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HomeMy WebLinkAboutStaff legislative active communications 1977 .... ram.. CA 77;{S2 61TY OF HUNTINGTON BEACH . COUNCIL. - ADMINISTRATOR COMMUNICATION 2 HUNT NGiQN NAM To Honorable Mayor and From Floyd G. Belsito City Council Members City Administrator ,,11 Subject LEGISLATIVE ITEMS Date April 12 , 1977 1) SUPPORT U.S.: Senate" Bi11 941 LJ brary Services & Construction Act is bill-ailen s the Librar � i Sesvi.ces and Construction TEY to add a new Title V which prov.`Ldes for a program of giants to large urban public libraries serving cities with a population of ovtr 100,000 perbons. The grants are to be used for the pur.hase of books and other library mate::ials. Mr. Walter Johnson, Library Director, supports this bill. 2) SUPPORT S heres of Influence Urbar. ServiCe Areas, { - (Smith) wctlld irect urban growt toward ,J existing urbanized areas and give cities the authority to plan for 1 and regulate urban development on the borders of cities . The bill ;+ is based on concepts deveinped by city officials working both within the League and with their respective counties. SB 467 revises the criteria by which LAFCO presently determines spheres of influence and requires each LAFCO to adopt w sphere, of inw°luence for each ioc!1 government which provides urban services within 3 years from the ! ' effective date of the. bill . After a sphere of influence ha: been adopted, the bill prohibits a city council or county board of supervisors from approving any development outside a sphere of influence which would require the construction, expansion or extension of specified urban services. These urban services are facilities for the supply, storage or dis- tribution of water foz non-agricultural purposes and Of streets, roads or highways which serve urban development. A city or county is authorized to designate by ordinance the categories of development which would be allowed in areas outside a sphere of influence. Development which is consistent with the ordinance is deemed to comply with the provisions of the bill . After a sphere of influence for a city has been adopted, the city may prepare and submit to the LAFCO a proposed urban service area. An urban service area is the territory within the city's sphere of influence which the city plans to annex and prnvide city services to within the next 5 years. it portion of the territory must be contiguous to the: city. Based upon criteria in the bill , the LAFCO is required to adopt an urban service area for each cjty or urban community which submits a proposal. Hien LAFCO ado ,ts an urban service area , it mist ; identify and male those area; which leave already becomes urbanized. Aft,.r � an urban service arc;a has been adopted, development within the sphere � of influence, but not within an urban service area , is restricted In the identical mantler 1.11 which development is re;:.tricted outsIdu a 1 1 f • `C r CA 77-5 2 sphere of influence. In addition, permits for residential. constiruction of one dwelling unit or more, residential cr commercial. construction of more than 5,000 squLre feet of floor space, or the division of'41and for-the construction of dwelling units may not be issued within t%n urban servic,; area until the property has been annexed to. the cit'Y. This r.qu:.rciadnt does not apply within those areas identified and mapped b�- LAYCO as already. urbanized. If a city fails to annex. the property ,roposed for development within 6 months after a petition for annsx. '.ion has bben submitted to it or after 5 years from the date of the-establishment ox the urban service area, whichever is less,. the, reyuirement that the land be annexed prior to the granting of .a building permit is not effective. LAFCOs are directed to review and update urban service areas each year. Ed Selich, Planning ,nirector, concurs with the League of Calif. Cities recommendation for support. 3) SUPPORT WITH MODIFICATION Trans ' ortiation. Ctiin rehensive:. Transportation Changes, Vroposed, (Ingalls is the most cam- prehensive transportation reform legislation w ich has been introduced in. the California Legislature in the past several years. AB 402 has five basic subject area provisions: 1. Consolidation of exisiting state boards and commissions in the transportation field into a California Transportation Commission. 2. Substantive revisions in the transportation planning laws enacted pursuant to AB 69 (1972) . 3. Abolition of the existing county and district minimum expenditure requirements governing state highway expenditures. 4. Implementation of a process for limited legislative budgeting of State Highway Account. 1 5. Increased truck weight fees with all of the new revenues going ':o the state. The League's Transportation Committee has recommended League support of this bill if various charges relative to the planning procedures, the composition of the Californi, Transportation Commission, and the guaranteeing of a substantial share of the increased truck weight fees for local government are included. Bill Lartge, Director of Public {storks, agrees w'.th this recommendation. 4) OPPOSE Local Government Relocation Assistance Liabilities ex anU-6-J. No to m ursement rove a (gicon) Existing law prnvidos that in order to receive re3 ocatTrn assistance, an owner must have owned and occupied the dwelling for 100 clays and that relocation assistance may not be paid to a person who has not occupied the dwelling; from which the person is being dispossessed at least 90 clays prior to the public entity' s acquisition of. the property. Under AA108_, both of those -periods could be reduced if a per.-,on can CA 17-52 "reasonably establish" that he bought or moved into the dwelling with the intention of making it his place of re.•sidence and not collect relocation assistance payments and that he did not know of thi, intended acquisition by the public entity. In effect, the bill propose`#;g� to abolish the present time cut-off periods for accrual. of relocation assistance and, instead, effectit;ely shifts the burden to the p�blic entity of refusing assistance in the cases of even the briefest f ownerships or tenancies. +. Ed Selich, Planning Director, concurs with the recommendation by League of Calif. Cities to oppose. r 5) OPPOSE AS WRITTEN Local Autho'iity for Raising Gasoline Td.x. AB 531 an - These bills would give authority for counties to increase the gaso l-sio tax. The present state gasoline tax is 7t per gallon and revenues are divided in approximately equal proportions between the state and local government. The state receives revenues equivalent to those derived from approximately-3.5t . � per gallon while the cities and counties sure the ievenues equivalent to those derived from approximately 3.4¢ pe: gallon. Arguments which favor an increase in gasoline taxes are based primarily o.. the. need to offset expenditures made in the transportation field from general fund sources. The gas tax is normally considered a .-User fee and it has not been increased since 1963. Thus cities are being required to finance more of their transportation system out of property tax , .� revenues rather than gasoline tax receipts. Most transportation + � financing experts feel that the gasoline tax should be increased to require the user to pay for more of the costs involved in our surface transportation system, but the Governor has indicated he; will not sign a statewide increase in gas tax. These two bills are an outgrowth of the Governor's policy. There are many. problems which need to be addressed before a county gasoline tax should be endorsed. The criteria to apportion funds to cities, the legal uses of the funds, and the possibility that county politics may enter into funding procedures all indicate a need for careful deliniation of these factors in the legislation. 1 6) SUPPORT LiabilityInsurance. Policz Cancellation or Renewal. P ion - AD 478 woulT requare an insurance company providingliability insurance to a county or city to give 90 days or more notice before cancelling or declining to renew an insurance ' police. The League will request that the bill be amended to also require a 90-day notice when an insurance company increases an insurance premium i by more thaia 25% of the previous year's premium. This notice requirement will give cities and counties more time to find insurance coverage when polic:les are cancelled or not renewed and more time to prepare for h:.gher payne;nts when premiums are substantially increased. The bill is supported by both the League and the County Supervisors Association. 7) OPPOSE Bill Threatens to Proem t Entire Field of RRe ,ul_ation of- Lan lor -Tonant Zel lat ons. Local Orr ni ancc3 T—nvalIaated. AB 933 (Papas) - As introduced, AD 933 would declare that tho regulation of "landlord-tenant relations" is u matter of statewide concern. Thus , it -attempts to proempt city efforts and programs on behalf of local tenants in areas ..uch as discriminatory CA 77-52 -4- Practices, lease breaches , rent control and many others. While AB 933 is sometimes described as the "anti-rent control bill of 1977," '.Et—, in fact, attacks city authoiicy in areas far broader than rent control. Certainly, it could invalidate city ordinances in areas thst have\oth- ing to , do with rent control. The League of California Cities recommends opposition. S) SUPPORT U.S. Senate Bill 406 Public Works Wages - enovic Existing law permits the body awarding any contract for public wor:c, in lieu. of specifying the rate of per diem wages for each type of worker in the call for bids, the bid specifications and the contract, to instead refer to copies thereof on file at its prin- cipal 'office. In such event the awarding body is required to annually ..publish in a newspaper of general circulation its determination of the prevailing rate of wages, and to post a copy at each job site. This bill would instead permit the awarding body, in such call for bids, bid specifications, and -contrac*, to include a statement that copies of the prevailing rate of per diem wages are on file at its principal office and would require the awarding body to lost a copy of its deter- mination of the prevailing rate of wages at each job site. The bill would delete the requirement that the awarding body publish its deter- mination of the prevailing rate of wages. Bill Hartge, Director of Public Works, recommends support of this ball. 9) SUPPORT Public Iro'ects Bids SB 751 - (Dills) Existing provisions of law relating to city government provide that when the expenditure for a public project exceeds $5,000, it shall be contracted for and le-t to the lowest responsible bidder otter notice. This bill would instead require such project to be contracted for and let to the lowest responsible bidder when such expenditure exceeds $10,000. Bill Hartge, Director of Public Works, recommends support of this bill. RECOMENDATIOIL Direct the City Administrator to send letters to the proper legislative officials expressing the City's position as stated above. Respectfully submitted, X-�,_� Ploy G. Belsito, City Administrator FGB/JC:do t H �! CITY OF HUN`TIN�GTO-ft 77,-as W COUNCIL-ADMINISTRATOR COMM NI ATION �n�. clTi� cavxcIL 192-2 M• . To Hnnorable Mayor and ' From F 'twiTrOL'URK Ci:,y Council Members City Administrator Subject LEGISLATIVE ITEMS Date March 28, 1977 1. SUPPORT •- WITH MODIFICATION "Vested Ri hit!! to Com lete� Subdivisi s. o inson The Planning Depart mint has reviewed Assembly BilM0 and recommends that the City Counci endorse this legislation, as the City has been laboring with vested rights since the publication of the Coastal Act of 1976. We would, however, caution that the Council endorsement carry with it a suggestion that the legislation be amended to insert the follow- ing wording into Line 6 following "approval": ". within the time period as enacted pursuant to Section 66452.6 . . ." . � a ed d far acceptance This wou�.d allow a developer to prose ahead ep ce of n final map within the valid time period of the approved tentative, j and would not bind a city to accepting final maps a number of years in the future if a developer has completed any of the condition of approval.. �I+�h Gil -� Z. DISCRETIONARY Business Inventor Tax Ex m tion. ar enter ttac a 1s SO 203 which was requested by the Ci'tyCouncil at the March 21, 1977 , meeting. Existing law exempts 50 percent of the assessed value of business: inventories from property taxation. This bill could annually increase this exemption until 1982 when 100 percent of the assessed value of business inventories would be exempt from taxation. Currently, local agencies are reimbursed by the State for property tax losses due to the 50 percent business inventory exemption. This bill would also annually reduce the amount of reimbursement until 1982 when it would be total;y eliminated. Seven bills have been introduced to phase out the business inventory tax at local government's expense. While Carpenter' s bill provides no compensation for local governments, AB 529 (Torres) provides that local government will be guaranteed growth in inventory tax revenue from local taxes and state reimbursement equal to the growth rate of the entire local property tax roil. To the extent that inventory tax revenues have experienced greater growth than tha entire local roll, many cities will experience a decline in property tax revenue growth from this source. The League of California Cities is opposing all seven measures primarily because they are not part of the: legislature' s comprehensive tax reform legislation. The League' s position is that all changes In municipL 1 finance ;proposed by they Legislature this year be considered tit the same time and within the same, legislation. orb �C � CA 77-48 LEGISLATIVE ITEMS -2- March 28, 1977 The. Council could take a general position that the City supgprts phasing out the inventory tax, but only as part of a compreA..: ve tax reform legislation that would not penalize cities. If the Council wishes to support a specific bill, AB 529 (Torres) is' re- ferable to SB 203 (Carpenter) . 3. OPPOSE Mandator Hearin Before Dismissal a ice Chiefs. 5B e . xty o SB SOS would severely restrict the a i f ity counca s and city managers to remove a police chief who is not performing up to the standards set by the elected officials within► the community. This bill provides for involvement by the State Legislature in a matter which should be strictly one of local concern. The measure provides that 1) the police chief may not be fired except for certain specified reasons , 2) 30-days notice must be given, 3) a hearing must be held if requested, and 4) findings of hearing committee are binding on all. parties. The bill also has an SB 90 disclaimer stating the state will not reimburse the %.ity for costs incurred under the act. The League of California Cities recommends opposition. 4, OPPOSE Com ensatinn for Illegal Zonin . W873- a n er existing law, an owner of real property who o tains judicial relief based on an invalid act or failure to act by a public entity is entitled to various remedies . The remedy for an illegal zoning is, for example, a reenactment of the zoning or another zoning. AB 873 would allow such an owner of real property to be awarded compensation for interim losses and litigation expenses under the principles of inverse con- demnation, and would subject local public entities to substantial new monetary liabilities from which they are presently immunized. The League of California Cities recommends opposition to this bill. S. SUPPORT Dedicated Prcperty Tax Override Allowed. (Lancaster) , which was approv`ea this week by the Senate (28-2)—a—n-a sent to-`the Assembly for con- currence in Senate amendments , authorizes (but does not require) local agencies to indicate on the ballot of a property tax override election the purpose and time period for which the tax revenues would be used. Such specified statutory authority noes not presently exist. The League of California Cities recommends :hat officials express their support to the Governor for All 29 bec�ruse the Governor vetoed a similar measure in 1974 . AD 29 was approved 70-0 by tho Assembly In February and urran,lmous Approval i5 cxpc.•ctcd In concurrence in Senate amendments. i NNW- ;0 CA 77-48 ; LEGISLATIVE ITEMS -3- March 28,*11977 RECOMMENDATION: a) Datermine position on inventory tax exemption legislation. b) Direct the City Administator to send letters to the proper legislative officials expressing the City's position as stated abov Respe tfully submitted, Floyd Belsito City ministrator FGB:JC:bb Attachment s � I fly 4 i i r'y JId ceiry 'Ian mipagihlomm B` 1EACH CA 7 7;.A 8 COUNCIL-ADMINISTRATOR COMMUNICATION ;r+ rMturGtOw�l�[n ;�`j ' Ltd To Honorable Mayor and From Floyd G. Bels.i.to City Council Members City Administrator Subject LEGISLATIVE ITEMS Date March ,28,, 1977 1. SUPPORT WITH'MODIFICATION "Vested Right" to Com fete St:bdivislo AT o inson The Plannin�` repart • meat has reviewed Assembly Bil an recommends that. the City Council endorse this legislation, as the City has been laboring with vested .. xights � since the publication of the Coastal Act of 1976. . We would;-'however, caution that the Council endorsement carry with it a suggestion that the legislation be amended .to insert the follow- ing wording into Line 6 following "approval": •r� ". within the time period as enacted pursuant i, to Section 66452.6 . . ." This would allow a developer to proceed ahead for acceptance. of a final map within the valid time period of the approved tentative, and would not bind. a city to accepting final maps a number of years . in -the future if a developer has completed any of -the- condition of approval. ` 2. 'DISCRETIONARY Business Inve'n' ory Tax Excm tion. ar enter Attached is SB 203 which was requested byte city Council at the March 21 , 1977 , meeting. Existing law exempts 50 percent of the assessed value of . r ' business inventories from property taxation. This bill wou..d annually increase this exemption until 1982 when 100 percent of the assessed value of business inventories would be exempt from taxation. I:. Currently, local agencies are reimbursed by the State for property tax losses due to the 50 percent business inventory exemption. This bill would also annually reduce the amount of reimbursement until ' 1982 when it would be totally eliminated. Seven bills have been introduced to phase out the business inventory tax at local government 's expense. While Carpenter's bill provides no compensation for local governments, AB 529 (Torres) provides that local government will be guaranteed growth in inventory tax revenue from local taxes anti state reimbursement equal to the growth rate of the entire local property tax roll. To the extent that inventory tax revenues have experienced greater growth than the entire local roll , many cities will experience a decline in property tux revenue growth from this source. The League of California Cities is opposing all seven mensurtus primarily because they are not part of the fecislature' s comprehen:; ive } tax reform legislation. The League' s position is th_t_, all chanilL in f .J municipal finance proposed by the Legisiattire this year be considered ,at the same time and within the same legislation. • i i I CA i 7-4 8 ►, 1 LIsGi5l.11TIvr: rrilms -2- March 28 , L977 'y t • The Council could take a general position that the City support.4 phis ing .out the inventory, tax, but only as, part of a, comp re hens 1ve tux .rcform .legislation that would not penalize cities. if the Coutccil wishes to support a specific bill, AB 529 (T Tres). is pr - ferable to SH 203 (Carpenter) . 3. OPPOSE. Mandator . He' 'aring Before Dismissal of Police Chiefs. 58 508 (Presley)'. SH 508 would severe:y restrict the a i zty of city councils and ,city managers to remove -a police chief who is not performing up to =the standards set by the elected officials within the community. This bill provides for involvement by the State Legislature in a :natter which should be strictly one of local concern. The measure provides that 1) the police chief may ,not be fired except for certain specified reasons, 2) 30-days notice must be given, 3) a hearing must be held if requested, and 4) findings of, hearing committee are binding on all parties. The bill also has an SD 90 disclaimer stating the state will not reimburse the city for costs incurred under the act . The League of California Cities recommends opposition. 4. OPPOSE Compensation for Illegal Zoning. 'a Under existing law, an owner of real property who o toins judicial rcaieF tiav-ed on an invalid act or failure to act by a public entity is entitled to S various remedies . The remedy for an illegal zoning is , for example , a reenactment of the zoning or another zoning. AB 873 would allow such an owner of real property to be awarded compensation for interim losses and litigation expenses under the principles of inverse con- demnation, and would subject local public entities to substantial new monetary liabilities from which they are presently immunized. The League of California Cities recommends opposition to this bill . 5. SUPpoin Dedicated Property Tax override Allowed. AB ancaster , w ic wus approvied this week by the 5epate (28-2) an sent to the Assembly for con- currence in Senate amendments , authorizes (but does not require) local agencies to indicate on the ballot of a property tax override election the urpose and time period for which the tax revenues would be used. Sue), specified statutory authority does not present ; ), exist . The League of California Cities recommends that officials express: their support to the Governor for All 29 because the Governor vetced similar measure in 1974 . AB 29 was approved 70. 0 by the As,svmhly in February and unanlanous approval is expected in concurrence in Senate anivrtdmen t s: . i i C 77-48 CISLATIVIITEMS -3- March 28 , 1'977 RECOMMENDATION: a) Determine position on inventory tax exemption legislation. b) Direct the City Administator to send letters to the proper legislative officials expressing the City's position as stated diova. Respectfully submitted, Floyd Belsito City ministratur FGB:JC:bb Attachment I F I w i • II I —_--��........ _...�.-....—....+.w.,wazm.....e+a.sr.,wz—reM,azexarrr•.-..,.e+—•-.....s.nrr..rw..rnhrm�4+'.I'�"�.�.r.-.. ,....n�...+w.•ewn`e+reYrll� 'rOP _ ! j ' , �3 ty :1 SENATE BILL No. 20 ��� _ =ntroclucYci by Senator Donnie Carpentor -. } January 27, 1977 t,`�{ An act to amend and repeal Section 16113 of,to add Section 16113 to,the Government Code,and to amend Section 219 of the Revenue and Taxation Code, relating to taxation; and' 3 making an appropriation therefor. SB 203, as introduced,D. Carpenter.Taxation: business in- ;; :t � s • ventory exemption. ' li Existing law exempts from property taxation 50% of the •`_. assessed value of business inventories. •�, This bill would increase such exempt';.-_in four equal incre- I ments, annually, until 100% of the asc-­:•..:d value of business inventories is exempted from taxation;,jr the 1982-1983 fiscal year and fiscal years thereafter. ,•t; Under existing law, local agencies are reimbursed by the •_': .�� state for property tax losses due to the business inventory Y exemption. An amount sufficient to make such reimburse ` ments is continuously appropriated from the General Fund to' { the Controller for such purpose.The Controller is mandated - �' to reimburse local agencies pursuant to claims for such reve- nu e lossa which are submitted by each county auditor. s.'.•)0.. �� This bill would limit the amount of tax revenue losses each •. ; { county m2y•claim to an amount not to exceed the amount of t '?` tax revenue losses claimed for the 197 -19f8 Fiscal year. and '- mot': would reduce such amount for the 1982-IS83 fiscal year and t . : • fiscal years thereafter,and would eliminate the authority for such claims after the 1984-1985 fiscal year. State reimburse- t.` f ment of local agencies made pursuant to such claims would be reduced and thereafter eliminated in the same amount as the f , r amount such claims are reduced and thereafter eliminate& Vote: Appropriation: yes. Fiscal committee: yes. State- i 2t33 —2— r —3— SB 203 undated local program: yes. 1 (3) For the 1518xzg84 fiscal year, the auditor of each ' 2 county shsl1 file a claim under subdivisions (a), (b) and Ire peopAe cf the State of QhWomis do enact as follouT• 3 (e)loran amountnot to exceed 50percent ofthe amount - :, 4 claimed under paragraph (1). SECTION 1.Section 16113 of the Government Code is rr 5 (4) For the 1981-1S1Sli fiscal year, the auditor of each amended to read: 1 6 county shall hle a claim under subdivisions (a), (b) and 16113. (a) Each county auditor shall file a claim with j • 7 (c)for anarnountnottoexceed25percentoftheamount tine Controller on or before the last day of August of each j 8 claimed under paragraph (1). ,.ear .or reimbursement to local governmental agencies 9 (e) This section shall remain:n eflec. only -inti1 April fnr the tax loss attributable to property on the unsecured 10 30, 1985, and as of such date is repealed, unless a later 1 by reason of a partial exemption for business 11 enacted statute, svWr-h is chaptered beforeApri130,1985, ` inventories pro%r ded for in Section 219 of the Revenue 12 deletes or extends such date. and Taxation Code and the reduced assessment ratio for 13 SEC.'2. Section. 16113 is added to the 'Government 1 commercial passenger fishing boats pro%ided for in 14 Code, to read: 3111 subdivision (c) of Section 227 of such code. 15 16113. (a) Each county auditor shall file a claim with (b) Each county a�3ditor shall file a claim with the 16 the Controller on or before the last day of August of each a Controller on or before October 31st of each fiscal year 17 year for reimbursement to local governmental— agencies-for reimbursement to local governmental agencies for 18 for the tax loss attributable to ro er on the unsecured the t1c loss attributable to property on the secured roll by 19 roll by reason of the reduced assyessmen' ratio< far' reason of the partial exemption for business inventories ' 20 commercial passenger 'fishing: boats provided far:°in , provided for in Sectioa 219 of the Revenue and Taxation 21 subdivision (c) of Section 227 of such code: i Code and the reduced assessment ratio for commercial 22 (b) Each county auditor shall file a claim with the passenger fishing boats provided for in subdivision (c) of 23 Controller on or before October 31st of each fiscal year t Section .',?1 of such code. � 24 for rcirnbursement to local governmental agencies for }� (c) Each county auditor shall file a claim with the 25 the tax loss attributable to property on the secured roil by mtroller on or befnrc September 30th for tax losses 26 reason of the reduced assessment ratio foe commercial s uEtributable to Sections 219 and 5523 of the Revenue and 27 passenger fishing boats provided for in subdivision (c) of ? Taxation Code and to subdivision (c) of Section 227 of 28 Section 227 of such code. 3 such code. 29 (e) Each county'auditor shall fila a claim with the i (d) frith reb-aryl to tax lazses attributable to Sections 30 Controller on or before September 30t`r for tax '.osses � f 213 ar:d ax73 of th e Res-enue:rnd.Taxahbn Code: 31 attributable to subdivision c'of Section 227 of the Revenue i (1) ,Mer the 1978-197-0 fiscal year to the1961-•1-W-fiscal 1 32 and Taxation Code. •ear, inclusive, the auditor of each county shah: file a 33 SEC.2.Section 219 of the Revenue and Taxation Code claim under sum, v anon (a), (b) and (e) loran amount ` 34 is- amended to read: t rot to-:rceed the amount claimed for the 1977-1978&cal i35 219. Bu: ness inventories shall be assessed for..tiiati6h'" -' 36 at the same ratio of assessed to full cash vtIue as the ratio (2) For the 1982-1933 fiscal year, the auditor of each x' 'co shall rile a claim under subdivisions (.•e) (b) and 37 specified in Section 401. After such perty has been so i - • 38. assessed,30 percent of the ass alue of such property; ; 3 (,.•)for an amo:!ntnat to exceed r:�percent ofthe amount f 39 shall be exempt from taxatio rough -the'1972-1973 5 calmed under paragraph (I). `� 40 fs-cal year;anal such exemptio� shall be indicated on the"' K w rC3 --4— --5— SB 203 essessmernt roll. For the 1973-1974 fiscal year, 45 percent � � 1 same ratio. used by the board in connection %rith public of the assessed value of such property shal). be exempt 2 utility property on the board roll. from taxation, and such exemption shall be indicated on 3 'Where a city transfers the assessing and tax-collecting the assessment rcll. For 1974-1975 fiscal year ad fib 4 functions to the county but continues to assess and collect yE - year, to the 1977-1978 fiscal year-, 5 unsecured taxes for one additional year, the county incs'uri c e, 50 percent of the assessed aloe of such 6 auditor, in computing the city's"reimbursement=P� the property shall be exempt from taxation, and such 7 business inventory exemption; shall &.--tor tl:e exempt exemption shall be :ndicated on the assessment roll. For 8 inventory value on the county.-unsecured roll with tax the 137S-19:9 fiscal year, 62,E percent of the assessed 9 situs in the city by the ratio used by the board in the prior cslueofsuchFrrperrvshall bearemptF am turation.For 10 year in preparing the board roll for the city. 1.�-IR50f _-d year, io percent ofthe assessed value lI y SEC.4 Section 2 of this act sha:s become operative on such grope.tyshall be arempted from taxation.For the 12 May 1, 1985. j 19 O-1 GSI fiscal rear,877 percen t oFthe assessed vailue of such property.hal.'be e-nempted from t matio7. For the f` 1951-IR52 f's=1 year and fiscal years therealler, 100 1 pc.-cent of the assessed t rdue of such property sh31I be nreznpt f.-n:n to ration.Stsci2 eremption for any Fscal year Shall be indicated on the assessment ro11. The For fiscal c e'a."S comr.2endng before the 14 -I�°:� fiscal year, the ; county assessor shall notify the auditor of the total .-slue of the exempt property within each city, di„rict and revenue district wholly or partially within the cc:unty.The exemption provided for in this section shall net apply to business inventories assessed as escaped property under the provisions of Sections 531.3, 531.4 or "t.5 where (1) the omission is willful or Fraudulent, (2) Failure to report the property accurately is willful or O Iraqudulent,or (3) the exemption was incorrectly allowed because of erroneous or incorrect information submitted 1 by the taxpayer or his agent with knowledge that such inform-ition was erroneous.The board shall prescribe all prccedures and forms required to carry this exemption =1 into cffea and to insure accurate data for reimbursement ca:'rulations. In carryi g out the duties unposed by this section, the �, board shall certify to the auditor of each county iu which is located a chartered city which assesses property for city 1 tax-purposes, the ratio which tl.e auditor shall use to ?+ fa•_tor the county roll in order to compute the amount of suc;l city's reimbursement.The ratio certified.shall be the