HomeMy WebLinkAboutOrdinance 635 FINAL Sales Tax Increase (11-3-2020 Election)ORDINANCE NO. 635
AN ORDINANCE OF THE PEOPLE
OF THE CITY OF MORRO BAY, CALIFORNIA
REPEALING CHAPTER 3.22 AND ADOPTING CHAPTER 3 26 OF THE
MORRO BAY MUNICIPAL CODE TO INCREASE THE CITY'S
TRANSACTIONS AND USE TAX RATE FROM .5% TO 1.5%
THE CITY COUNCIL
City of Morro Bay, California
WHEREAS, the City has faced a daunting long-term budget challenge with the closure of
the Morro Bay Power Plant in 2013 and increasing costs of doing business that are outside of the
City's control; and
WHEREAS, City Council responded by making achieving financial and economic
sustainability the City's top priority over the past several years; and
WHEREAS, many efforts have been made to better project the City's financial picture,
control costs, and explore revenue opportunities; and
WHEREAS, as part of the annual budget planning process, the City developed a ten-year
financial forecast in 2015; and
WHEREAS, since that time, in February each year staff updates that forecast as the City
begins the budget development cycle for the upcoming fiscal year, and the forecast includes
developing assumptions for the City's revenues and expenditures with the goal of identifying
expenditure limitations for the forthcoming budget year and future years; and
WHEREAS, prior to the COVID-19 pandemic, the City has taken action to control its
costs, including adopting measures with extensive expenditure impacts, examples including:
1. From FY 2009/10 to FY 2018/19 staff reductions of 2.5 Full Time Equivalents (FTEs);
2. Eliminated Deputy City Manager Position (FY 2017/18) — savings of $120,000
annually;
3 Eliminated Capital Projects Manager/Senior Engineer position in Public Works;
4. Harbor Department, through restructuring, eliminated a position and reduced a position
from full-time to part-time;
5. Reorganized the Utility Division in Public Works, reducing FTE count from 18 to 16;
6. Recreation Services Office Assistant reduced to a part-time position;
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7. Outsourced Dispatch service (FY 2014/15) reducing accrual of long-term pension and
compensated absences balances;
8. Contracted City Attorney services reducing accrual of long -tent pension and
compensated absences balances;
9 Layoffs and reductions in workforce due to economic downturn (FY 2010/11);
10 Early payoff of City's Fire Safety Classic Formula pension side fund (FY 2017/18 —
saving $10,000 and reducing future expenditures by $163,000);
11. Lump Sum payment of unfunded accrued liability in July (FY 2018/19 and 2019/20) —
total interest savings of $139,908;
12. Negotiated Pension participation, i.e. cost sharing, with City's Police Officers
Association (FY 2018/19);
13. Negotiated labor agreements that included revenue targets to obtain cost of living
allowances (FY 2017/18 — FY 2019/20);
14. Payoff of Pension Tier II and Tier III unfunded accrued liability — interest savings of
$160,000;
15. Partnership Policy implementation, which matches community groups and the City to
provide services to the community at lower costs; and
WHEREAS, prior to the COVID-19 pandemic, the City has taken action to control its
costs, including adopting measures with extensive revenues impacts, examples including:
1. A comprehensive fee study update to deteituine actual cost to provide services and
associated fees to recover those costs;
2. Peunitted two medical cannabis shops to open in summer/fall2020;
3. Partnered with Chamber of Commerce to provide economic development stewardship
and ombudsman services to assist with enhancing the City's economic development
efforts;
4. In the process of implementing new RV camping;
5. Exploring paid parking; and
WHEREAS, the City's already challenging financial situation took on an entirely new
depth in the wake of the COVID-19 pandemic and resulting shelter at home orders; and
WHEREAS, the adopted FY 2020/21 Budget was developed under the umbrella of the
City's Economic and Financial Recovery Plan entitled "Rock Solid Together," in which the
Council's identified goals are balanced against the economic realities associated with the COVID-
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19 pandemic, and it begins to position the City for what will likely be the nation's first recession
since 2008; and
WHEREAS, the health and well-being of our residents remains our utmost concern and
residents can rest assured, the City is taking all necessary action to maintain essential City services
and provide resources to our most vulnerable residents; and
WHEREAS, on April 28, 2020, the City Council convened a special meeting to discuss
the City's economic and financial recovery plan referred to as "Rock Solid Together"; and
WHEREAS, with budget deficit projections ranging between $4M to $5M or nearly a 27%
to 34% loss of overall General Fund revenues, the City customized a comprehensive approach to
stem the financial fallout from COVID-19 and begin the long road to fiscal health; and
WHEREAS, "Rock Solid Together" is built on the foundation that the City wishes to retain
local control over core, essential government services and work towards being locally self-
sufficient in the event of a future catastrophic emergency rather than awaiting aid that may never
come from the state or federal governments; and
WHEREAS, with this foundation, Rock Solid Together is comprehensive and attempts to
assist the local business community where feasible and administer fiscal first aide to City finances
in light of the significant economic wound inflicted by the pandemic; and
WHEREAS, to offset this deficit and present a balanced budget for Council consideration,
staff defunded contributions to the City s internal service funds (to later be supplanted with new
revenues expected to be derived from cannabis tax revenue per Resolution 19-19); and
WHEREAS, in addition, significant reductions to salary and benefits were made, mostly
due to defunding of vacant positions and staff layoffs (8 full-time employees and 70 part-time
employees); and
WHEREAS, these measures, combined with salary concessions from most employees,
will save the City over $1.4 million (net of the Ca1PERS Tier II and Tier III UAL payoffs and
lump sum payments to employees) for FY 2020/21; and
WHEREAS, in addition, staff has significantly reduced non -personnel operating
expenditures by over $600,000; and
WHEREAS, the budget was prepared with a concentrated focus on maintaining front line
services where possible, with reduced staffing and expenditures. However there will be service
impacts related to these cuts, from response to processing times being delayed and ability to
complete any discretionary street, trees and sidewalk work; and
WHEREAS, the remainder of the budget was balanced through the use of General Fund
emergency reserves The City is not in a position to use the reserves beyond FY 2020/21, as they
are projected to be largely depleted by the end of this fiscal year; and
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WHEREAS, despite these efforts, the City cannot sustain its current service levels for
public safety and other priority services without consideration of additional revenue; and
WHEREAS, the City must ensure that we are prepared for any medical or catastrophic
emergency including preparing our local Police and Fire Departments by preventing service
reductions, updating emergency communication systems and maintaining rapid 911 emergency
response times; and
WHEREAS, Morro Bay has its own locally controlled Police and Fire Departments and
the City strives to maintain these local Police and Fire Departments rather than contract these
public safety services with outside agencies and
WHEREAS, an additional source of locally controlled revenue is needed to maintain City
services and no money should be taken by Sacramento; and
WHEREAS, nearly 70% of calls to the Morro Bay Fire Department are related to
emergency rescue and medical emergencies and the pandemic only shows the need to be prepared
for any medical crisis and
WHEREAS, the City must continue to prevent significant reduction to service of the local
Morro Bay Fire Department so skilled, local firefighter -paramedics can continue to respond to
emergencies; and
WHEREAS, protecting Morro Bay's character and keeping streets and the waterfront safe
and clean and preserving open space will also protect local property values; and
WHEREAS, the City of Morro Bay currently has a general transactions and use tax
(commonly known as a "sales tax') pursuant to the provisions of Part 1 6 of Division 2 of the
Revenue and Taxation Code (commencing with Section 7251) and Chapter 2.3 of Part 1.7 of
Division 2 of the Revenue and Taxation Code (commencing with Section 7285.9) with a rate of
one half of one percent (0.5%), as established in Chapter 3.22 of the Morro Bay Municipal Code
("Sales Tax"); and
WHEREAS, on July 14, 2020, the City Council of the City of Morro Bay adopted
Resolution No. 69-20, submitting the Morro Bay General Transactions and Use Tax Measure
(` Sales Tax Measure") to the voters at the General Municipal Election to be held in the City of
Morro Bay on November 3, 2020 ( `General Municipal Election"), which, if approved, would
increase the City s Sales Tax rate to 1.5%; and
WHEREAS, as part of Resolution No. 69-20, on July 14, 2020, the City Council also
approved this Ordinance pursuant to Revenue & Taxation Code Section 7285.9, subject to the
City voters' approval; and
WHEREAS, the General Municipal Election was also a regularly scheduled general
election for members of the Morro Bay City Council; and
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WHEREAS, Article XIIIC, Section 2, of the California Constitution requires that an
increase in a general tax must be submitted to the electorate and approved by a majority vote of
the electorate; and
WHEREAS, Article XIIIC, Section 2, of the California Constitution requires that the
election at which a general tax increase is submitted to the electorate 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.
NOW THEREFORE, ON THE BASIS OF THE FORGOING, THE PEOPLE OF
THE CITY OF MORRO BAY, AT THE NOVEMBER 3, 2020, GENERAL MUNICIPAL
ELECTION, DO HEREBY ORDAIN AS FOLLOWS:
Section 1. Adoption of Chapter 3.26. Chapter 3.26 of the Morro Bay Municipal Code,
attached hereto as Exhibit A, is hereby adopted.
Section 2. Repeal of Chapter 3.22. Chapter 3.22 of the Morro Bay Municipal Code is
hereby repealed, effective on the Operative Date of Chapter 3.26 of the Morro Bay Municipal
Code, as defined in Section 3.26.020 of the Morro Bay Municipal Code.
Section 3. Environmental Review. The adoption of this Ordinance is not a "project"
subject to the requirements of the California Environmental Quality Act (CEQA) (Public
Resources Code Section § 21000 et seq) CEQA Guideline 15378(b)(4) provides that the creation
of government funding mechanisms or other government fiscal activities that do not involve any
commitment to a specific project that may result in a potentially significant physical impact on the
environment are not projects subject to the requirements of CEQA.
Section 4. Severability If any section, subsection, sentence, clause or phrase of this
Ordinance or the application thereof to any person or circumstance is for any reason held to be
invalid, such decision shall not affect the validity of the remaining portions of this ordinance. The
People of the City of Morro Bay hereby declared that they would have passed each subsection,
subdivision, paragraph, sentence, clause, or phrase thereof, irrespective of the fact that any one or
more subsection, subdivision, paragraph, sentence, clause, or phrase be declared unconstitutional.
Section 5 Appropriations Limit. Pursuant to Article XIIIB of the California
Constitution, the appropriations limit for the City of Morro Bay is increased to the maximum extent
over the maximum period of time allowed under the law consistent with the revenues generated
by this tax.
Section 6. City Council Authority to Amend. This is a city council sponsored initiative
Ordinance which otherwise would only be subject to amendment by the voters of the City of Morro
Bay. However, pursuant to Section 9217 of the California Elections Code, the city council
expressly reserves the right and authority to amend the Ordinance to further the purposes and intent
of the Ordinance (including but not limited to amendment for more efficient administration as
detenuined by the city council) in any manner that does not increase a tax rate, or otherwise
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constitute a tax increase for which voter approval is required by Article XIII C of the California
Constitution.
Section 7. Date of Adoption; Effective Date. Pursuant to Election Code Section 9217,
this Ordinance shall be considered as adopted on the date that the City Council declares that the
voters of the City of Morro Bay have approved the Ordinance by a vote of no less than a majority
of the votes cast by the electors voting on the Sales Tax Measure at the General Municipal Election
held on Tuesday, November 3, 2020, and shall go into effect ten (10) days thereafter.
Section 8. Execution. The Mayor of the City of Morro Bay is hereby authorized and
ordered to attest to the adoption of the Ordinance by the voters of the City of Morro Bay by signing
where indicated below.
INTRODUCED at this regular meeting of the City Council held on the 14th day of July
2020, by motion of Council Member Davis and seconded by Council Member McPherson.
I hereby certify that the foregoing Ordinance was PASSED, APPROVED and
ADOPTED by the People of the City of Morro Bay, California voting on the 3rd day of November,
2020.
PASSED AND ADOPTED by the City Council of the City of Morro Bay, California, on
December 8, 2020 by the following vote:
AYES: Headding, Addis, Davis, Heller, McPherson
NOES: None
ABSENT: None
ATTEST:
tortSON)
A SWANSON
City Clerk
APPROVED AS TO FORM:
rOg
CHRIS F. NEUMEYElY/
City Attorney
JO
Mayor
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STATE OF CALIFORNIA )
COUNTY OF SAN LUIS OBISPO )
CITY OF MORRO BAY )
I, Dana Swanson, CITY CLERK OF THE CITY OF MORRO BAY, DO HEREBY
CERTIFY that the foregoing Ordinance Number 635 was duly adopted by the City Council of the
City of Morro Bay at a regular meeting of said Council on the 8th day of December 2020, and that
it was so adopted by the following vote:
AYES: Headding, Addis, Davis, Heller, McPherson
NOES: None
ABSENT: None
AB STAIN: None
IN WITNESS WHEREOF I have hereunto set my hand and affixed the official seal of the
City of Morro Bay, California, this etay of 1ct, , 2D2e .
DANA SWANSON, City Clerk
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EXHIBIT A
Chapter 3.26 — Transactions and Use Tax
3.26.010 — Title.
This chapter shall be known as the Transactions and Use Tax Ordinance. The City of
Morro Bay hereinafter shall be called "City." This chapter shall be applicable in the incorporated
territory of the City.
3.26.020 — Operative date.
"Operative Date" means the first day of the first calendar quarter commencing more than
110 days after the adoption of the ordinance codified in this chapter, unless modified pursuant to
Section 3 26.040.
3.26.030 — Purpose.
This chapter is intended to achieve the following purposes, among others, and the
provisions hereof shall be interpreted in order to accomplish such 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 7285.9 of Part 1.7 of Division 2 which authorizes the City to adopt a tax ordinance which
shall be operative if a majority 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 therefore that can be administered and collected by the California Department of Tax
and Fee Administration 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
California Department of Tax and Fee Administration 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 chapter.
3.26.040 — Contract with state.
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Prior to the Operative Date, the City shall contract with the California Department of Tax
and Fee Administration to perform all functions incident to the administration and operation of
this transactions and use tax ordinance; provided, that if the City shall not have contracted with
the California Department of Tax and Fee Administration 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.
3.26.050 — Transactions tax rate.
For the privilege of selling tangible personal property at retail, a tax is hereby imposed
upon all retailers in the incorporated territory of the City at the rate of 1.5% of the gross receipts
of any retailer from the sale of all tangible personal property sold at retail in said territory on and
after the Operative Date.
3.26.060 — Place of sale.
For the purposes of this chapter, 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 the place to which delivery is made In the event a retailer
has no permanent place 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 California Department of Tax and Fee Administration.
3.26.070 — Use tax rate.
An excise tax is hereby imposed on thestorage, use or other consumption in the City of
tangible personal property purchased from any retailer on and after the Operative Date for storage,
use or other consumption in said territory at the rate of 1.5% of the sales price of the property. 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.
3.26.080 — 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.
3.26.090 — Limitations of 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:
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A. Wherever the State of California is named or referred to as the taxing agency, the
City of Morro Bay 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 Treasury, or the Constitution of the State of California,
2. When the result of that substitution would require action to be taken by or
against this City or any agency, officer, or employee thereof rather than by or against the California
Department of Tax and Fee Administration, in performing the functions incident to the
administration or operation of this chapter.
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 "City' shall be substituted for the word "State" in the phrase "retailer
engaged in business in this State" in Section 6203 and in the definition of that phrase in Section
6203.
1. "A retailer engaged in business in the City" shall also include any retailer
that, in the preceding calendar year or the current calendar year has total combined sales of
tangible personal property in this state or for delivery in the State by the retailer and all persons
related to the retailer that exceeds five hundred thousand dollars ($500,000). For purposes of this
section, a person is related to another person if both persons are related to each other pursuant to
Section 267(b) of Title 26 of the United States Code and the regulations thereunder.
3.26.100 — Peiiuit not required.
If a seller's pelf lit 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 chapter.
3.26.110 — Exemptions and exclusions.
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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 -Bums 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 City which is shipped to a point
outside the City, 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 City 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 -City 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 -City 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 pnor to the Operative Date.
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.
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 chapter, the storage, use, or
other consumption in this City of tangible personal property:
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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.
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 of the State of California.
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.
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.
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
City 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 City or participates within the City 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 City or through any representative, agent,
canvasser, solicitor, subsidiary, or person in the City under the authority of the retailer.
7. "A retailer engaged in business in the City ' 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 comphance 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 City.
D. Any person subject to use tax under this chapter may credit against that tax any
transactions tax or reimbursement for transactions tax paid to a district 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.
3.26.120 — Citizens oversite committee.
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A. Citizens Oversight Committee Established. There shall be a permanent citizens'
advisory committee called the ' citizens oversight committee" (hereinafter ' committee"), which
shall semi-annually review revenues and expenditures from the collection of the tax imposed by
this chapter.
B. Committee Membership The committee shall have seven citizen -members appointed
by the city council for staggered four-year terms. Appointees shall be residents of the city
however no member of the committee shall be an elected official Each unanticipated vacancy
shall be filled only for the duration of the unexpired term for that vacancy.
C. Committee Organization Procedures. The committee shall select one of its members
as chairperson. The committee shall follow the rules of procedure of the city unless and until, upon
the report and recommendation from the committee, the city council adopts a specific set of
procedural rules for the committee.
D. Regular Meeting; Provision of Support Services and Information. The committee
shall be subject to the provisions of the Brown Act (California Government Code Sections 54950
et seq.) and shall meet at least once each calendar year. A regular meeting schedule shall be
determined in accordance with the Brown Act and thereafter meetings shall be noticed by the city
clerk. The city manager or his/her designee shall serve as executive staff to the committee. In
addition to receiving materials directly related to the functioning of the committee, the committee
members shall also receive all agenda material and other primary staff reports (other than those
which are confidential) as are provided to the city council.
E Semi -Annual Report. The committee shall review a semi-annual expense report of
the city relative to activities funded with the additional general purpose local sales tax monies. Not
later than the last day of the sixth month following the end of the each city fiscal year, the
committee will present its findings and conclusions to the city council for its review.
3.26.130 — State Law Amendments.
All amendments subsequent to the effective date of the ordinance first adopting this chapter
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 chapter, provided however, that no such amendment shall
operate so as to affect the rate of tax imposed by this chapter.
3.26.135 — City Amendments.
The city council has the right and authority to amend this chapter, to further its purposes
and intent (including but not limited to amendment for more efficient administration as determined
by the city council), in any manner that does not increase a tax rate, or otherwise constitute a tax
increase for which voter approval is required by Article XIII C of the California Constitution,
pursuant to Section 9217 of the California Elections Code.
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3.26.140 — 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 City or against any officer of the State
or the City, to prevent or enjoin the collection under this chapter, 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.
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