HomeMy WebLinkAboutAs recommended by the Intergovernmental Relations Committee�8
Dept ID ad 15-23 Page 1 of 2
Meeting Date 7/6/2015
711gv,jove-b -7—v
CITY OF HUNTINGTON BEACH
REQUEST FOR CITY COUNCIL ACTION
MEETING DATE: 7/6/2015
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Fred A Wilson, City Manager
PREPARED BY: Teri Baker, Assistant to the City Manager
SUBJECT: As recommended by the Intergovernmental Relations Committee on June 17,
2015, Adopt Resolution No 2015-31 reaffirming support for Proposition 13 and
the benefit that it provides to individual homeowners, renters, local governments,
and to the State's overall economv
Statement of Issue
At the June 17, 2015, Intergovernmental Relations Committee meeting, the Committee
recommended a resolution reaffirming support of Proposition 13 Proposition 13 was approved by
the voters in 1978 to reduce property tax rates on homes, businesses, and farms and cap the rate
of increase in the future
Financial Impact
None
Recommended Action
Adopt Resolution No 2015-31, "A Resolution of the City Council of the City of Huntington Beach
reaffirming support for Proposition 13 and the benefit that it provides to individual homeowners,
renters, local governments, and to the state's overall economy "
Alternative Action(s)
Do not approve the recommended actions and direct staff accordingly
Analysis
In the late 1970's, the Howard Jarvis Taxpayers Association brought forward an initiative known as
the "Jarvis -Gann Initiative" or "Proposition 13 " Proposition 13 reduced property tax rates on
homes, businesses and farms, and capped the rate of increase in the future Proposition was
approved by the voters in 1978 Prior to the adoption of Proposition 13, there were assessment
disparities in determining property tax rates Under Proposition 13, assessments are based on an
acquisition -value system, which provides a measure of certainty with respect to property taxes
Under Proposition 13 all locally assessed properties are subject to the same rules regarding the
maximum assessed value and maximum tax rates
In an effort to thwart attempts to impose higher taxes through so-called "split -roll" proposals that
would create higher property taxes for certain businesses, the Howard Jarvis Taxpayers
Association is asking Cities, Counties, and other impacted agencies to reaffirm support of
Proposition 13 by adopting the attached resolution
Item 13. - 1 HB -490-
Dept ID ad 15-23 Page 2 of 2
Meeting Date 7/6/2015
At the June 17, 2015, Intergovernmental Relations Committee meeting, with Mayor Hardy and
Mayor Pro Tern Katapodis present, the Committee recommended that the City Council approve a
resolution reaffirming support of Proposition 13 Several other agencies have passed resolutions
including Anaheim, Bakersfield, Fountain Valley, Fullerton, Irvine, Glendora, Laguna Niguel, La
Mesa, Los Alamitos, Mission Viejo, Oakley, Rancho Santa Margarita, San Juan Capistrano, Villa
Park, and the County of Orange
The City Council is prohibited from taking official stances in support or opposition to ballot
measures However, since Proposition 13 is already law, having been enacted as a Constitutional
amendment in 1978, the City Council is not prohibited from supporting its continued protections to
property taxpayers
Environmental Status
None
Strategic Plan Goal
Improve quality of life
Attachment(s)
Resolution No 2015-31, "A Resolution of the City Council of the City of Huntington Beach
reaffirming support for Proposition 13 and the benefit that it provides to individual homeowners,
renters, local governments and to the state's overall economy "
xB -491- Item 13. - 2
RESOLUTION NO 2015-31
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF HUNTINGTON BEACH REAFFIRMING SUPPORT
OF PROPOSITION 13
WHEREAS, on ,Tune 6, 1978, Proposition 13, officially titled the "People's Initiative to
Limit Property Taxation," and popularly known as the "Jarvis -Gann Initiative," was
overwhelmingly approved by California's voters, reducing property tax sates on homes,
businesses and farms, and capping the rate of increase in the future, and
Prior to the adoption of Proposition 13, inflation in California increased property tax bills
so high that many families could not afford to pay their property taxes, and
Prior to the adoption of Proposition 13, there were wide divergences in piopeity taxes, in
part because the valuation system was somewhat subjective, and
With the approval of Proposition 13, real property values were adjusted to a base value
equal to the 1976 assessed value of that seal property, thereby introducing an objective standard
upon which real property would be taxed and ending the previous subjective standard, and
With the passage of Proposition 13, taxpayers were provided a new measure of certainty
with respect to their property taxes, and
Following the passage of Proposition 13, ienteis also benefitted as the seduction in taxes
reduced upward pressure on rents; and
Proposition 13 has tendered California's property taxes as a stable and predictable source
of public revenue, even during economic downturns, which has provided a major benefit to local
governments throughout California, and
Voters intended Proposition 13 to protect all property owners, and they had rejected
previous attempts to impose higher taxes on small businesses, knowing that these so-called "split
roll" proposals would inflect iirepaiable harm on California's economy, and
Pioposition 13 has become a nationwide example for citizens exercising control and
power over their govei nance,
NOW, THEREFORE, the City Council of the City of Huntington Beach does hereby
resolve as follows -
In recognition of the positive impact Proposition 13 has had on the State of California,
the City Council formally reaffirms its support for Proposition 13 and the benefit that it provides
to individual homeowners, Centers, local governments and to the state's overall economy
15-4802/122558 doc
Resolution 2015-31
PASSED AND ADOPTED by the City Council of the City of Huntington Beach at a
regular meeting thereof held on the 6 th day of JULY , 2015
Mayor
Attorney
ED AND ROVED
ssistant City Manager
15-4802/122558 doc 2
Res. No. 2015-31
STATE OF CALIFORNIA
COUNTY OF ORANGE ) ss:
CITY OF HUNTINGTON BEACH )
I, JOAN L FLYNN the duly elected, qualified City Clerk of the City of
Huntington Beach, and ex-officio Clerk of the City Council of said City, do hereby
certify that the whole number of members of the City Council of the City of
Huntington Beach is seven, that the foregoing resolution was passed and adopted
by the affirmative vote of at least a majority of all the members of said City Council
at a Regular meeting thereof held on July 6, 2015 by the following vote
AYES: Posey, O'Connell, Katapodis, Hardy, Sullivan, Delgleize, Peterson
NOES: None
ABSENT: None
ABSTAIN: None
fAJ
City rk and ex-officio Merk of the
City Council of the City of
Huntington Beach, California