See Also: Index of all Measures

Impartial Analysis from Nicholas George Rodriguez, City Attorney

Measure L would establish an annual special parcel tax on non-residential parcels in the City of Vernon for a ten year period, to raise revenue solely for Fire Protection, Public Health and Police related services and projects.

Measure L proposes a tax ordinance establishing the maximum rate of the special parcel tax. For Fiscal Year 2013-14, the maximum rate would be three cents per square foot of taxable parcel area. This maximum rate would increase annually, based on the change in the Consumer Price Index, according to a formula specifi ed in the ordinance. For each fi scal year, the tax would be calculated based on the then-applicable maximum rate, unless the Council chose to levy the tax at some lower rate. The last year in which the tax would be collected would be Fiscal Year 2022-2023, and the tax would automatically end after that.

The special parcel tax would be collected by the County of Los Angeles on the annual property tax bill, collected in two equal installments, and which are delinquent if not paid by December 10 and April 10, of each year. The special parcel tax would be subject to the same penalties, interest and collection procedures as the annual property tax.

Generally, the special parcel tax ordinance defi nes the "taxable parcel area" of a parcel to be the square footage of that parcel. However, certain parcels used as warehouses, truck terminals, freight terminals, railroad facilities and distribution facilities are already subject to a special parcel tax under existing law. Where a parcel is subject to this existing tax, commonly known as the "Warehouse Tax", that parcel's "taxable parcel area" would be reduced by a number of square feet equal to the Warehouse Tax liability of the parcel divided by the rate of the Warehouse Tax. This adjustment would effectively cause each square foot of a taxed parcel to be charged either the Warehouse Tax or the new special parcel tax, but not both taxes.

The special parcel tax would not be levied on parcels that: (i) are exempt from the special parcel tax pursuant to the Constitution or the laws of the United States or of the Constitution or the laws of the State of California, or (ii) are exempt from the ad valorem property tax or have an ad valorem property tax liability of zero.

Proceeds of the proposed special parcel tax would be maintained by the City in a separate fund and could be expended only on: (i) City fi re protection services and projects, (ii) City health services and projects, and (iii) City police services and projects. Services and projects include, but are not limited to, salaries, benefits, equipment and capital improvements. City staff estimates the special parcel tax will raise $1.9 million for these purposes in Fiscal Year 2013-14. Because proceeds of the special parcel tax will be restricted as to use, Measure L will pass only if approved by two-thirds of those casting ballots on the Measure.