City of Hercules Utility User Tax Continuation, Measure C (November 2015)
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| Measure info Amount: 2% continuation |
A utility users tax continuation was on the ballot for Hercules voters in Contra Costa County, California, on November 3, 2015. It was approved.
Measure C authorized the city to continue its utility user tax rate of 8 percent until January 1, 2025. The city voters approved a six percent utility tax in 2004, which was designed to expire in January 2025. In 2013, voters approved a 2 percent increase to the city's utility tax rate through Measure A. This 2 percent increase was set to expire in October 2018. Measure C allowed this 2 percent increase to continue until the expiration of the city's entire utility tax in January 1, 2025. The city's utility tax revenue was designed to go into the city's general fund to be used for any government purpose.[1]
Election results
| Hercules, Measure C | ||||
|---|---|---|---|---|
| Result | Votes | Percentage | ||
 Yes | 1,929 | 72.22% | ||
| No | 742 | 27.78% | ||
- Election results from Contra Costa County Elections Division
Text of measure
Ballot question
The following question appeared on the ballot:[1]
| “ |
To maintain Hercules’ financial stability; enhance fiscal accountability; prevent cuts to police services/crime prevention programs, street/pothole repair, youth/senior programs, and other essential City services; and maintain the number of police officers patrolling neighborhood streets and the local Hercules Police Department, shall the City of Hercules continue its existing, voter-approved utility users’ tax, with no tax increase, including low-income exemptions, independent citizens’ oversight, annual audits, and funding that cannot be taken by Sacramento?[2] |
” |
Impartial analysis
The following impartial analysis of Measure C was prepared by the office of the city attorney:
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The City Council of the City of Hercules has placed Measure C on the November 3, 2015 ballot. If approved by the voters, Measure C would extend the current voter-approved eight percent (8%) rate of the City's utility users tax (UUT) in order to generate additional municipal revenues. A UUT is levied on each user of a utility (e.g. telephone, electricity, gas, cable, and video services) within the City's boundaries. UUT revenues are used to fund city services and programs, including public safety services. In 2004, the City of Hercules established a UUT rate of six percent (6%), which will expire on January 1, 2025. In 2013, the voters approved passage of Measure A, a temporary, five year increase of two percent (2%) to the existing UUT rate, for a total UUT rate of eight percent (8%). Under the terms of the 2013 Measure A, the voter-approved two percent (2%) increase will expire in October 2018. Measure C would extend the 2013 voter approved two percent (2%) UUT increase. If adopted, Measure C would make the eight percent (8%) total rate effective until January 1, 2025. The City Council could terminate the two percent (2%) increase at any time before January 1, 2025 and reduce the total UUT rate to six percent (6%) either on its own initiative or at the recommendation of the City's Finance Commission, upon a determination that the additional two percent (2%) increase provided for in Measure C is not longer necessary because the City has met its goal of achieving long term financial stability with adequate financial reserves. If adopted by voters, the continuation of the existing two percent (2%) UUT measure provided by Measure C would generate additional general purpose local funding to stabilize the City's finances beyond 2018. Because Measure C does not limit the use of tax revenue to a specific purpose, the City may use the funds for a variety of purposes, including but not limited to maintaining financial stability and accountability; maintaining the Hercules Police Department; maintaining neighborhood police patrols, improving 9-1-1 response times; expanding neighborhood crime prevention programs; attracting business to Hercules; and preventing cuts to street maintenance. Measure C is not a property tax on homeowners. The Measure includes fiscal accountability provisions, requiring mandatory financial audits and independent Citizen Oversight by the Finance Commission to ensure that tax revenues are spent by the City in a manner consistent with the measure. A "Yes" vote is a vote to approve continuing the current two percent (2%) UUT measure for a total UUT rate of eight percent (8%) until the City's UUT provisions expire in January 1, 2025, and authorizing the City Council at any time prior to January 1, 2025, either on its own initiative or at the recommendation of the City's Finance Commission, to reduce the UUT rate to six percent (6%). A "No" vote will leave in place the City's existing eight percent (8%) UUT until October 2018, when the 2013 measure A two percent (2%) increase expires. Measure C would be approved if it receives a simple majority of "Yes" votes.[2] |
” |
| —Hercules City Attorney J. Patrick Tang[1] | ||
Full text
The full text of the ordinance is available here.
Support
Supporters
The following individuals signed the official argument in favor of Measure C:[1]
- Earnest Lee Taylor, president of the Hercules Police Officers Association
- Virgilio De La Vega, chair of the city's finance commission
- Darrel J. Tucker, former mayor and 37-year resident
- Lori Han, treasurer of FHSC
- Sylvia Villa Serrano, executive director of the Hercules Chamber
Arguments in favor
Measure C proponents made the following arguments in favor of Measure C:[1]
- Hercules was the 19th safest city in California and Measure B funds would help it stay safe.
- Measure B does not raise the city's taxes; it just continues them at the same rate.
- Measure B funds would maintain qualify of life, financial stability and safety.
- Measure B funds would allow more police officers, faster 9-1-1 response time and better streets.
- These services would attract businesses to Hercules.
- Measure B revenue would stay local and include safeguards for fiscal accountability.
Official argument
The full text of the official argument in support of Measure C is available here.
Opposition
No official argument against Measure C was submitted by the deadline. If you know of endorsements or arguments that should be posted here, please email the Local Ballot Measures Project staff writer.
Related measures
Recent news
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See also
- California Utility User Taxes
- Local utility tax and fees on the ballot
- Contra Costa County, California ballot measures
- November 3, 2015 ballot measures in California
External links
Footnotes
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