An ordinance calling for a ballot measure establishing a transaction and use tax intended for road maintenance use in the City of Clearlake passed its second reading on Thursday, Aug. 24. The Clearlake City Council voted 4-0 to proceed with Measure Z, a one-half percent sales tax initiative to be presented to voters during the November 2006 General Election.
The initiative was originally presented to the voters as a special tax during the June 2006 Primary Election. As a special tax, passage had required a two-thirds majority vote by the electorate voting on the measure, which was narrowly missed according to proponents. This time, passage of Measure Z will require a majority vote by the electorate.
According to City Administrator Kathy Kivley, passage of Measure Z could generate approximately $800,000 annually. The money collected would be directed to the city”s General Fund to be used at the discretion of the city council. To ensure revenue is applied to road maintenance, Kivley said the city could seek a bond, which would carry debt service obligations that would tie the city to its commitment to road maintenance.
With a 20-year lifespan, the tax is projected to amount to a total of $16 million. However, Kivley said that the city would not seek a bond in the total amount in order to ensure the city”s financial ability to repay the bond.
Another measure to be taken to ensure proper appropriation of the revenues should the tax initiative pass is the formation of an oversight committee. The oversight committee will be charged with safeguarding the will of the public to ensure that the money is spent in the manner intended by the voters.
Arguments for and against Measure Z were due by 5 p.m. Wednesday, Aug. 23 to the office of the Clearlake City Clerk, 14050 Olympic Drive in Clearlake. Only one argument for and against Measure Z will be distributed with sample ballots. Authors of the selected arguments may prepare and submit rebuttals no later than 5 p.m. Wednesday, Aug. 30. Please call the City Clerk”s office, 994-8201, ext. 150 prior to filing arguments.
Contact Denise Rockenstein at drockenstein@clearlakeobserver.com.
