Pass: 9284 / 53.97% Yes votes ...... 7917 / 46.03% No votes

See Also: Index of all Propositions

Proposition L provides that the sales tax is to be used for "the general governmental purposes of the City and be received into the general fund of the City." Because this sales tax would be a general tax, it could be used for any legal municipal purpose. The City would not be legally bound to use the tax monies for any special purpose or for any particular services, facilities or programs. The tax would expire in thirty years on March 31, 2037.

Proposition L authorizes but does not direct the City Council to use the proceeds of any bonds issued by the Vista Joint Powers Financing Authority for any general governmental purposes, including, without limitation or obligation, the construction or operation of fire facilities, police facilities, streets and roads, youth athletic fields and facilities, cultural facilities, or a new civic center facility. It also authorizes the City to appropriate funds for the rent, lease or construction of new municipal administrative facilities having a contract value in excess of $300,000. This authorization is intended to comply with Chapter 1.24.030 of the Vista Municipal Code, which was enacted by Proposition T in the election of November 6, 1979. In addition, to the extent that any provision of Proposition S, the tax initiative from the election of November 6, 1984, could be construed to conflict with any provision of this sales tax ordinance, then to that extent the conflicting provisions would be repealed.

Proposition L requires the City's independent auditors to complete an annual Transactions and Use Tax Ordinance Compliance and Internal Control Audit Report. Their report must review whether the sales tax revenues collected by the City are collected, managed and expended in accordance with the requirements of applicable law. The proposition also requires the City Council to establish a Sales Tax Oversight Committee to review the expenditure of all City sales tax revenues. The Committee must consist of at least five members appointed by the Mayor and approved by the City Council, and they must be residents of or employed in Vista. The terms of the Committee members and their specific duties will be established by resolution of the City Council.

Proposition L would make Vista Ordinance 2006-15 operative. The ordinance, which has also been reviewed by the State Board of Equalization, is the legal instrument that authorizes the additional sales tax, but only if it is approved by a majority of the voters at the November 7, 2006, election. The ordinance was adopted by the Vista City Council on August 8, 2006, and a copy of it is printed as part of these ballot materials.

Darold Pieper, City Attorney

City of Vista

Please consider these facts:

• As city population has grown, emergency calls have nearly doubled. Despite efforts of local police and firefighters, emergency/9-1-1 response times are twice the recommended average.

• Vista roads are heavily used, congested, and need repair and improvement. Current resources for annual maintenance are insufficient.

• City Hall, originally built as a junior high school in 1956, is deteriorated, and outdated infrastructure/technology is completely inadequate to meet the service needs of the community. Underground water and sewer systems are even older. Loss of service or system failure is an ongoing concern.

• Reduce emergency response times, hiring more firefighters and police officers

• Construct an up-to-date/efficient Civic Center, including an Emergency Operations Center (EOC)

• Add needed fire stations/safety equipment

• Reduce graffiti/improve neighborhood policing

• Improve city services, youth sports/recreational fields, Moonlight Amphitheatre, and improve roadways

We respectfully urge your YES vote.

GARY FISHER
Fire Chief, City of Vista
PAUL ECKERT
Former County Supervisor
Vista Businessman
BERNIE RAPPAPORT
Former Mayor, Chairman of VCPS
MARTY MILLER
RBV Little League Baseball Manager
MARJORIE B. COSH
President, Friends of the Vista Library

• Vista City politicians have done a poor job of keeping expenses in line with revenues. From 2002 to 2006, the City Council approved a 35+% increase to their own budget, plus a stunning increase in employee benefits. Before increasing Vista's taxes, real efforts should be made to streamline bureaucracy, control runaway employee pension costs and cut back on unnecessary expenses.

• Oceanside, Carlsbad, Encinitas, San Marcos, Escondido and even San Diego are getting along without raising their sales tax. So should Vista.

• Shame on our politicians for attempting to mislead voters with a disingenuous ballot statement. The proposition grandly touts a guaranteed independent financial audit, but there is no legal requirement that a DIME of the sales tax be spent on any of the "vital city services" listed in the measure. The audit will only review whether the sales tax revenues are collected, managed and expended in accordance with applicable law.

• Approval of this sales tax increase is the equivalent of signing a blank check to city politicians every year for the next 30 years. As author P.J. O'Rourke wryly noted, "Giving [more] money and power to government is like giving whiskey and car keys to teenage boys."

LANI LUTAR
President & CEO, San Diego County Taxpayers Association
ED ESTES, JR.
Former Mayor/Councilman
JAMES E. GIBSON
Trustee, VUSD
RICHARD M. COOKE
USMC Retired
RICHARD RIDER
Chair, San Diego Tax Fighters

• Vista's tax revenue is continuing to rise at a healthy clip. So why are our politicians telling us we need to RAISE our taxes??

• Too much of this regressive tax will fall on the backs of our seniors and less fortunate citizens. That's unfair!

• If this tax passes, Vista will charge the second highest sales tax in the county (tied with El Cajon). How come our politicians can't operate our city government with the sales tax rate used by almost every other city in the county?

• To avoid this tax, we Vista citizens will tend to buy goods outside our own city, and county consumers will tend to avoid Vista as a place to shop or visit. This helps our economy?

• Vista car dealers' customers who live outside Vista will NOT pay the higher tax, due to state law!

• Even worse, most Vista residents and businesses buy their vehicles outside the city. But we still will pay the higher Vista sales tax on cars and trucks regardless of where we make our purchase.

• Read the measure carefully. Though the tax hikers claim that the tax increase will be used for vital city projects, there is NO LEGAL REQUIREMENT that the money be spent that way. None!

• Voters are supposed to trust Vista politicians to do the right thing. And not only today's politicians, but all the city politicians for the next 30 years while the tax is being collected. Bad idea!

• This ballot is awash with bonds and tax increases. Enough is enough!

• If you think that your taxes are already too high, or even just high enough, you should vote NO on this tax increase.

For more information, contact San Diego Tax Fighters
SDTF@EconomyTelecom.com phone 858-530-3027

RICHARD M. COOKE
Former Vista City Councilman
RICHARD G. MILLS
President TPB
JOHN W. KUIVINEN
Electronic Engineer
MONTE COUGHRAN
RICHARD RIDER
Chair, San Diego Tax Fighters

• They do not dispute the urgent need to improve public safety and local services in Vista. In fact, their argument does not even specifically address local needs or quality of life in our community.

• They are part of a group that submitted similar arguments against other local measures throughout San Diego County, regardless of the facts.

• One of the primary authors does not even live in Vista.

• State raids on local funding have meant drastic cuts to public health/safety services, including sheriff and fire personnel

• Local seniors/children/residents rely on rapid response to emergency calls. Additional police, fire and paramedic personnel/equipment/facilities are critically needed to improve response time to nationally accepted standards.

• Passage of Proposition L is crucial to maintain/improve local roads, infrastructure, youth sports facilities, city services and civic/cultural resources important to Vista residents/businesses.

Proposition L has broad-based, community support. The benefits of Proposition L are essential to maintain property values and quality of life for local residents.

We urge your YES vote on Proposition L.

DANIEL X. WRAY
Local Businessman
PAUL ECKERT
Former County Supervisor
RICH WILKINSON
President, Vista Firefighters Assoc.
JAMES F. DUFFY, President
Deputy Sheriffs Association of San Diego County
MARJORIE COSH
Friends of the Vista Library

Section 1. TITLE. This ordinance shall be known as the Vista 2006 Transactions and Use Tax Ordinance. The City of Vista hereinafter shall be called "City." This ordinance shall be applicable in the incorporated territory of the City.

Section 2. OPERATIVE DATE. "Operative Date" means the first day of the first calendar quarter commencing more than 110 days after the adoption of this ordinance, the date of such adoption being as set forth below.

Section 3. PURPOSE. This ordinance is adopted to achieve the following, among other purposes, and directs that the provisions hereof be interpreted in order to accomplish those purposes:

A. To impose a retail transactions and use tax in accordance with the provisions of Part
1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code and Section
7285.9 of Part 1.7 of Division 2 which authorizes the City to adopt this tax ordinance which shall be operative if a majority of the electors voting on the measure vote to approve the imposition of the tax at an election called for that purpose.

B. To adopt a retail transactions and use tax ordinance that incorporates provisions identical to those of the Sales and Use Tax Law of the State of California insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.6 of Division 2 of the Revenue and Taxation Code.

C. To adopt a retail transactions and use tax ordinance that imposes a tax and provides a measure therefore that can be administered and collected by the State Board of Equalization in a manner that adapts itself as fully as practicable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the State Board of Equalization in administering and collecting the California State Sales and Use Taxes.

D. To adopt a retail transactions and use tax ordinance that can be administered in a manner that will be, to the greatest degree possible, consistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, minimize the cost of collecting the transactions and use taxes, and at the same time, minimize the burden of record keeping upon persons subject to taxation under the provisions of this ordinance.

Section 4. CONTRACT WITH STATE. Prior to the operative date, the City shall contract with the State Board of Equalization to perform all functions incident to the administration and operation of this transactions and use tax ordinance; provided, that if the City shall not have contracted with the State Board of Equalization prior to the operative date, it shall nevertheless so contract and in such a case the operative date shall be the first day of the first calendar quarter following the execution of such a contract.

Section 5. TRANSACTIONS TAX RATE. For the privilege of selling tangible personal property at retail, a tax is hereby imposed upon all retailers in the incorporated territory of the City at the rate of one-half of one percent (0.50%) of the gross receipts of any retailer from the sale of all tangible personal property sold at retail in said territory on and after the operative date of this ordinance.

Section 6. PLACE OF SALE. For the purposes of this ordinance, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is delivered by the retailer or his agent to an out-of-state destination or to a common carrier for delivery to an out-of-state destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the state sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no permanent place of business in the State or has more than one place of business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the State Board of Equalization.

Section 7. USE TAX RATE. An excise tax is hereby imposed on the storage, use or other consumption in the City of tangible personal property purchased from any retailer on and after the operative date of this ordinance for storage, use or other consumption in said territory at the rate of one half of one percent (0.50%) of the sales price of the property. The sales price shall include delivery charges when such charges are subject to state sales or use tax regardless of the place to which delivery is made.

Section 8. ADOPTION OF PROVISIONS OF STATE LAW. Except as otherwise provided in this ordinance and except insofar as they are inconsistent with the provisions of Part
1.6 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code are hereby adopted and made a part of this ordinance as though fully set forth herein.

Section 9. LIMITATIONS ON ADOPTION OF STATE LAW AND COLLECTION OF USE TAXES. In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code:

A. Wherever the State of California is named or referred to as the taxing agency, the name of this City shall be substituted therefore. However, the substitution shall not be made when:

1. The word "State" is used as a part of the title of the State Controller, State Treasurer, State Board of Control, State Board of Equalization, State Treasury, or the Constitution of the State of California;

2. The result of that substitution would require action to be taken by or against this City or any agency, officer, or employee thereof rather than by or against the State Board of Equalization, in performing the functions incident to the administration or operation of this Ordinance.

3. In those sections, including, but not necessarily limited to sections referring to the exterior boundaries of the State of California, where the result of the substitution would be to:

a. Provide an exemption from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain subject to tax by the State under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, or;

b. Impose this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not be subject to tax by the state under the said provision of that code.

4. In Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 or 6828 of the Revenue and Taxation Code.

B. The word "City" shall be substituted for the word "State" in the phrase "retailer engaged in business in this State" in Section 6203 and in the definition of that phrase in Section 6203.

Section 10. PERMIT NOT REQUIRED. If a seller's permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional transactor's permit shall not be required by this ordinance.

Section 11. EXEMPTIONS AND EXCLUSIONS.

A. There shall be excluded from the measure of the transactions tax and the use tax the amount of any sales tax or use tax imposed by the State of California or by any city, city and county, or county pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law or the amount of any state-administered transactions or use tax.

B. There are exempted from the computation of the amount of transactions tax the gross receipts from:

1. Sales of tangible personal property, other than fuel or petroleum products, to operators of aircraft to be used or consumed principally outside the county in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this State, the United States, or any foreign government.

2. Sales of property to be used outside the City which is shipped to a point outside the City, pursuant to the contract of sale, by delivery to such point by the retailer or his agent, or by delivery by the retailer to a carrier for shipment to a consignee at such point. For the purposes of this paragraph, delivery to a point outside the City shall be satisfied:

a. With respect to vehicles (other than commercial vehicles) subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, and undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code by registration to an out-of-City address and by a declaration under penalty of perjury, signed by the buyer, stating that such address is, in fact, his or her principal place of residence; and

b. With respect to commercial vehicles, by registration to a place of business out-of-City and declaration under penalty of perjury, signed by the buyer, that the vehicle will be operated from that address.

3. The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4. A lease of tangible personal property which is a continuing sale of such property, for any period of time for which the lessor is obligated to lease the property for an amount fixed by the lease prior to the operative date of this ordinance.

5. For the purposes of subparagraphs (3) and (4) of this section, the sale or lease of tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

C. There are exempted from the use tax imposed by this ordinance, the storage, use or other consumption in this City of tangible personal property:

1. The gross receipts from the sale of which have been subject to a transactions tax under any state-administered transactions and use tax ordinance.

2. Other than fuel or petroleum products purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this State, the United States, or any foreign government. This exemption is in addition to the exemptions provided in Sections 6366 and
6366.1 of the Revenue and Taxation Code of the State of California.

3. If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4. If the possession of, or the exercise of any right or power over, the tangible personal property arises under a lease which is a continuing purchase of such property for any period of time for which the lessee is obligated to lease the property for an amount fixed by a lease prior to the operative date of this ordinance.

5. For the purposes of subparagraphs (3) and (4) of this section, storage, use, or other consumption, or possession of, or exercise of any right or power over, tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

6. Except as provided in subparagraph (7), a retailer engaged in business in the City shall not be required to collect use tax from the purchaser of tangible personal property, unless the retailer ships or delivers the property into the City or participates within the City in making the sale of the property, including, but not limited to, soliciting or receiving the order, either directly or indirectly, at a place of business of the retailer in the City or through any representative, agent, canvasser, solicitor, subsidiary, or person in the City under the authority of the retailer.

7. "A retailer engaged in business in the City" shall also include any retailer of any of the following: vehicles subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, or undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code. That retailer shall be required to collect use tax from any purchaser who registers or licenses the vehicle, vessel, or aircraft at an address in the City.

D. Any person subject to use tax under this ordinance may credit against that tax any transactions tax or reimbursement for transactions tax paid to a district imposing, or retailer liable for a transactions tax pursuant to Part 1.6 of Division 2 of the Revenue and Taxation Code with respect to the sale to the person of the property the storage, use or other consumption of which is subject to the use tax.

Section 12. AMENDMENTS. All amendments subsequent to the effective date of this ordinance to Part 1 of Division 2 of the Revenue and Taxation Code relating to sales and use taxes and which are not inconsistent with Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, and all amendments to Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, shall automatically become a part of this ordinance, provided however, that no such amendment shall operate so as to affect the rate of tax imposed by this ordinance.

Section 13. ENJOINING COLLECTION FORBIDDEN. No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in any court against the State or the City, or against any officer of the State or the City, to prevent or enjoin the collection under this ordinance, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any amount of tax required to be collected.

Section 14. SEVERABILITY. If any provision of this ordinance or the application thereof to any person or circumstance is held invalid, the remainder of the ordinance and the application of such provision to other persons or circumstances shall not be affected thereby.

Section 15. USE OF PROCEEDS. The proceeds from the retail transaction and use tax imposed by this ordinance shall be for the general governmental purposes of the City and be received into the general fund of the City. Nothing herein shall (i) bind the City to use the proceeds for any specific purpose or function or to (ii) authorize or direct the issuance of bonds secured by or payable from any sales tax proceeds.

Section 16. ANCILLARY AUTHORIZATIONS. The City Council is hereby authorized but not directed to use the proceeds of any bonds issued by the Vista Joint Powers Financing Authority for any general governmental purposes, including, without limitation or obligation, the construction or operation of fire facilities, police facilities, streets and roads, youth athletic fields and facilities, cultural facilities, or a new civic center facility.

Section 17. OTHER PROPOSITIONS. In accordance with Chapter 1.24.030 of the Vista Municipal Code (Proposition T, election of 11-06-1979), the City of Vista is hereby authorized to appropriate funds for the rent, lease or construction of new municipal administrative facilities having a contract value in excess of $300,000. To the extent that any provision of Proposition S (election of 11-06-1984) could be construed to conflict with any provision of this ordinance, then to that extent the conflicting provisions of Proposition S are hereby repealed.

Section 18. INDEPENDENT FINANCIAL AUDIT. By no later than November 30 of each year the City's independent auditors shall complete a Transactions and Use Tax Ordinance Compliance and Internal Control Audit Report. Such report shall review whether the sales tax revenues collected by the City are collected, managed and expended in accordance with the requirements of applicable law.

Section 19. SALES TAX OVERSIGHT COMMITTEE. Although not otherwise required by law, the City Council shall, no later than December 31, 2006, establish a Sales Tax Oversight Committee to review the expenditure of all City sales tax revenues. The Committee shall consist of at least five members appointed by the Mayor and approved by the City Council. The Committee members shall be residents of or employed in the City. The terms of the Committee members and their specific duties shall be established by resolution of the City Council. All meetings of the Committee shall comply with the provisions of the Ralph M. Brown Act (commencing with Section 54950 of the Government Code of the State of California).

Section 20. EFFECTIVE DATE. This ordinance relates to the levying and collecting of the City transactions and use taxes and shall take effect immediately but it shall not become operative until approved by a majority of the voters voting at the general municipal election to be held November 7, 2006.

Section 21. TERMINATION DATE. The authority to levy the tax imposed by this ordinance shall expire March 31, 2037.