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Redwood City, California, Measure RR, Sales Tax (November 2018)

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Local ballot measure elections in 2018
Measure RR: Redwood City Sales Tax
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The basics
Election date:
November 6, 2018
Status:
Approveda Approved
Topic:
Local sales tax
Amount: 0.5%
Expires in: No expiration
Related articles
Local sales tax on the ballot
November 6, 2018 ballot measures in California
San Mateo County, California ballot measures
City tax on the ballot
See also
Redwood City, California

A sales tax measure was on the ballot for Redwood City voters in San Mateo County, California, on November 6, 2018. It was approved.

A yes vote was a vote in favor of authorizing a local 0.5 percent sales tax to fund general city purposes.
A no vote was a vote against authorizing a local 0.5 percent sales tax to fund general city purposes.

Election results

Redwood City, California, Measure RR, Sales Tax (November 2018)

Result Votes Percentage

Approved Yes

19,207 67.59%
No 9,210 32.41%
Results are officially certified.
Source

Text of measure

Ballot question

The ballot question was as follows:[1]

Shall the ordinance to fund essential city services such as protecting rapid 911 emergency response times; preventing the number of on-duty firefighters/paramedics/police officers; continuing after-school/recreation programs for children; and maintaining local library hours/programs by establishing a 0.5% sales tax, providing approximately $8,000,000 annually until repealed by voters, with exemptions for essential purchases like food/medicine, annual audits and all funds staying in Redwood City, be adopted?[2]

Impartial analysis

The following impartial analysis of the measure was prepared by the office of the Redwood City City Attorney:

The City Council of Redwood City voted 7-0 to place Measure RR on the ballot. The measure would establish a one-half of one cent use and transaction (sales) tax for general city purposes.

The proposed City of Redwood City Essential Services Protection Measure has the following key components:

  • It imposes a one-half cent sales tax on local sales transactions, excluding such essentials as groceries and medicines.
  • All funds generated by the measure would be placed in the City's General Fund to be used for the provision of City services. None of the funds could be taken by the State.
  • All funds generated by the measure would be included in the City's annual independent audit conducted by a certified public accountant.
  • A simple majority vote is needed for adoption (50% plus 1). The measure if enacted stays in effect unless and until changed by the voters.

The City faces significant fiscal challenges in the coming years, mirroring dynamics throughout California. Though new development and increased downtown activity have increased property tax receipts and somehwat offset sales tax declines, projected revenue growth is not sufficient to cover increasing operating costs. The City is projected to have a multi-million dollar deficit in 2018-19 growing to over $12 million annually (10% of its operating budget) in five years, and increasing after that. To meet the deficit, the City has raised fees on development activity ($2 million) and made cost reductions in this year's adopted budget (approximately $3.7 million) including the elimination of 14.5 (vacant) and 1 filled staff positions. The City also has proactively moved to contain pension costs, requiring the highest employee contributions in the Bay Area and providing more modest benefits to new hires. Despite these efforts, the deficit will grow unless new revenues are generated or more significant cuts are made to essential City services.

If the measure is not approved by voters, the City will have to meet a budget deficit by making deeper reductions to City services such as police, fire, and paramedic services, library service hours, after school programs, and the like. Approximately 60% of the City's General Fund is budgeted for essential public safety services, including police, fire, and paramedics.

If the proposed measure is approved by the voters, the annual General Fund revenues from the sales tax are estimated at around $8.0 million. This amount would fluctuate depending upon economic conditions. Funds generated from this half-cent sales tax would be locally generated and would therefore be protected by the State Constitution from being captured by the State.[2]

—Redwood City City Attorney[1]

Full text

The full text of the measure is available here.

Path to the ballot

See also: Laws governing local ballot measures in California

This measure was put on the ballot through a vote of the governing officials of Redwood City, California.

See also

External links

Footnotes

  1. 1.0 1.1 San Mateo County Assessor-Clerk-Recorder and Elections, "November 6, 2018 Election Information," accessed October 8, 2018
  2. 2.0 2.1 Note: This text is quoted verbatim from the original source. Any inconsistencies are attributable to the original source.