Sonoma County

Measure M - 2/3 Approval Required

COUNTY COUNSEL'S IMPARTIAL ANALYSIS OF MEASURE M

Measure M asks voters whether the County should impose a one-eighth of one per- cent special sales tax countywide for a period of ten years to fund improvements and maintenance for both Sonoma County Regional Parks and local city parks. These improvements include water quality protection projects and fire safety measures listed in the Expenditure Plan attached to the Measure. If approved, Measure M would impose a special tax that will provide approximately $11,500,000 annually. As a special tax, funds may be used only for the specific purposes set forth in the full text of the Measure published in this ballot pamphlet. The tax money will be placed in a special fund maintained in the County Treasury, and will be audited annually by an independent accountant.

The Expenditure Plan lists four categories of projects for funding, including: support for local city parks and recreation needs; investment in maintenance, safety, and recreation services for County regional parks, trails, and open space preserves; improving access to County regional parks, trails, and open space preserves; protect- ing natural resources; and improving waterways and water quality. Specific projects in each of these categories are listed in the Expenditure Plan. The Expenditure Plan provides that tax proceeds will be used to supplement existing funding for all benefited agencies and will not be used to supplant an agency’s historical general fund support except during limited specified circumstances. If legal environmental review, such as under the California Environmental Quality Act (CEQA) or other applicable law, is required for any particular project, the Plan provides that it be performed before the project is undertaken.

If voters approve Measure M, the Board of Supervisors will establish an independent Citizens’ Oversight Committee to review the receipts and expenditures from the tax. The Committee will produce an annual oral or written report for the Board of Supervisors and respective city councils setting forth the Committee’s finds and conclusions. Any written report will be available as a public record. Each year, Regional Parks and each incorporated city are required to prepare a report detailing the prior fiscal year’s activi- ties related to the tax and projects funded by the tax.

The tax proposed by the ordinance will become effective only if approved by a two-thirds majority of those voting on the measure.

A “yes” vote on Measure M will authorize the County to increase the sales tax rate one-eighth percent, or one-eighth cent on each dollar countywide.

The new rate would go into effect on April 1, 2019, and remain in effect until March 31, 2029. The proposed sales tax would be imposed and collected by merchants in the same manner as existing sales tax. The ordinance would raise the County’s spending limit for the maximum period allowed by law to allow the County to spend the revenue raised by the tax.

A “no” vote on Measure M will prohibit the County from imposing the proposed sales tax.

The Board of Supervisors unanimously voted to place this measure on the ballot. The full text of Measure M, including the Expenditure Plan, follows this analysis.

 BRUCE D. GOLDSTEIN County Counsel  By: s/ Robert Pittman Assistant County Counsel

COUNTY AUDITOR’S FISCAL IMPACT STATEMENT — MEASURE M

This measure would increase the sales tax collected in Sonoma County by one-eighth of one cent per dollar (0.125%) on all taxable sales occurring in Sonoma County.

Based on records from the California State Board of Equalization for the period of July 2017 through June 2018, the additional sales tax rate of 0.125% would yield approxi- mately $12.3 million each year for Sonoma County Regional Parks, Trails, Open Space Preserves, and Local City Parks.

Under the Expenditure Plan for this measure, 66.7% of net proceeds would be allocated to Sonoma County Regional Parks and 33.3% would be allocated among the incorporated cities in Sonoma County. Over the 10 year life of the measure, County and City parks would receive approximately $123.0 million in additional funding.

The first proceeds from the measure would be realized in June 2019, with the first full year of revenues impacting the budget for fiscal year 2019-2020. Based on the fiscal year 2018-2019 adopted budget for the Sonoma County Regional Parks depart- ment, revenues (including use of fund balance and General Fund contributions) with the measure in place would increase by 28.0%, or $8.20 million.

The cities’ 33.3% portion of net proceeds under this measure would be distributed to all incorporated cities based on their pro rata share of population in incorporated Sonoma County cities. Based on this method, annual estimated revenue increases would be as follows:

               Santa Rosa                          $ 2,025,500

Petaluma                           711,600 

Rohnert Park                              494,700

Windsor                            318,400

Healdsburg                                 136,900 

Sonoma                                      129,200

Cloverdale                                  103,600

Sebastopol                                   88,400

Cotati                                          87,600

Cities Total Expenditures:$ 4,095,900 

The Expenditure Plan provides for investment into four program categories. The ex- penditure categories and revenue allocation percentage are noted below.

1. (1)  Support local city parks and recreation needs – 33.3%;

2. (2)  Invest in maintenance, safety and recreation services in Sonoma County Regional Parks, trails, and open space preserves – 25.0%;

3. (3)  Improve access to Sonoma County Regional Parks, trails, and open space preserves – 23.4%; and

4. (4)  Protect natural resources in Sonoma County Regional Parks, trails, and open space preserves – 18.3%.

The proceeds from the measure should not be used to supplant an agency’s historic general fund contribution in support of the operating cost for providing its park and recreation programs, facilities, and services. Other than during times of financial downturn or other unexpected event, general fund contributions, adjusted for onetime funding, should not be less than allocated for the previous fiscal year.

The Board of Supervisors shall establish a citizens’ oversight committee to provide transparency and ensure fiscal accountability.

If the election is successful, the County will be reimbursed for the cost of the election from the proceeds of the tax.

In accordance with the Elections Code, the scope of this fiscal impact statement has been limited to the measure’s effect on revenues and expenditures. It does not ad- dress larger countywide fiscal issues such as the measure’s effect on the overall County economy.

 s/ Erick Roeser Auditor-Controller-Treasurer-Tax Collector