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R10975City Council Meeting: July 12, 2016 Santa Monica, California RESOLUTION NUMBER,(CCS) (City Council Series) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA SUBMITTING TO THE VOTERS AN ADVISORY MEASURE ASKING WHETHER POTENTIALLY INCREASED REVENUES SHOULD BE SPENT ON EDUCATION AND AFFORDABLE HOUSING, ACCOMPANIED BY A MEASURE PROPOSING TO INCREASE THE TRANSACTIONS AND USE TAX BY ONE-HALF PERCENT AT THE GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 8, 2016, AND AUTHORIZING CITY COUNCIL MEMBERS TO FILE WRITTEN ARGUMENTS FOR OR AGAINST THE MEASURE AND DIRECTING THE CITY ATTORNEY TO PREPARE AN IMPARTIAL ANALYSIS OF THE MEASURE WHEREAS, all redevelopment agencies in California, including the Santa Monica Redevelopment Agency, were dissolved on February 1, 2012; and WHEREAS, the Santa Monica Redevelopment Agency generated nearly $40 million per year that was used for Santa Monica community priorities such as seismic safety improvements to public buildings, affordable housing, and capital improvements; and WHEREAS, the dissolution of the Santa Monica Redevelopment Agency severely diminished the funds available to address Santa Monica community priorities; and WHEREAS, many residents live in Santa Monica because the City invests in community priorities, offering extensive services and programs that substantially enhance quality of life; and WHEREAS, residents depend upon the City to continue to protect their quality of life and effectuate community priorities, but with the loss of redevelopment funds, the City must seek other resources; and WHEREAS, redevelopment funds provided over $15 million annually to support affordable housing in Santa Monica; and WHEREAS, the dissolution of the Santa Monica Redevelopment Agency has severely diminished funding available for affordable housing; and WHEREAS, affordable housing addresses a great need in Santa Monica, where the 2015 median market rent for a two-bedroom apartment was nearly four times greater than what a low-income family can afford; and WHEREAS, affordable housing continues to be critical to addressing the needs of Santa Monica residents, where one in five households made less than $25,000 in 2014 and over 50 percent of households made less than $75,000 in 2014; and WHEREAS, a lack of affordable housing in high-cost areas such as Santa Monica causes many households to be overburdened by housing costs, reducing available funds for other necessities that are essential for health and wellbeing; and 0r WHEREAS, during the Great Recession that began in December 2007, the State of California faced severe operating deficits and budget deficits and was forced to cut many programs and services; and WHEREAS, although the State of California has been able to balance its budgets recently, it has been unable to restore funding to many programs that were eliminated or reduced during the Great Recession; and WHEREAS, funding for certain programs, including public education, is tied to the budget of the State of California; WHEREAS, the instability of the state's budget causes instability in the budgets of Santa Monica's local public schools; and WHEREAS, a lack of available funding limits local public schools' ability to adequately invest in key educational priorities such as attracting and retaining high- quality teachers, expanding access to pre-schools, assisting at -risk students, improving school technology, enhancing instruction in arts, music, math, and science, and upkeep and maintenance of school facilities and classrooms; and WHEREAS, an increase in the transactions and use tax ("TUT") would increase revenues for the City of Santa Monica; and WHEREAS, the City Council could allocate those increased funds toward public education and affordable housing; and 3 WHEREAS, increased funding for affordable housing would allow the City of Santa Monica to continue its efforts to address the housing needs of low-income seniors, veterans, working families, and people with disabilities; and WHEREAS, increased funding for local public schools would allow the Santa Monica community to strengthen its efforts to support educational advancement for youth within the community; and WHEREAS, on June 14, 2016, the City Council adopted resolutions calling for and giving notice of a General Municipal Election on November 8, 2016; and WHEREAS, an increase in the TUT would partially fill the revenue gap left by the loss of redevelopment funds; and WHEREAS, the City Council of the City of Santa Monica desires to place a measure on the November 8, 2016 ballot ("TUT Measure") that would authorize a one- half (1 /2) percent increase to the TUT, increasing the total TUT to one percent, in accordance with state law; and WHEREAS, the City Council of the City of Santa Monica desires to place a companion advisory measure on the November 8, 2016 ballot ("Advisory Measure") that would allow voters to express their preference on the expenditure of funds for affordable housing and public school programs, if the TUT Measure passes; and WHEREAS, all City revenues are subject to annual independent audits with public review of the City Budget being widely available, including at City Hall, on-line and at the public library. Cl NOW THEREFORE, the City Council of the City of Santa Monica does resolve as follows: SECTION 1. A General Municipal Election has been called for on November 8, 2016 for the purpose, among other things, of electing City Council members and submitting measures and ballot propositions to the voters. SECTION 2. At the General Municipal Election called for November 8, 2016, the following advisory question shall be submitted to the qualified electors of the City of Santa Monica: PROPOSITION " ADVISORY VOTE ONLY. - If a local transactions and use tax is enacted in Santa Monica, should half its revenue be used to improve and maintain local public schools, Yes including attracting and retaining high-quality ------------------ teachers, expanding access to pre-schools, No assisting at -risk students, and improving school technology, arts, music, math, and science instruction; and half to help preserve and ensure housing in Santa Monica that is affordable, protect residents from displacement by rising housing costs, and reduce homelessness? SECTION 3. At the General Municipal Election called for November 8, 2016, the following proposition shall also be submitted to the qualified electors of the City of Santa I1yt6111 PROPOSITION " ": To maintain and improve Santa Monica community services including Yes support for preservation of affordable housing, ------------------ reducing homelessness, school repair and No improvement, education of Santa Monica children and students, and other general fund 5 services, shall an ordinance be adopted to enact a Santa Monica one-half percent transactions and use tax, subject to independent annual audits, all funds used locally, and no money going to Sacramento? SECTION 4, The City Clerk shall transmit to the City Attorney, in accordance with Elections Code Section 9280, copies of both measures. The City Attorney shall prepare an impartial analysis of them, which analysis shall not exceed 500 words in length each. The impartial analysis shall be filed by the date set by the City Clerk for the filing of primary arguments. In accordance with Santa Monica Municipal Code section 11.04.190 and California Elections Code Section 9295, not less than 10 calendar days before the City Clerk submits the official election materials for printing, the City Clerk shall make a copy of all applicable elections materials available for public examination in the City Clerk's Office. SECTION 5. The City Council authorizes its members, as follows, to file written arguments for and against the measures: FOR: AGAINST: All written arguments filed by any person in favor of or against any measure, including any rebuttal arguments, shall be accompanied by the names and signatures of the persons submitting the arguments as required by applicable law, and any names, signatures and arguments may be filed until the time and date fixed by the City Clerk in accordance with applicable law, after which no change may be submitted to the City Clerk unless permitted by law. SECTION 6. The City Clerk shall cause the text of the measures, together with the City Attorney's impartial analysis, and any arguments for or against the measures, as well as any rebuttal, to be mailed to all qualified voters with the sample ballot. In addition to other notices and publications required by law, the City Clerk, not less than forty (40) days and not more than sixty (60) days before the General Municipal Election, shall cause the text of the measures to be published once in the official newspaper and in each edition thereof during the day of publication. The City Clerk is authorized to give such notices and to fix such times and dates as are required by law or which are appropriate to conduct the election properly. SECTION 7. The provisions of Resolution Numbers 10964 (CCS), 10965 (CCS), and 10966 (CCS) are referred to and incorporated as necessary for more particulars concerning the General Municipal Election to be held on November 8, 2016 and the placing on the ballot of these measure and the conduct of the election. In all respects, the election shall be held and conducted as provided for by applicable law, including resolutions. The City Clerk is authorized and directed to procure and furnish any official ballots, notices, printed materials and all supplies or equipment that may be necessary in order to properly and lawfully conduct the election. 7 SECTION 8. The City Clerk shall certify to the adoption of this Resolution, and thenceforth and thereafter the same shall be in full force and effect. APPROVED AS TO FORM: E Adopted and approved this 12th day of July, 2016. I, Denise Anderson -Warren, City Clerk of the City of Santa Monica, do hereby certify that the foregoing Resolution No. 10975 (CCS) was duly adopted at a meeting of the Santa Monica City Council held on the 12th day of July, 2016, by the following vote: AYES: Councilmembers Himmelrich, Davis, O'Connor, O'Day, Mayor Vazquez NOES: None ABSENT: Councilmember McKeown Mayor Pro Tem Winterer ATTEST: ' 4�L Denise Anderson -Warren, City Clerk