Measure G is an ordinance authorizing the City of Gardena to levy a three-quarter cent (0.75%) transactions and use tax. This type of tax, commonly referred to as a "local sales tax," is collected along with other state and local sales and use taxes and is administered by the California Department of Tax and Fee Administration. A three-quarter cent tax on a $100.00 taxable purchase is, for example, seventy-five cents.
The combined rate of all state and local sales taxes applicable to taxable sales in the City of Gardena is currently 9.5%. Of this 9.5%, only a 1.0% sales tax, known as the Bradley-Burns Tax, is imposed by the City of Gardena. The remaining taxes are imposed by the state or by the county or its agencies. The proposed new tax would increase the combined tax rate to 10.25%.
Purchases in Gardena that are exempt from the statewide sales tax would also be exempt from the proposed new tax. For example, most groceries, prescription drugs and purchases of services would be exempt from taxation.
The tax would be administered by the state. Proceeds of the tax, less administration costs, would be deposited in the city's general fund, controlled by the City Council of the City of Gardena, and available for any lawful municipal purpose. Examples of permissible uses, as identified by the City Council, are retaining experienced police officers, firefighters and paramedics, maintaining 911 emergency response times, funding gang and drug prevention programs, emergency communications, neighborhood police patrols, youth and senior services, parks and recreation centers, repairing streets and sidewalks and providing general fund services.
This tax would remain in effect until terminated by the voters. It is anticipated that this tax will initially generate approximately $7,400,000 in revenue annually for the city's general fund. The proceeds of the tax would be audited annually by an independent certified public accountant.
This measure was placed on the ballot by the City Council of the City of Gardena.
A YES vote approves the measure and authorizes the proposed tax.
A NO vote rejects the measure and the proposed tax.
