect on or before the effective date of this ordinance. The agreement shall
include that appropriate steps are taken by the Board of Equalization to ensure that the County tax imposed
by this ordinance, when aggregated with all other transactions and use taxes imposed pursuant to Part 1.6 of
Division 2 of the Revenue and Taxation Code within that district, will 1) not cause the rate of the transactions
and use tax within the district to exceed the combined rate limit; 2) not cause any person subject to the tax
imposed by this ordinance to pay more than the legally permissible combined rate; and 3) have no impact on
the revenue received by each district within the County as the result of any transactions and use tax imposed
by the district on or prior to the effective date of this ordinance.
(Ord. 2017-0001 § 1, 2017.)
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4.73.160 State Law Amendments.
All amendments subsequent to the effective date of this ordinance to Part 1 of Division 2 of the Revenue and
Taxation Code relating to sales and use taxes and which are not inconsistent with Part 1.6 and Part 1.7 of Division 2
of the Revenue and Taxation Code, and all amendments to Part 1.6 and Part 1.7 of Division 2 of the Revenue and
Taxation Code, shall automatically become a part of this ordinance, provided however, that no such amendment
shall operate so as to affect the rate of tax imposed by this ordinance.
(Ord. 2017-0001 § 1, 2017.)
4.73.170 Amendment of Ordinance.
Except for amendments that would increase the tax rate, impose the tax on transactions and uses not previously
subject to the tax (unless the amendment occurs pursuant to Section 4.73.160), extend the tax, or be inconsistent
with the purposes of this ordinance, the Board of Supervisors may amend this ordinance without submitting the
amendment to the voters for approval.
(Ord. 2017-0001 § 1, 2017.)
4.73.180 Enjoining Collection Forbidden.
No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in
any court against the State or the County, or against any officer of the State or the County, to prevent or enjoin the
collection under this ordinance, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any
amount of tax required to be collected.
(Ord. 2017-0001 § 1, 2017.)
4.73.190 Severability.
If any provision of this ordinance or the application thereof to any person or circumstance is held invalid, the
remainder of the ordinance and the application of such provision to other persons or circumstances shall not be
affected thereby.
(Ord. 2017-0001 § 1, 2017.)
4.73.200 Effective Date.
This ordinance relates to the levying and collecting of the County's Transactions and Use Tax to Prevent and
Combat Homelessness and shall take effect immediately upon approval by two thirds of the electorate voting in an
election on this ordinance.
(Ord. 2017-0001 § 1, 2017.)
4.73.201 Execution.
The Chair of the Board of Supervisors is authorized to attest to the adoption of this ordinance by the voters of the
County.
(Ord. 2017-0001 § 1, 2017.)
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Affordable Housing, Homelessness Solutions & Prevention Now
A L.A. County Citizens’ Initiativeproposed by the Our Future L.A. County Coalition
1
Attachment No. 6
Ballot Measure Proponents
These 5 leaders formally filed the measure as ballot measure
proponents:
●Elise Buik
○President & CEO, United Way of Greater L.A.
●Edgar Campos
○Executive Director, T.R.U.S.T. South LA
●Andrew Kerr
○Chief Financial Officer, Crew Inc.
●Veronica Lewis
○Executive Director, HOPICS
●Miguel Santana
○President & CEO, California Community Foundation
2
Despite Heroic Work, Homelessness Keeps Climbing
●30,000+ people are currently
receiving services funded by the
existing countywide tax for
homeelessness & 100,000+ people
have ended their homelessness
over the last 5 years
●The average rent is $2,349 for a
two bedroom apartment in L.A.
County, which requires a wage of
$45 an hour to afford
●Only 1 in 4 people who are eligible
for federal rental subsidies can use
them
●We do not have a dedicated
countywide revenue stream for
affordable housing production &
preservation or technical
assistance to small cities to update
their land use/housing policies
3
Housing Production in L.A. County is at an All-Time Low
●Less housing is being built
now than at any point in the
last 80 years
●Cities are being asked to do a
lot- without adequate
resources to support
●And we’re losing the
affordable housing we have-
between 2009 and 2019 we
lost nearly 200,000 units
that rent for less than $1k a
month in the L.A. Metro Area
4
We won’t make progress ending homelessness unless we do a
better job of preventing it in the first place
●We’ve never had a
coordinated, well resourced
countywide strategy to
produce more affordable
housing, protect the affordable
housing we have, and support
renters at risk of homelessness
●Until Now!LACAHSA exists
for this purpose.
5
A Bold, New
Approach
The purpose of this citizens initiative is to
use goals-based accountability to fund
L.A. County’s comprehensive
homelessness response system as well
as invest in new strategies to address
street encampments, prevent
homelessness and create affordable
housing.
This measure would terminate and
replace the existing ¼ cent sales tax
that currently funds the homelessness
response system and expires in 2027 with
a ½ cent countywide sales tax.
6
Core Citizens Initiative Ballot
Measure Components
Outcome Goals
Focus the measure’s intent
and impact.Accountability, Governance and
Oversight
A new approach to accountability & oversight
Local Solutions Fund, Technical
Assistance & Innovation Fund
Shared responsibility, experimentation
and implementation support for citiesRevenue Source
Replace existing ¼ cent sales
tax with ½ cent sales tax
Revenue Allocation & Accountability
A flexible allocation plan with
clear guardrails
01
02
05
03
04
7
8
OUTCOME GOALS-Accountability in Action
1. Increase the number of people moving from encampments into permanent housing in order to
reduce unsheltered homelessness.
2. Reduce the number of people with a mental illness and/or substance use disorder who are
experiencing homelessness.
3. Increase the number of people permanently leaving homelessness.
4. Reduce the number of people falling into homelessness.
5. Increase the number of affordable housing units in L.A. County.
The goals shall be determined by the Executive Committee informed by the L.A. County Leadership Table and relevant
Agencies/Departments, no later than April 1, 2025.
Each goal will have specific metrics as well as short, medium, and long term time bound deadlines, at minimum 5
and 10 years.
Accountability,
Governance and
Oversight
Mirroring and connecting to the ongoing
implementation of L.A. County’s Blue Ribbon
Commission on Homelessness.
●Needs Assessment +
Regional Plan
●Real Time Evaluation &
Accountability
●Transparency &
Communication
9
nt +
10
A Balanced Approach
Core Programs:
●Homeless Services: 50%
●Flexible: Services or Housing- 10%
○Local Solutions Fund
○Innovation Fund
●Housing Production: 24%
●Homelessness Prevention, Renter Supports: 11%
●Accountability, Data, Evaluation- 1.25%
*LACAHSA’s allocation can never be reduced below 33% of total funds, and services
funding may be shifted to LACAHSA in future years as the landscape changes- this will
support the bonding capacity of the agency.
Revenue Allocation-Assumes $1.25B
02Allocation Amount (*rounding)% Share of Total Revenue
Core Homeless Services (Substance Use Treatment, Mental Health Services, Outreach, Emergency Shelter, Supportive
Housing Services, Short Term Rental Assistance) ( 86.6% of services allocation)$612,000,000
Local Housing & Services Solutions Fund for Cities (15% of services allocation)$110,000,000
Innovation Fund (3.3% of services allocation)$12,000,000
Services & Emergency Housing (County & Cities) Subtotal $735,000,000 60%
L.A County Development Authority Housing Production Fund $36,000,000 3%
Accountability, Data & Evaluation Fund $15,000,000 1.25%
LACAHSA - Production, Preservation & Affordable Ownership (minimum 40%) (assumes 61.5%)$262,000,000
LACAHSA- Renter Supports & Homelessness Prevention (minimum 30%) (assumes 30%)$131,000,000
LACAHSA- Flexible (any eligible agency use (minimum 15%) (assumes 100% allocation to Production)
LACAHSA- Cities Technical Assistance (minimum 5%)$21,000,000
LACAHSA Admin & Operations (maximum 10%; assumes 5%)$21,000,000
LACAHSA (County & Cities) Subtotal $438,000,000 35.75%
11
Key Facts & Outputs
Affordable Housing &
Homelessness Prevention:
●$3 Billion+ for Affordable Housing
Production & Preservation over the
next 10 years
○Triple the current local funding
investment
●$1 Bilion+ for homelessness
prevention & at-risk renter
supports
○Current Measure H investment in
prevention is $20M in current budget-
$200M over 10 years
Homeless Services System
●Ensures 30,000+ people continue
to receive housing and services
(possible 25% in homelessness) :
●22,000 people in supportive
housing continue to receive
services
●8,700 emergency/interim
housing beds continue
operating
12
13
Allocation Analysis- Cities
Cities- 36% of total annual revenue raised is earmarked for cities directly
($444M out of $1.25B)
●$110M in guaranteed annual services funding through Local Solutions Fund
○15% of services category
○4X the current Measure H Local Solutions Fund ($25M in FY23-24 budget)
●$312M in guaranteed annual housing production / renter supports funding
○5 largest cities can self administer, others through COGs
○70% of production & preservation categories allocated to cities/unincorporated/COGs by Low
Income RHNA goal
○70% of renter protections & supports categories allocated to cities/unincorporated/COGs by per
capita low income renter
●$21M in guaranteed annual LACAHSA funding for cities under 50k
○Technical assistance for program design, policy creation, land use updates
Funding Adjustments-
Accountability & Innovation
●If Outcome Goals are not achieved, that County and LACAHSA shall each move at least 2.5% of
funding from existing programs to different programs that have demonstrated higher effectiveness.
●Funding to LACDA shall be contingent upon LACDA continuing to receive $100M in annual
funding from the County annual budget.
●Any reduction in this annual appropriation results in a dollar for dollar reduction in the 3%
allocation, with those funds instead going to LACAHSA
14
Revenue Source
½ Cent Sales Tax, replacing
existing ¼ cent increment
●A net increase of ¼ cent for most cities
in L.A. County
○5 cities are currently not paying
Measure H would increase by ½ cent
■Compton, Lynwood, Pico
Rivera, Santa Monica, South
Gate
●Sales Tax does not apply to:
○Rent
○Groceries
○Medicine
○Gas
○Items purchased with EBT
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Next Steps
●The Measure was filed on
Monday, November 6
●400,000 submittable
signatures are required to
achieve 260,000 valid
signatures
●Signature collection began in
early December and will take
approx. 5 months
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THANK YOU!
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