[This transcript was generated automatically from audio using AI and hasn't been reviewed by a person -- it can contain mistakes, including plausible-sounding sentences that were never actually said. Treat it as a starting point, not a verbatim record.]

[0:30] I'd like to call the order, this special meeting of the City Council, today being Monday, July 29th.
[0:36] And City Clerk can you get a roll call please. Council member Dennis Beckworth. Here, council member Andrew N. Mendez, President. Council member Jesse Oville, Jr. Mayor, Mayor Potemp, Edward J. Alvarez, Mayor Robert Gonzalez. Here. Thank you, City Clerk. Next we'll have our flag salute. And this evening, would Mr. Max Rennwick lead us in the pledge.
[0:58] A
[1:08] dry end over your heart, ready?
[1:10] Again, I pledge allegiance to the flag of the United States of America and to the Republic
[1:15] for which it stands.
[1:17] One nation under God, indivisible with liberty and justice for all.
[1:23] Thank you, Max.
[1:24] And we won't have an indication this evening.
[1:29] So we're going to write into the public comment.
[1:32] Is it a clerk?
[1:33] Do we have any members of the public like the speaker?
[1:39] We're going to get right into it.
[1:42] We have one item this evening, and this is a scheduled alert.
[1:46] And this is a conversation of a doctor of a resolution for the submittal
[1:51] to the voters of an ordinance adopting the supplemental transaction.
[1:55] And use sales tax for the November 50,000 before ballot.
[1:58] For the purpose of maintaining local control of revenues generated in a
[2:03] to directly benefit as users and with that, and I'll turn it right over to staff.
[2:09] Thank you, Mayor. Good evening, Mayor. Members of the City Council, Tolika Johnson,
[2:13] Director of Administrative Services. I'm so as the mayor indicated tonight before you
[2:18] is consideration of placing a ballot measure on our upcoming November election for a
[2:33] on the sales tax rate in the city of Azusa currently the city has a 10.25% sales tax.
[2:44] However, of the two point, excuse me, 10.25% only 1 and 3.4% is directly attributable to the city of Azusa itself.
[2:56] So as you can see in the table, 6% of that 10.25 hour for state allocations, 2.5% for Los Angeles County, and again, 1.3.4% for the city of Azusa.
[3:13] Embedded within the 10.25% sales tax, there is a 2% statutory cap for transaction and use taxes that would be for county and city local measures in which other government agencies or other county agencies so not necessarily Azusa may essentially in fringe upon that 2% statutory cap.
[3:41] So, with the current sales tax, we are at the 2% cap and there are 4 components of taxes within that 2% cap.
[3:53] And as you can see on the bottom table, 3 components are for Los Angeles County measures equating to 1.25 and then in 2020,
[4:05] Our Azusa voters did pass measures the and so three quarter sense of that 2% is for our local measure.
[4:19] So there are impacts to the city of Azusa for Los Angeles County tax measures.
[4:25] Since 2017, Ellie County has been imposing a 1 quarter cent transaction in use tax on Azusa residents to find homelessness.
[4:36] services and prevention also known as LA County's Measure H. Measure H currently falls again under that 2% statutory cap.
[4:48] And over the past seven years, Measure H has generated over $13.5 million from Azusa sales transactions alone.
[4:59] But only less than 5% of those of that 13 and a half million dollars has come back to directly benefit our
[5:07] Azusa community.
[5:09] And so measure H is set to expire on September 30th of 2027 unless it's earlier repealed by a new initiative that
[5:20] Los Angeles County has which is known as a measure A.
[5:23] So, measure A aims to repeal measure H. Again, it is a measure that's aimed at homelessness
[5:32] and prevention programs. If measure A passes, it will impose a new half percent, so a
[5:41] quarter percent increase to the sales tax rate. However, it will not fall under the 2% statutory
[5:50] cap. So if measure A passes, there will be a quarter percent that will be available under that statutory cap,
[6:01] that if Azusa does not capture other county agencies at some point may recapture those funds.
[6:09] If measure A is approved, it would generate nearly $5 million, again, directly from Azusa.
[6:19] And like measure H, we would expect very little local return on those funds.
[6:29] I think a real quick question for you for you.
[6:33] that this is Alley County's new initiative, is not mistaken. It's a citizens initiative, isn't it?
[6:40] That only requires a simple majority of votes for the November ballot.
[6:46] That's correct, Mayor. It doesn't require two-thirds correct.
[6:50] That's correct, Mayor. It is a citizens initiative that only requires a simple majority vote.
[6:56] And so the city council and the the Azusa residents do not have direct impact or control over
[7:06] Measure A.
[7:09] So why local control that's really what we're here to talk about is for the city council to
[7:16] Consider adopting resolutions to place Azusa place a local measure on Azusa's November ballot.
[7:24] When we pulled our residents in 2019, our residents identified four top priorities and as part of that,
[7:34] they passed, they voted yes on Measure Z. Measure Z did provide the financial resources to the city in order to meet the community's priorities.
[7:45] These, those top priorities were addressing, excuse me, addressing impacts related to homelessness,
[7:55] addressing an increase in gang violence and public safety is a top priority for our
[8:00] community, maintaining city-funded programs and for our youth and our seniors, and then continuing
[8:09] our efforts to maintain our city streets, parks, and buildings.
[8:13] So, the city has a, I would say a proud tradition of being physically prudent and having
[8:24] accountability with our taxpayer dollars. Again, measures the provided the city with
[8:30] locally controlled revenues, which enabled the city to meet the community's priorities.
[8:36] And since being adopted, the council has set policies and made policy decisions that are
[8:43] in mind with the community's priorities.
[8:47] So just a few of those notable accomplishments, again, that fall within our communities,
[8:53] top priorities that were identified.
[8:56] We've opened the Azusa Resource Centers for Individuals that are experiencing homelessness.
[9:02] We've developed divincia and, excuse me, prevention and diversion programs.
[9:08] We've increased our encampment cleanup efforts.
[9:12] We've also increased the services that are provided at the library through the Neighborhood Connections Program.
[9:20] In addressing gang violence within our city, there are multiple things that our police department has done.
[9:28] One being if they establish a regional SWAT team with other local cities.
[9:34] As you all know, we launched a drone program as a first responder program which enhances and supports our calls for services.
[9:44] We've implemented a body-worn camera program and other technology enhancements in order to increase our transparency accountability and safety ultimately.
[9:58] We've done quite a bit and ramping up our programs for, again, for our youth and our seniors.
[10:08] Very proud of our award-winning program all in for Azusa, which is an integrated cross-sector network of local organizations that's dedicated to improving the economic health and well-being of Azusa residents.
[10:23] We've increased youth sports and senior program, the number of senior meals that we're providing
[10:30] and our transportation services.
[10:33] We have a new library programs that have been developed at the library for residents, including
[10:41] adult learning, naturalization programs, increase participation in our ESL classes, and we've
[10:49] expanded our book Mobile Services, we establish a veterans resource at Hawke Committee and
[10:56] this is just to name a few of the enhanced programs that we've had over the last few years.
[11:04] Again, a top priority for our residents is maintaining our streets, our parks, and buildings.
[11:13] And we're proud that we're in the process of developing, as uses, for stock park, we're in the process of modernizing both our senior center and our library.
[11:25] In the fall of this year, we're going to be adding a mobile recreation and resources for after school programs.
[11:33] And we have the ongoing construction of our new outdoor learning center, the beautification
[11:39] of our downtown, that's project that's underway.
[11:44] And so again, these are just a very short list of how we have made good on our residents
[11:51] tax dollars over the last few years.
[11:56] So, the city of Azusa has now the opportunity to capture, again, local control.
[12:05] When LA County's measure age sales tax expires, the city will have the opportunity to vote
[12:12] on capturing local control of, again, those revenues that are generated in Azusa, and to
[12:19] just recap for you, again, it's been $13.5 million over the last seven years.
[12:24] that Azuza's only seen about a 5% return on.
[12:29] So voting no or not voting at all, when measure H expires or is repealed, our residents
[12:38] run the risk that the county may recapture that quarter percent that, again, is being generated
[12:45] locally here in Azuza, that equates to about two and a half million dollars per year.
[12:51] If our residents were to vote yes on its own measure, when measure each, again expires or is repealed, it would again provide a zoosa local control of the revenues that are generated here in our city.
[13:07] And so with this in mind, the City Council directed staff to return with a proposed measure to allow our residents the opportunity to decide.
[13:21] And so as part of that, we're presenting to you tonight, it proposed ballot measure.
[13:28] It's called the City of Azusa Public Safety Community Services Local Control Accountability
[13:35] Measure.
[13:37] And I'll just read it for you, it says, shall the measure to maintain locally generated funding
[13:42] for police, firefighter, paramedic, 911 response services, clean up encampments, address homelessness
[13:50] as fixed pot holes and streets, maintaining enforcement, neighborhood patrols, clean water,
[13:56] parks, community centers, senior services, after school programs, and other general city
[14:03] services, authorizing one quarter of her, excuse me, one quarter of send sales tax that
[14:10] would take effect when legally permissible, generating approximately $2.5 million annually until
[14:17] ended by ours who's a voters and of course it would require audits of the spending and disclosure.
[14:29] And so in summary, the city does not wish to increase taxes for our residents.
[14:37] Nor the rate that our residents are paying the what we're presenting to the council tonight is
[14:45] the opportunity to recapture the amount the county is currently taking or receiving in sales
[14:52] tax.
[14:53] Again, from locally generated revenues in Azusa, and to provide access to the county, to the
[15:00] Our residents, the opportunity to vote on a local measure in order to prevent other county agencies from recapturing that quarter of a percent when it becomes available in the future.
[15:16] Thank you very much, Tolika. That was, and staff, I want to thank you for, for basically putting this together in a week.
[15:23] And I know, obviously we have with the August 9th,
[15:29] we didn't have this discussion and then see where we're going
[15:31] to be with this ballot measure.
[15:33] So it's extremely time-sensitive, and I appreciate my colleagues
[15:36] for entertaining this.
[15:39] Once again, we are not making a decision
[15:45] to make this decision.
[15:47] We're going to leave it in the hands of the voters.
[15:49] And I think that ultimately says,
[15:52] you know, what's the direction and what's the language. I think this pretty is pretty simple,
[15:58] but also how we got here and sitting on the regional boards that I've been able to sit on
[16:04] for the past number of years and having a front row seat to this, down in this, if we don't do something,
[16:16] we will lose this money and this money will go elsewhere. It's already stated in the report
[16:22] that we've generated close to $14.13 plus $14 and less than 5% has come back to us as a city.
[16:34] We have done it alone for quite some time. We've put our money where our mouth is and we put
[16:42] our programs and projects and thanks to the voters in 2020. But my fear is this, I don't.
[16:48] And I see a manager, this is a question, to leave it either way, or financially we are, we are, we're in a good spot.
[16:56] We're physically strong, correct?
[17:01] Mayor and Council, we are very physically sound.
[17:06] We can't predict the future.
[17:08] However, the programs and services that we have created to address homelessness and we're not including in the operating budget.
[17:18] So, while we're physically sound today, if we move forward without additional revenues for
[17:23] these programs and services, we're going to be faced with making difficult decisions
[17:28] to cut other programs.
[17:29] So, this is not a measure to say we're structurally, we have a structural deficit like we
[17:34] didn't measure Z or we need additional revenues.
[17:36] This is to say, we need to protect that quarter percent to have it available for all the
[17:42] programs that we have, but if we don't do something in the future, we are going to be making
[17:47] some difficult decisions as the programs are ramping up
[17:50] to help those experiencing homelessness.
[17:53] And I appreciate that because that's going to be the temperature.
[17:58] You know, as we get into, you know, four years ago,
[18:00] we were running a structural deficit.
[18:02] And so we needed to help from this is a completely different animal
[18:07] for this.
[18:08] This is exactly money escaping.
[18:12] And if we don't at least try to the voters,
[18:16] I think we're missing opportunity to keep local, local money serenance and local control.
[18:24] By looking at the measures that are proposed through the ballot initiative, 33% of that money
[18:30] is already allocated to go somewhere else.
[18:33] And that just tells me that that money is further is not going to come back to Azusa.
[18:38] And there has been, from the mayors and council members from a cog, there has been a lot
[18:45] discussion advocating to have a local money come back locally, and that was never heard.
[18:51] It was never discussed, it was, it was, it was, we'll get back to you, and, you know, without
[18:59] even a percentage saying, hey, do your population, your point of time count, but that's
[19:03] still not a guarantee that we're going to get any money's back.
[19:07] And less than 5%, 95% of this money that we've been generating the past seven years has gone
[19:11] elsewhere. And I just can't see us rewarding by behavior from the county. And so with that,
[19:20] I would have a long discussion with our residents and colleagues to stay, they just keep
[19:25] this money, keep it home. So with that, I'll open up to questions or comments, gentlemen.
[19:38] I'll be as nice as possible. This is like absolutely disgusting, right?
[19:45] So, Allie County Board of Supervisors, I don't know how many taxes they can dream up for us to pay.
[19:52] And as I say before, Allie County Tax Measure is a city of Allie Tax Measure.
[19:59] The cities get so little from these county tax measures.
[20:04] I don't know, and it's hard to compete with them because,
[20:12] leave it or not, the city of L.A., they got so many voters that actually support these measures,
[20:21] but they're the city getting all the money, plain and simple.
[20:25] So, if I go by your numbers, we've already contributed 13.5 million from Azusa under Measure H, and we got back about 500,000, right?
[20:36] So that equates, you set it's under 5% so it equates to 3.70% so we gave 13.5 million and we got
[20:46] back 3.70% so think about that so I want Azusa to think about that. And then this is pretty sneaky.
[20:57] So the measure H is a quarter percent and it goes towards the statutory cap of 2% of the transaction
[21:05] and use sales tax. Well guess what? They want to increase that 1.4% to 1.5%. And it will not
[21:14] go towards the 2% cap of the TUT. Oh my, that is not a very nice little quote. They put in that
[21:24] measure. So in other words, they can come back and put another 1.4% tax measure on the county,
[21:34] County voters. So this is something that we have to be very careful about. We are doing
[21:41] this to protect Azusa, plain and simple. I do, I'm sick of taxes. I don't want to increase
[21:50] taxes anymore, but do you want to give another 2.5 million to the county or what? So we can get
[22:01] maybe an extra 25,000 a year, so we give them two and a half million a year.
[22:06] What are they going to give us?
[22:07] 25,000?
[22:09] Chump change.
[22:10] Like I said, it's chump change.
[22:11] What are we going to do with that money?
[22:12] It didn't give us 50,000.
[22:15] It's so little and it's unfair to every single city in the alley county.
[22:23] To every single city in alley county, it is absolutely 100% unfair.
[22:28] We don't want to do this, like I said, you know, I'm so sick of all these taxes and
[22:36] they claim they're helping people.
[22:37] We help.
[22:38] How do they help people by making you pay?
[22:43] You pay, everybody here has to pay and they turn it around and act like, oh, well, we're helping
[22:48] them.
[22:49] Well, measure age, is that money well spent?
[22:54] I don't know because there's no accountability.
[22:56] city.
[22:58] They had no benchmarks in place. They don't even know if they hit any benchmarks had
[23:05] they had any in place. And what did they say now? Well, we learned from our mistakes.
[23:12] And we will do better. You don't do better. You should have had no mistakes when you
[23:18] already spent billions of dollars from all these cities from Alic County. And you're
[23:24] we will do better as far as accountability goes, we learned from our mistakes,
[23:33] the stakes,
[23:35] misunderstanding of billions of dollars, no excuse, and we want to give them another billion
[23:42] dollars a year for what? What are they trying to do with this money? What do they have in place?
[23:49] What are their benchmarks?
[23:52] They have nothing. They just want to increase the tax.
[23:58] And until there's, I mean, this is just ridiculous.
[24:02] It's Ms. Handling of funds and it's just ridiculous.
[24:07] And I could go on, but I'm not going to, because you did, for example.
[24:12] So I'll hand it over to you.
[24:14] Okay, thank you, Mayor Pro Tem.
[24:17] I just shake that one off.
[24:18] Thanks, sir.
[24:20] Any other comments or questions?
[24:24] So free.
[24:26] Thank you, and we had our special meeting last week.
[24:30] I wrote this special meeting, so I'm not going to go into my rant
[24:34] for the benefit of the meeting.
[24:38] But the biggest thing that strikes me is not only are we doubling the funding,
[24:43] there's no sunset data as Mayor Pro Tem alluded to.
[24:48] I truly believe that 30, 40, 50 years from now, when our grandchildren and great-grandchildren
[24:57] are looking at this homeless crisis, they're going to look at Ellie County and what I believe
[25:03] is a money grab that's going to all kinds of special interest in the disguise of where we're
[25:17] increased our numbers of homeless, yet we in Azusa, despite sending millions to them have
[25:23] been left with less than 5%. So I'm going to leave it with, I think, that we'd be
[25:31] negligent not to put this on the bell for the voters to decide. Thank you, Mayor.
[25:35] Thank you, Council Member Mendes.
[25:38] That's what we're having?
[25:38] Yeah, just I feel the same way as Councilman Overez,
[25:47] and regarding this, but, and as you
[25:50] They said that they learned from their mistakes, and one of the things that they learned is not to put a sunset date on it and from what measure age and measure age and perpetuity.
[26:02] So that means it's going to go on forever.
[26:04] But just for clarification, when we went and we proposed measures, we stated that we were going to increase taxes.
[26:13] Just for clarification, we're not saying we're going to increase taxes correct.
[26:16] that's correct so there's really two parts right so right now as it stands under the two
[26:25] percent cap. Ellie County with Measure H has a quarter cents of that. Measure H has a 10 year
[26:35] you know sunset and so it is going to expire for sure by September 30th of 2027. When that
[26:44] happens unless it's repealed sooner than that, when that happens that quarter
[26:49] cent becomes available. And we know that it's just a matter of time again
[26:54] before there's some type of proposal for a county agency to take that. But let's
[27:03] say the county's new measure A does not pass when a September 2027 comes and
[27:11] measure H expires unless there's another measure in place to recapture that quarter percent
[27:18] the sales tax rate could potentially go down to 10.00. And so with Azusa if we were to pass
[27:28] a measure and measure A from the county does not pass, our sales tax rate will remain at
[27:36] current 10.25%. So, to answer your question, we are not proposing to increase taxes for Azusa.
[27:45] Azusa has no local control over what the county is attempting to do with their new
[27:52] measure.
[27:52] And thank you for using those words, local control. What we're doing with this quarter percent
[27:59] is taking the opportunity for local control for that one quarter percent that's going to be
[28:04] on the table when this expires. Correct? Correct. Thank you. Okay. That was my
[28:11] run back with. Yes, thank you, Mayor.
[28:16] Yes, Major, Major H has been an unsatisfactory
[28:21] measure, I'd say, by many standards. There have been very few positive results, and for
[28:26] the money that's being spent to, I would call it a failure, and to double down on that seems
[28:32] like the definition of insanity, you do the same thing over and over expecting new results.
[28:38] I don't think it's a good thing, obviously, so that's my view on that on this new
[28:44] measure.
[28:45] But setting that aside, the question is, for us, as a city, what do we do?
[28:48] What's the best path forward?
[28:51] I do have a few questions that we could get into.
[28:55] My desire, my desire is, and to see our taxes go up, I would be perfectly happy to see
[29:01] our taxes go down in 2027, if that sun sets, if this new measure does not pass, in 2027 nothing
[29:09] else happens, we would see our sales tax go from 10 and a quarter down to 10 percent correct.
[29:16] However, as Matt Bennett mentioned, that leaves this new quarter percent gap in the TUT, our
[29:23] measure Z filled that gap to now, but it'll create a new amount that's there and available.
[29:29] And we know that the county will probably want to find a way to at least retain the current quarter, so there'll be another measure.
[29:36] I'm sure that will come.
[29:39] So one of my questions is, if a new measure comes, or any time a measure comes, let's such as this one,
[29:45] if we attempt to pass our own measure at the same time, what happens if both measures pass?
[29:58] I'll take that if you don't mind, Marcos, too.
[30:00] So there's a couple of things. Although we have to make mention of LA County's measure A, because it is going to be on the ballot. Again, we don't have any control over that, but let's say measure A does not pass, let's say it fails.
[30:21] And as a zoos that we decide not to put our own, you know, measure on the ballot, there could be another two to three bytes at the apple, so to speak for the county to put on a future measure on the ballot to recapture that quarter cents once it's available in 2027.
[30:41] So that is a risk that we would take by not putting placing our own measure on the ballot.
[30:47] And could they propose that ballot measure at any of the cycle elections or would it only be every two years option for them?
[30:56] They could propose it at any time.
[30:59] I mean, I even suppose that they could probably, you know, call a special election.
[31:03] Maybe to do that if it were necessary.
[31:06] And at that point, if we said, oh, will we want to now propose our own measure?
[31:11] Could we, it may not be during our cycle.
[31:13] we would have to have create a special election, even if we did that, if we waited to act
[31:18] in other words, and we did that may our own proposal at the same time, if they both
[31:24] passed, would we lose out as a local jurisdiction to their, would they trump ours?
[31:29] The county would trump ours.
[31:32] And to leave it from that mistake, and I think the ordinance stays on measure H, they get
[31:37] three bytes of the app, they get three bytes.
[31:40] So, they fail in 24, they're going to come back in 2026, and if that fails, they're going
[31:46] to come back in 2028.
[31:48] But if we do a proposal now that says something to the fact that should major A, this
[31:55] new one pass, it creates this opening, if we can fill that opening, why passing our own
[32:01] major, then that sort of freezes out the county from a future opportunity, is that,
[32:08] is that what I understand?
[32:08] It puts us first in line.
[32:11] But you are, we talked about this at the last meeting,
[32:14] which is if you have two competing measures
[32:16] on the same ballot, and those could be made.
[32:20] Thank you over the cap.
[32:22] Like the hoods that they're going to choose
[32:23] the higher, the larger, the larger, the larger.
[32:27] Which is LA County.
[32:30] If, instead, we propose hours at this point,
[32:36] and get in ahead of that.
[32:38] Getting in line basically.
[32:41] There's language in the revenue and taxation code that we believe says that it becomes operative upon adoption,
[32:48] which means that if it successfully goes before the voters, it's in place.
[32:55] So, with that understanding, then I see the value of the benefit for us to take some action.
[33:03] If we can somehow be sure that either we can like we talked before have a clause in there,
[33:12] that it doesn't happen if if Major A doesn't pass or if we are sure we had repeal rights,
[33:22] if we choose to if we see Major A pass and so therefore we know that in 2027,
[33:29] If ours is passed, we're going to see the tax go to 10 and 3 quarters potentially.
[33:37] We aren't the only city out there doing it.
[33:39] I don't want to see that happen.
[33:40] Now, if other cities are starting to act and doing the same thing, then we may choose
[33:44] not to repeal it, but if we have the ability to repeal it, that's only if we can't put
[33:49] a clause in that gives us the option.
[33:58] And Markov, if a mom is taking part of your conversation, when we discussed this last week
[34:05] was the tax folks don't want to deal in what ifs, so just understand that when we passed
[34:14] measures E four years ago that was, it wasn't intention of having, somebody was going to come
[34:19] get this tax so we needed to cap it for ourselves, so it looks like we're going to have to continue
[34:24] playing this cat and mouse game to make sure that this
[34:28] stays as local as possible.
[34:30] So repealing it makes us vulnerable because if we
[34:34] repeal it, if the voters vote for it, and we
[34:36] repeal it in three years or two years, that leaves us
[34:40] vulnerable again down the road in five or six years.
[34:43] And now you have to reinvent the wheel with their
[34:45] residents.
[34:46] So I think there's benefit to keeping it, keeping it
[34:49] local and capping it.
[34:50] And if the county wants to go, he says initiative wants
[34:54] to go out for this down the road, that's up to them,
[34:57] but at least we're protected.
[34:59] And I think if you pull it off, you leave this old marble.
[35:02] Yeah, and I'm not sure I would advocate necessarily
[35:05] repealing it, but I just feel like for, you know,
[35:09] God willing, I'm on the council or future council
[35:11] that that option is there as if there is a strong community
[35:16] resistance to it increasing to 10.75.
[35:19] Well, the risk is there to be if they're in a bullfight or not.
[35:22] Well, we're going to find out real quick.
[35:23] So what we're proposing for you tonight in terms of an operative date for an at a local
[35:31] Azusa measure is really a two-part.
[35:35] We understand that you do not want to increase taxes for our residents.
[35:42] And we don't know exactly what's going to happen with measure A. And so what we're proposing
[35:48] for you is somewhat of some safeguarded language where that quarter of a percent when it becomes
[35:58] available that we would enact it and capture it. No sooner than 2027, October 1st of 2027,
[36:07] And unless between now and 2027, there's a county measure on the ballot that would capture
[36:19] that quarter of a percent.
[36:21] So it's a little bit technical, but the state has to have a heart date in order to make
[36:29] a local tax operative here.
[36:31] And so that's how we would safeguard it again by in two parts, making it operative October 1st,
[36:40] 2027.
[36:42] Again, unless there is a sooner competing measure that would make it difficult for us to capture that quarter of a cent.
[36:53] The current language that's before you just has this term taking effect when legally permissible.
[36:59] And so what that means is if measure A passes and repeals measure H, immediately permissible.
[37:10] It becomes legally permissible to start collecting that tax on basically April of 2025.
[37:18] If measure A does not pass and measure H stays in place, then it would not be legally permissible to collect that tax until the sunset date in 2020.
[37:29] 2027.
[37:31] We played around with other language a little bit like what Talikas are looting to, but the
[37:37] difficulty that you get when you start putting a lot of those caveats in it is the
[37:41] issue of, well, you know, we got to make sure CTFA can sort of administer that tax.
[37:49] But also, we have to make sure that we don't create confusion on the ballot.
[37:55] And so the more of, and we trust me, we've played around, I don't know how many
[38:00] what ifs we played around with today, probably five, six, seven different versions of
[38:05] what ifs.
[38:07] And the problem with all of those is that the more you, and mind you, you only have 75
[38:13] words.
[38:14] That's the other issue.
[38:16] And the more we play around with those what ifs, the more confusing that ballot language
[38:21] got.
[38:22] And so rather than try to craft something that might fit all those scenarios and just confuse the heck out of everybody, this was the simplest approach we define.
[38:33] If we chose not to propose something this time, and measure A passes, what would be our next first opportunity to pass a similar?
[38:46] It would be 2026.
[38:48] We have to wait two years or we have a special election, which is
[38:52] Hydeon, you know, the next council, the next election at which council members are up.
[38:58] And again, that's, so that's the period of time where we would risk the county
[39:00] then deciding, well, we need a new tax to replace the gas tax or something else, right?
[39:05] I mean, and so the simplest way to do it would be, is just to put a date of October 1st,
[39:09] 2027, however, keep in mind that measure A is exempt from the cap.
[39:16] So, even if the county measure a passes, we would go to 10.5 without a choice.
[39:21] But there's still a quarter cent available for the three or three or opportunity.
[39:26] So that's why the way we wrote it is, at least it protects that quarter to keep here.
[39:32] And if future council says, we don't want to go to 10.75, there's an opportunity to repeal it,
[39:38] because if we don't have that first in line for that quarter, we're going to be back
[39:43] today where we have to put a competing measure on there.
[39:49] And to add, they're almost 60% of the cities in Los Angeles County are currently at 10.25%.
[39:59] So we're not in this boat alone, you know, a measure A would impact those cities as well.
[40:08] And if they were to have that quarter cent available, they, you know, I would, I know
[40:15] And speaking to the CDTFA, they're getting bombarded with calls asking the very questions that we've been asking over the last week in terms of other cities and their options for capturing that quarter of a percent.
[40:31] So Azusa would not be alone if we were to go to 10.75 in some years.
[40:38] I think it would probably be safe to say that there will be other cities that will be at that rate.
[40:44] They'll be struggling to do the same thing.
[40:47] Although they may get caught, again, the county might step in and do a special
[40:51] election before the next two year period of for them to do it.
[40:55] I mean, that's what I understand.
[40:57] I want to be clear.
[40:58] But that's the game of chicken that we're playing.
[41:01] But the difference would be compared to measure Z, we decided to increase the taxes.
[41:07] If the taxes increase to 10.75%, it's not because of what Azusa voted on, it's
[41:14] what the county voted on that's correct so I'm not saying whether or not I'm for against
[41:19] measure a but the best case scenario would be for us to put something on the ballot coming
[41:23] up and measure a failing.
[41:27] Again I'm not saying I'm for against it I'm just saying best case
[41:30] canary as far as a tax is not increasing correct okay thank you. Any further questions or comments?
[41:38] Did I say I was for or against it?
[41:44] No, I think everybody knows how I feel, but I'm interested in know how the city of LA tech
[41:53] tax sales tax is only nine and a half percent, that's according to this.
[41:58] But my assumption is because they get so much money from the county already.
[42:05] I'm going to be doing that.
[42:08] Also keep in mind that they have their own measure H-H-H, which is directly funding programs
[42:16] in the city of LA, and the lion share of measure H, county wide goes to the city of LA.
[42:23] So you are correct.
[42:25] Yeah, I believe that was not a county measure, that was a city measure for those that don't
[42:31] measure HHH was a $1.2 billion bomb pass in 2016.
[42:39] What they did with that, I don't know, because measure H came about the very next year.
[42:44] They were expected to get about 350 million a year, or 335, I can remember, it was 335, or
[42:51] 350 million per year. But measure H has already generated over 600 million a year. So they're
[43:02] basically doubling their money that they ever thought they were going to get from measure
[43:07] H. But yet they still want to pass measure A. So when is enough enough? That's my question.
[43:21] And then that's a question mirror pretend that a lot of folks have asked, and there's not a lot of answers to.
[43:29] And that's why it's important that the five of us put this to our voters and his students that ask,
[43:36] do you want to keep this money here locally to us with the work that we've done?
[43:42] I mean, I said we put our money where our mouth is.
[43:45] This money is state local and I want to keep it local if it all possible.
[43:50] you know, how you felt, nobody likes taxes. I totally get that. But if we were told our residents,
[43:57] you're going to get taxed in order to what? You want to get taxed? 50 cents? And get nothing for it?
[44:04] Or get taxed? 25 cents and keep it. I'd be okay with the 25 cents and keep it. Or at least keep it the same.
[44:13] So, I think the question is gentlemen, I think there's a support for this, so I think
[44:20] we check that box of putting this on the ballot.
[44:25] And mayer if I might just just try to summarize the actions that you'll be taking tonight.
[44:33] Simply, you would not be voting on placing something on the ballot that is going to increase
[44:41] taxes for ASUSA. You're simply voting that when that quarter of a percent becomes available,
[44:50] that ASUSA would have the opportunity to capture it. What the county does today or even in the future,
[44:59] the city counts.
[45:00] And the Azusa residents does not have control over that. So we're not proposing to increase Azusa's revenues or excuse me taxes.
[45:13] We are proposing to capture what we haven't been able to in the last 10 years when it becomes available.
[45:23] I think we did get some sample ballot language.
[45:28] Yeah, and then we put some notes on it to explain how it becomes affected depending on the scenarios.
[45:34] Okay.
[45:34] What's in front of you are all of the resolutions that you would need to call the election.
[45:40] What is missing in those resolutions is the ballot language, which is what we have in front of you that's being recommended.
[45:47] And so if you wish to pursue a ballot measure, you would adopt the resolutions that are before you and direct staff in the city attorney's office to make the necessary changes to the documents to reconcile them with the approved ballot language that's before you tonight.
[46:09] Thank you. Thank you, Marco. So gentlemen, we do have these or resolutions in front of us, but I'm looking at the ballot language.
[46:16] if there's, you know, you just got this, but if there's anything you see, this is pretty
[46:23] straightforward.
[46:24] It's, it means we're 75-word requirement unless it's best in this, you know, I appreciate
[46:30] that.
[46:31] This is what we call vanilla, as vanilla is possible, and so our residents can, you know, get
[46:40] their arms wrapped around what this actually is, but any changes, you see?
[46:45] Yeah, just so I'm clear.
[46:47] So we are looking at a single option here.
[46:51] And this will,
[46:54] if the new measure does pass,
[46:58] then this would go into effect immediately,
[47:01] the quarter percent replacement.
[47:02] It's like 2025.
[47:04] If it does not, then the earliest, this can go into effect.
[47:07] It's 27.
[47:07] October of 2027.
[47:10] If ours passes.
[47:11] Right.
[47:13] Assuming, yeah.
[47:15] And both need just require a 50% threshold, plus one threshold.
[47:23] So are you guys okay with the language?
[47:25] One, one, one, one, one.
[47:26] Of course, thank you, Mayor.
[47:28] I'm in looking at, um,
[47:31] Childe Measured of maintain locally generated funding for police firefighter,
[47:34] paramedic 911 response services.
[47:37] Um, of course all these services are impacted by the,
[47:43] uh, homeless crisis that we're dealing with.
[47:45] However, in looking at a resident who may not read the entire thing, would it be who
[47:50] us to put clean-up in campus and address homelessness as the first item listed on
[47:56] there, so kind of a swap of that first sentence or some I call in there?
[48:05] We actually discussed that this morning extensively and we are looking at this measure as a
[48:13] complete new measure without even considering what measure A is doing or measure H.
[48:18] If you were to put a measure before our local residents, and you needed funding, what would
[48:24] be your priorities?
[48:26] And that's what we put those three priorities first.
[48:28] Place, firefighter, paramedics, and I want to call.
[48:31] Of course, a lot of the call for service are related to homelessness and transients, but
[48:35] we needed to look at this from a diagnostic point of view, what would we want to maintain
[48:40] if we need it to prioritize services, and so that's why homeless and
[48:46] encampment cleanups follow public safety.
[48:51] It's part of the minutiae, so I get it.
[48:55] We're not competing with measure H or measure A.
[48:59] This is on measure, but it's a fight for that quarter.
[49:05] Any other questions or comments on this statement?
[49:10] If you okay with the statement and then we direct stop to move this forward,
[49:20] all right?
[49:21] So walk home and I can take the resources or can do it all when you do it all one.
[49:25] You can do it individually as long as at the end you also include directing staff to reconcile the documents with your selected ballot language.
[49:32] Okay, if there's no other further questions or comments, I'm going to look for a motion
[49:40] to adopt resolution number 2024C 40, wondering if that in order to be submitted to the
[49:46] city.
[49:46] As use of orders, at the General Municipal Election to be held number 5024, I'm approving
[49:52] an act in an amendment to the city's transaction and use tax and adopting resolution number
[49:57] 244-C41, providing for the filing of the primary and
[50:02] rebuttal arguments and setting rules for the filing of
[50:05] written arguments regarding a city measure to be submitted
[50:08] at the number of 50th, 2024, general municipal election,
[50:12] and a debt resolution number 2024-C42, requesting that the
[50:17] board of supervisors of County of Los Angeles to
[50:21] consolidate general municipal election to be held.
[50:27] That date pursuant to 1 0 4 0 3 of the election code and direct staff to use this amended language.
[50:40] Do you be submitted as our pilot language as you need?
[50:44] I correct Marco.
[50:46] Okay, so I'm looking for that motion.
[50:48] To approve motion.
[50:59] There you go.
[51:00] I have a motion from Mayor for 10.
[51:01] Who have a second second second from council and driver the gentleman the side of the board, please?
[51:31] And that passes unanimously. Thank you staff for the presentation. That was very details. Thank you for that. Marco, thank you for that.
[51:46] So before we adjourn, we do have some council comments. And so I will merit for them. You have any comments this evening.
[51:54] only regarding this topic or no you can you say whatever you like except for that
[52:02] I
[52:03] Do I have any it? No, I don't have any and now it's okay. Thank you. Councilmember
[52:08] Brabillum
[52:08] None mayor. Thank you. Councilmember Mendus. I've done. Thank you.
[52:13] And Councilmember Beck with. No thank you. Thank you. I appreciate gentleman if you take
[52:18] in time out of your schedules for the special meeting. This was extremely
[52:22] important to our residents. So, the work continues. I want to thank you guys for taking
[52:27] time out of those schedules. We do have a lot of things that are happening still during
[52:32] the course of the summer. So, don't forget the calendar. We do have the boxing show this Saturday
[52:39] and Memorial Park. So, make sure that you are there. I believe such a 10 a.m., so that's a little
[52:45] We've got a free commercial out of this and then we have cool cuts coming in a couple of weeks as well.
[52:53] And tonight I'd like to join in a memory of Ms. Maria Olga Martinez.
[52:57] So with that we are adjourned. Thank you guys. Thank you.