Measure D: Transaction and Use Tax

This is an archive of a past election.
See http://www.smartvoter.org/ca/hm/ for current information.

League of Women Voters of California Education Fund

Humboldt County, CA

November 4, 2008 Election

Measure D
Transaction and Use Tax
City of Eureka
Majority Approval Required

Pass: 4652 / 56.31% Yes votes ...... 3610 / 43.69% No votes

See Also: Index of all Measures

Results as of Nov 5 12:44am, 100.0% of Precincts Reporting (24/24)
60.6% Voter Turnout (8262/14725)

Information shown below: Impartial Analysis | Arguments |

Shall the Eureka Municipal Code be amended to add a one quarter of one percent (0.25%) transaction and use tax to fund essential services such as police, fire, street maintenance, environmental programs, and parks and recreation? Should the tax be approved by voters the existing three percent (3%) utility user tax would be repealed.

Impartial Analysis from the City Attorney
This ballot measure, if adopted by the voters, would enact a one-quarter of one percent (1/4%) increase to the sales tax rate in the City of Eureka This ballot measure, if adopted by the voters, would at the same time repeal the existing three percent (3%) Utility Users Tax. The Utility Users Tax of 3% is currently imposed on all telecommunications, electricity and gas use in the City of Eureka. Unless repealed by this measure, or acted upon by the voters at a later date, the Utility Users Tax is currently set to expire on June 30, 2011. The current sales tax (also referred to as a "Transactions and Use Tax.") rate in the City of Eureka is seven and one-quarter percent (7.25%). If this ballot measure is adopted the Eureka sales tax rate would increase to seven and one-half percent (7-1/2%), increasing the cost of retail sales subject to the tax, for example, by two and one-half (2-1/2) cents for every $10 of eligible sales consummated. The proposed increased Eureka sales tax, like the current Eureka sales tax, would be imposed upon the sale of all tangible personal property sold at retail within the jurisdictional limits of Eureka as well as upon the storage, use or other consumption of tangible personal property purchased from any retailer in the jurisdictional limits of Eureka. All revenue generated from the proposed sales tax increase would be deposited into the City's General Fund and, accordingly, all monies collected pursuant to the sales tax increase would be used by the City to pay for general City operations and programs including police, fire, street maintenance, environmental programs, parks and recreation, and zoo operations. As such, this ballot measure proposes a "general purpose tax," rather than a "special purpose tax," and requires a simple majority vote for adoption. A yes vote would increase the sales tax rate in the City of Eureka from 7.25% to 7.5% and concurrently repeal the 3% Utility Users Tax. A no vote would leave the sales tax rate in the City of Eureka at 7.25% and leave the 3% Utility Users Tax in place until it expires or is otherwise acted upon by the voters.
s/ Sheryl Schaffner, City Attorney

This election is archived. Any links to sources outside of Smart Voter may no longer be active. No further links will be added to this page.

Links to sources outside of Smart Voter are provided for information only and do not imply endorsement.

Arguments For Measure D

For the past decade the City of Eureka ("City") has experienced declining revenues due to the increasing loss of local resources to financially "bailout" the State of California. The State Legislature fails to recognize that the monies spent at the local level have the greatest impact upon citizens.
Due in large part to address the State fiscal "bailout" and to protect funding for critical police and fire services, the City has raised fees, deferred maintenance, depleted reserves, reduced funding to streets and roads, environmental programs, parks and recreation, and community facility budgets.
Measure "D" has broad community support because:
The City's Finance Advisory Committee has reviewed the City's budget and has recommended the Transaction and Use Tax with the repeal of the Utility Users' Tax.
A "Yes" vote will result in the repeal of the current Utility User Tax, which may result in a tax decrease for Eureka citizens.
It spreads the tax burden across a broad spectrum of people, including tourist and visitors.
The added revenue will assist in the most critical areas of need including police and fire, Eureka streets and roads, environmental programs, parks and recreation, and capital improvements.
These new revenues will remain with the City and not taken by the State.
The tax impact is only 25 cents for every $100 spent on taxable retail items.
The City of Eureka is a wonderful living environment, but the ability of your City government to provide much needed public services and improvements to public facilities is being threatened. Help us to help you. Please, VOTE "YES" on Measure D, and support your City in its efforts to deliver to you the most essential public services.
s/ Councilmember Jeff Leonard
s/ Councilmember Larry Glass
s/ Councilmember Mike Jones
s/ Councilmember Polly Endert

(No arguments against Measure D were submitted)

Humboldt Home Page || Statewide Links || About Smart Voter || Feedback

Created: January 24, 2009 10:33 PST
Smart Voter <http://www.smartvoter.org/>
Copyright © League of Women Voters of California Education Fund http://www.lwvc.org
The League of Women Voters neither supports nor opposes candidates for public office or political parties.