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G.9 Transient Occupancy Tax Ballot Measure Discussion and Filing DeadlinesTransient Occupancy Tax Ballot Measure Discussion and Filing Deadlines City of Grand Terrace 2030 VISION STATEMENT •This staff report supports our Core Values of Open and Inclusive Government; and •Goal #5 –Engage in Proactive Communication BACKGROUND •On June 9,2020,proposed a Request foraFutureAgendaItemtoreturntoCouncilwithaproposalforaTransientOccupancyTaxBallotMeasure. •The item was introduced and approvedbytheCouncil4-1 to be brought backfordiscussion. DISCUSSION •City Council may propose a Transient OccupancyTax(“TOT”)as a general tax which allows therevenuetobespentforanylawfulpurposeoftheCity.General tax measure must be placedontheballotofageneralmunicipalelectionbya2/3 vote of the City Council.However,theCaliforniaConstitutionstatesthatageneraltaxmeasurecanbeplacedontheballotofaspecialmunicipalelectioniftheCityCouncilunanimouslydeclaresthatanemergencyexists.Approval of such a general tax requires amajorityvoterapproval. DISCUSSION •Alternatively,a special tax,in which therevenuescanonlybeusedforaspecificpurposemaybeproposedatanyelectiondatepursuanttotheElectionsCodewithouttheneedtodeclareanemergency,provided that Councilapprovessubmissionbyamajorityvoteafteranoticedpublichearing.Adoptionwouldthenrequire2/3 voter approval. DISCUSSION •The public may also seek to qualify a voter-sponsored initiative for a TOT Ballot MeasureeitherasageneralorspecialtaxpursuanttotheElectionsCode.A voter-initiative general taxwouldrequireamajorityvoterapprovaltopass. •Courts have ruled that a voter-initiative specialtaxonlyrequiresamajorityvoterapprovaltopasshowevertheSupremeCourthasnotgrantedreviewasofthisdate. DISCUSSION •Staff contacted the County of SanBernardinoRegistrarofVotersandidentifiedNovember2,2021 as the nextmunicipalelectiondatethattheCitycanconsolidatewithforsubmissionofaTOTBallotMeasure.This date would require aspecialelectionasthenextgeneralelectiondatewillnotoccuruntilNovember8,2022. DISCUSSION •If Council would like to participate in an Odd-Year Polling Place Election,that election wouldtakeplaceonNovember2,2021. •Unfortunately,staff was unable to acquire a costestimatefromtheCountyElectionsOfficethereforetheCityClerk’s estimate for a ballotmeasureelectiononlywouldbeapproximately$30,000 -$50,000 (with an emphasis on thehigherdollaramount). DISCUSSION •The following deadlines have been identified to file the required documentation to conduct the special election: DATE DESCRIPTION June 25, 2021 Council to Adopt Resolutions Calling Election (Ballot Measure) June 28, 2021 –July 12, 2021 Notice of Election Publication Period June 28, 2021 –October 26, 2021 Notice of Measure Publication Period July 19, 2021 Impartial Analysis submission deadline July 19, 2021 Argument submission deadline July 23, 2021 Rebuttal submission deadline July 29, 2021 End of 10-day public examination period for Arguments August 2, 2021 End of 10-day public examination period for Rebuttals August 6, 2021 Deadline to Submit Ordinance/Measure to ROV August 9, 2021 Assignment of Measure Letter August 11, 2021 Deadline to Withdraw Measure November 2, 2021 Election Day FISCAL IMPACT •If the election is consolidated with the SanBernardinoCountyElection’s office,the costestimatewouldbeapproximately$30,000 to$50,000.Funds will be requested in the FY2021-22 proposed budget. RECOMMENDATION •It is staff’s recommendation that the CityCouncilprovidedirectiontostaffonwhethertoreturntotheCityCouncilwithaTransientOccupancyTax(“TOT”)Ballot Measure and related documentsforfurtherconsiderationonwhethertoplacesuchameasurebeforethevoters. QUESTIONS