1,413 / 40.5% Yes votes ...... 2,078 / 59.5% No votes

See Also: Index of all Measures

• Would extend the life of the City's Utility Users Tax at its current rate of 6% by an additional ten (10) years (Tax would expire on March 16, 2019).

• Would extensively update the Ordinance's terms with respect to "telecommunications services" that are subject to the Utility Users Tax in the following ways:

  1. Provides a modern, functional definition of "telecommunications services" that is technology-neutral, and includes the use of Internet protocol (VoIP), broadband service and private networks for providing such services;

  2. Incorporates definitions of "ancillary telecommunication services" that are commonly recognized by the industry as being part of "telecommunication services";

  3. Anticipates the possibility of new technologies and services to provide telecommunication services, or changes in Federal law so that all taxpayers will be treated the same;

  4. Anticipates the likelihood that other cities in California will modernize their utility users tax ordinances, and allows for a state-wide mechanism that will facilitate uniform interpretations and administration; and

  5. Incorporates other administrative tools for addressing telecommunication taxation issues including administrative rulings and sourcing, bundling and nexus guidelines.

• Would provide for annual verification that the Utility Users Tax has been properly collected and that all revenues have been properly expended through the use of third party auditors.

The Utility Users Tax is a general tax. All revenue generated by the Tax would go to the City's General Fund to provide essential government services including, but not limited to: police, fire and paramedic, street maintenance, services for senior citizens, library, and parks and recreation.

This measure must be approved by a majority of the voters.

City of Covina

City Profile

Covina has an ongoing General Fund budget deficit due to ever-rising costs. In the past, the City was only able to balance its budget by reducing services, attrition, eliminating positions and programs, putting off infrastructure maintenance, and strict cost controls.

To avoid further cuts, in 1999 Covina Voters approved a ten year Utility Users Tax (UUT). The UUT generates about 20% of the General Fund ($5.5 million dollars). Without the UUT, Covina will lose at least $5.5 million of General Fund revenue, which funds POLICE, FIRE, PARAMEDICS, LIBRARY, STREET MAINTENANCE and other necessary city services. Current levels of these essential services and the very quality of life we enjoy in Covina cannot be maintained without the UUT.

YES ON MEASURE A WILL EXTEND COVINA'S UTILITY USERS TAX WITHOUT INCREASING THE TAX RATE. 100% OF MEASURE A FUNDS STAY IN COVINA AND MUST BE USED TO MAINTAIN LOCAL CITY SERVICES, PROTECT OUR SAFETY AND PRESERVE OUR QUALITY OF LIFE.

Measure A funding will help:

• Protect public safety and keep streets safe;

• Maintain police services and equipment, fire protection, and paramedic services;

• Maintain/repair local streets, graffiti removal and code enforcement;

• Maintain services for senior citizens and children, libraries, parks and recreation

• Protect Covina against cuts that would lower our quality of life

Take a positive step to protect your safe, high quality Covina community.

Please VOTE YES on Measure A.

Meline Juarez, Mayor of Covina
Jack Fielding, Covina City Treasurer
Scott Pierson, Policeman/lifelong resident
Fred Feldhheim, City of Covina Volunteer
Victoria P. Stapleton, Covina Chamber Chair

• expand the types of items that can be taxed, such as the Internet and subscription TV
• let the City change the tax at any time without voter approval

The City will say whatever it thinks will get votes for the tax. The argument for the tax claims that Covina has deficits despite the fact that its official yearly financial audits show the opposite, it really has surpluses.

Utility tax revenues are spent the same way as other funds, not kept in Covina. State law already requires yearly financial audits.

The revised tax contains no promises that revenues will be spent for any specific purpose. They can be spent however the City wants.

City revenues and reserves are at record levels. The tax is no longer needed; the City just wants more money.

The City has proven it cannot be trusted. Measure A is another taxpayer trap.

For further information, please contact Stephen.Millard@worldnet.att.net

Citizens for Responsible Government
Stephen Millard, Concerned Resident/Senior
Christian Christiansen, Former Mayor, City of Covina
Richard Gratton, Retired CPA

The utility tax was created as a temporary measure, until an alternative revenue source could be found, to offset the losses caused by State takeaways and unfunded mandates.

• Those losses were eliminated by Proposition lA (Protect Local Taxpayers and Vital Local Services); approved in November 2004 and effective 1 July 2006.
• The City states those losses exceeded $4 million yearly. That additional money will now remain with the City each year.
• The City has been experiencing surpluses of revenues to expenses of about $3 million per year.

Also,

• The City's latest official audited yearly financial report states that the City has $49.4 million in funds that are available for "spending at the City's discretion."

• The City to modify any part of the Ordinance, except the 6% rate and the sunset date, without a vote of the people.
• Eliminating the low-income exemption for seniors and others
• Taxing the Internet, subscription TV, radio, cell phones, and many other telecommunications services.
• The changes to become effective 6 March 2007

Please VOTE NO ON MEASURE A

Citizens for Responsible Government
Stephen Millard, Concerned Resident/Senior
Christian Christiansen, Former Mayor, City of Covina
Richard Gratton, Retired CPA

Here are the FACTS:

• THE CITY'S GENERAL FUND OPERATING DEFICIT IS REAL. Without the UUT, Covina will lose at least $5.5 million annually--nearly 20% of General Fund revenues, forcing severe cuts.

• The UUT helps fund POLICE, FIRE, PARAMEDICS, LIBRARY, STREET MAINTENANCE and other necessary city services. Measure A only seeks to MAINTAIN, not expand what exists today.

• Measure A WON'T raise your tax rate. It simply updates and extends by only 10 years the existing UUT voters authorized in 1999. This tax cannot be raised without a vote of the people.

• To ensure Measure A won't burden those living on a fixed income, low income residents will continue to be eligible for a full exemption.

• ALL MEASURE A FUNDS WILL STAY IN COVINA to protect and maintain essential city services that make Covina a quality community.

VOTE YES on A.

Meline Juarez, Mayor of Covina
Jack Fielding, Covina City Treasurer
Scott Pierson, Policeman/lifelong resident
Fred Feldheim, City of Covina Volunteer
Victoria P. Stapleton, Covina Chamber Chair