4146 / 57.51% Yes votes ...... 3063 / 42.49% No votes

See Also: Index of all Measures

Numerous exemptions to the tax are expressly provided upon adequate proof to the Tax Administrator. First, persons who receive Low Income Rate Assistance ("LIRA") from a gas or electrical corporation would be exempt from the tax on gas or electrical utility usage. Second, persons who receive "Universal Lifeline Service" from a telephone corporation would be exempt from paying the tax on basic telephone services. In addition, the City Council may, by ordinance or resolution, exempt additional classes of persons or utilities. Finally, the tax would not be levied against persons or entities exempt by law including local government agencies, public schools and Humboldt State University.

The tax would be computed on the basis of monthly usage and service charges, and would be collected by the service provider. For each type of utility service taxed, taxation would be limited to a maximum of $1,000.00 per fiscal year, upon adequate proof to the Tax Administrator that taxes will reach or exceed the $1,000.00 maximum year for a particular utility.

The utility users tax is a general tax and all revenue generated by the tax would go to the City's general fund to fund essential governmental services including, but not limited to, police, public works, parks and recreation and other essential government services provided by the City. It is estimated that the tax will generate approximately $500,000.00 of the City's general fund budget of $5,282,860.00 dollars for fiscal year 2000-2001.

The tax as proposed in Measure P is identical to the present utility users tax, adopted by the voters in 1996, which expires on November 30,
2000. Voter approval of this Measure would adopt a new utility users tax as described above, effective December 1, 2000. The new utility users tax would then terminate automatically on November 30, 2004, four years after its adoption. This Measure must be approved by a majority of the voters.

The above statement is an impartial analysis of Measure P. If you desire a copy of the full utility users tax resolution, please call the City Clerk's office at 822-5953 and a copy will be mailed at no cost to you.

In 1996 Arcata's citizens approved the current Utility Users Tax which expires in November of 2000. Now the City Council is asking the community to vote "yes" and continue this tax for another four years.

The money generated from this tax amounts to about $490,000 representing approximately 10% of the City's general fund. When you consider whether or not the funds generated by the Utility Users Tax are important, consider the services it pays for:

• Enhanced police protection through DARE, Juvenile Diversion, Intensive Drug investigations and community policing with a downtown foot and bike patrol;
• the Recreation Department's educational, youth and adult sports programs;
• our neighborhood parks, the ball park, the sports complex, and Redwood Park;
• safer streets by providing street sweeping, maintaining street lights and performing street repairs;
• economic development consistent with our small town values by helping to fund the Chamber of Commerce, the Main Street program and the Humboldt County Convention and Visitor's bureau.

Join us in voting "yes" on the Utility Users Tax: approve four more years of essential community services.
s/Connie Stewart
Mayor
s/Bob Ornelas
Council Member
s/Robert Noble
Council Member
s/Jim Test
Council Member
s/Jennifer Hanan
Vice-Mayor