Initiative hopes to save local dollars Initiative hopes to save local dollars (March 19, 2004)

City leaders push November ballot measure to prevent state from usurping taxes

By Grace Rauh

Mountain View officials tired of the state snatching local dollars to balance their budget are hitting the streets to collect signatures for a ballot initiative designed to protect city governments across California from such losses in the future.

Advocates aim to gather one million signatures by April 15 to place the initiative on the November ballot. They have collected more than 250,000 so far.

"Everybody I have talked to who is gathering signatures is like 'Duh, duh. Does that make sense or what?'" said City Council member Mike Kasperzak.

The initiative, dubbed the Local Taxpayers and Public Safety Protection Act, would amend the state constitution to require voter approval before the state can touch local money. California city officials have tried negotiating with governors to safeguard local dollars in the past, but recent tax grabs have compelled them to take more drastic action, Kasperzak said.

At the fight's forefront is the city's loss of $1.3 million from vehicle license fee (VLF) revenues this year. Gov. Arnold Schwarzenegger had promised to backfill the money that disappeared when he lowered the car tax, but Mountain View has yet to receive all its dollars.

Kasperzak also points to the $34.9 million Mountain View has sent to Sacramento since 1992 under the state-mandated Education Revenue Augmentation Fund, a program that funnels local dollars to public schools. Last month, the city forwarded $145,728 to the ERAF.

"All efforts to stop it have failed," he said. "Then they come around with the VLF, and they give back money that wasn't theirs to give back."

Kasperzak is spearheading the local effort along with City Manager Kevin Duggan, Council member Nick Galiotto and Mayor Matt Pear.

The act's passage would not bring back ERAF money, but would require the Legislature to gain voter approval before it can raise the amount cities are required to contribute. The governor has proposed upping Mountain View's ERAF contribution by $1.2 million next year.

Mountain View will play host to a signature gathering effort on March 21. Kasperzak and Duggan will start their day, armed with petitions, at the Farmer's Market before heading to the San Antonio Shopping Center in the late morning. Volunteers can join them at the market or call Kasperzak at 948-5340 to pick up petitions.

The League of California Cities went all out for signatures across the state March 13, with city council members, mayors, city managers and other city employees manning tables on street corners where they asked people to stop and sign.

California voters "hear it, they find out what it is and that's it," said Rebecca Elliot, the league's regional representative for Santa Clara and San Mateo counties. "They want to keep their money local and when they hear what this is, they sign the petition."

But not everyone is a fan of the initiative. Some legislators in Sacramento don't like this "because it puts them in a harder, tighter spot," Kasperzak said. It forces them to make cuts they don't want to make, or raise taxes, he said.

According to Elliot, no state legislators from Santa Mateo and Santa Clara counties have signed the petition yet. "However, they are more than welcome. We want them to join us in this effort," she said.

The act would require voter approval for any legislation that reduces local revenues raised from the vehicle license fee, sales taxes and local property taxes, based on Jan. 1, 2003 levels. Sacramento would also be required to reimburse local governments for the cost of new and expanded state-mandated programs and services.

E-mail Grace Rauh at grauh@mv-voice.com

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