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SR 07-12-2022 11D City Council Report City Council Meeting: July 12, 2022 Agenda Item: 11.D 1 of 4 To: Mayor and City Council From: Denise Anderson Warren, City Clerk, Records and Election Services Department Douglas Sloan, City Attorney, City Attorney's Office Subject: Certification of Qualified Initiative Petition Measure to Establish Added Funding for Homelessness Prevention, Affordable Housing, and Schools and Adoption of Resolution to Place Measure on the November 8, 2022 Ballot Recommended Action Staff recommends that the City Council: 1. Receive and file the attached Certification of Qualification regarding an Initiative Measure to Establish Added Funding for Homelessness Prevention, Affordable Housing, and Schools by Amending Santa Monica Municipal Code Chapter 6.96 to provide a Third Tier Transfer Tax Rate for Property Transfers of $8,000,000 or more with an Eleven-Member Resident Oversight Committee; 2. Adopt the attached resolution requesting and directing the actions necessary to place the measure on the November 8, 2022 General Municipal ballot. Executive Summary On June 15, 2022, an Initiative Measure to Establish Added Funding for Homelessness Prevention, Affordable Housing, and Schools by Amending Santa Monica Municipal Code Chapter 6.96 to provide a Third Tier Transfer Tax Rate for Property Transfers of $8,000,000 or more with an Eleven-Member Resident Oversight Committee was submitted to the Office of the City Clerk and forwarded to the County Registrar- Recorder (“the County) for signature verification. On July 1, 2022, the County notified the City Clerk’s Office that the measure was being certified as containing the required number of signatures for placement on the ballot. At the June 14, 2022 City Council 11.D Packet Pg. 347 2 of 4 meeting, Council requested a report pursuant to Election Code 9212 from the City Manager on this ballot measure, which will be presented at the July 26th meeting. Accordingly, staff recommends that Council receive and file the certification and adopt the attached resolution, which requests and directs the actions necessary to place the initiative on the November 8, 2022, ballot. Discussion California Elections Code section 9215 authorizes the governing body of a city to place proposed initiative ballot measures on the ballot, the measure shall be submitted to the voters at an established statewide general election occurring in not less than 88 days. The section establishes that the action of placing the certified petition on the ballot is ministerial, not discretionary. Thus, if the County certifies the petition, the law requires the City Council to send the measure to the voters. On March 10, 2022, proponents of the measure notified the City Clerk’s Office of their intent to circulate an initiative petition. On March 23, 2022, the City Attorney prepared a ballot title and summary, as required by law, which describes the measure as an Initiative Measure to Establish Added Funding for Homelessness Prevention, Affordable Housing, and Schools by Amending Santa Monica Municipal Code Chapter 6.96 to provide a third tier Transfer Tax Rate for Property Transfers of $8,000,000 or more with an Eleven-Member Resident Oversight Committee. Thereafter, the proponents gathered signatures, and filed their signed petition with the City Clerk’s Office on June 15, 2022. Upon submittal of the petition, the City Clerk requested the Los Angeles County Clerk/Registrar Recorder (“County Clerk”) verify the signatures submittal therein. In order to qualify the measure for the November 2022 election, the petition needed a minimum of 10% of the registered voters of the city. The registered voter population at the time of publishing was 69,292 and based on that number 6,930 valid signatures were needed for qualification. The County Clerk’s Office has verified that the petitions 11.D Packet Pg. 348 3 of 4 contain the minimum number of valid signatures required to place the proposed ordinance on the ballot for a public vote. On July 1, 2022, the County notified the City Clerk that the measure had received the required number of signatures, which is 10% of the voters or 6,930. The County found that 10,363 signatures were filed, three signatures were withdrawn, 8,413 signatures were verified, 6,940 were found sufficient, 1,473 were not found sufficient, and 109 signatures were found not sufficient because the signatures were duplicates. See Attachment C. The next statewide general election will occur on Tuesday, November 8, 2022. This measure could appear as an additional item on the ballot, which will include other contests, including federal, state, county, and local races and at least five other local measures. Thus, staff recommends that the City Council adopt the attached resolution to place the measure on that ballot. Next Steps Next steps are specified as requests and directives in the attached resolution. In summary, once the Council adopts the resolution, arguments for and against the measure will be prepared, the City Attorney will prepare an impartial analysis, and the City Clerk will transmit the materials to the County, which will prepare the ballot. The County will prepare and distribute the voter sample ballot. In addition, the 30-day report will be presented to Council at the July 26th meeting. Financial Impacts and Budget Actions There is no immediate financial impact or budget action necessary as a result of the recommended action. Costs related to implementation of the measure is unknown at this time. Funding is available in the FY 2022-23 Adopted Budget in account number 01110002.552010 (Professional Services) under the Elections Division of the Records & Election Services/City Clerk's Department. 11.D Packet Pg. 349 4 of 4 Prepared By: Denise Anderson Warren, City Clerk Approved Forwarded to Council Attachments: A. RES Initiative Ballot Measure 07122022 Final B. Full text C. Santa Monica_Letter of Findings_7.1.2022 11.D Packet Pg. 350 1 City Council Meeting: July 12, 2022 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 INITIATIVE MEASURE TO AMEND SANTA MONICA MUNICIPAL CODE CHAPTER 6.96 AND ADD CHAPTER 4.90 TO PROVIDE A THIRD TIER TRANSFER TAX RATE FOR PROPERTY TRANSFERS OF $8,000,000 OR MORE WITH AN ELEVEN-MEMBER RESIDENT OVERSIGHT COMMITTEE WHEREAS, on June 15, 2022, the City of Santa Monica (“City”) received a petition to submit to the voters an initiative measure amending Santa Monica Municipal Code Chapter 6.96 and adding Chapter 4.90 to provide a third tier transfer tax rate for property transfers of $8,000,000 or more with an eleven-member resident oversight committee; and WHEREAS, under California Elections Code Section 9215(b), the ordinance, without alteration, and proposed by petition of the voters, shall be submitted to the voters at an established statewide general election pursuant to California Elections Code Section 1405, provided there are at least 88 days before the election; and WHEREAS, on June 17, 2022, the City transmitted the petition to the Los Angeles County Registrar-Recorder for signature verification; and WHEREAS, pursuant to California Elections Code Section 10403, the City Council has previously requested that the County of Los Angeles consent and agree to the consolidation of all aspects of a General Municipal Election with the Statewide General Election scheduled for Tuesday, November 8, 2022, for the purpose of electing members of the Santa Monica City Council, the Santa Monica Rent Control Board, the Santa Monica-Malibu Unified School District, and the Santa Monica College Community College District; and 11.D.a Packet Pg. 351 Attachment: RES Initiative Ballot Measure 07122022 Final [Revision 2] (5239 : Qualified initiative petition) 2 WHEREAS, on July 1, 2022, the Los Angeles County Registrar-Recorder completed the signature verification process and verified sufficient signatures were provided to require the measure to be placed on the ballot; and WHEREAS, the City Council of the City of Santa Monica shall place the following initiative measure on the ballot at the General Municipal Election to be held on November 8, 2022. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES RESOLVE AND PROCLAIM AS FOLLOWS: SECTION 1. At the General Municipal Election called for November 8, 2022, the following measure shall be submitted to the qualified electors of the City of Santa Monica: MEASURE "__": Shall the measure adding Santa Monica Municipal Code Chapter 4.90 to establish designated funds for schools, homelessness prevention, and affordable housing, and an eleven-member resident oversight committee, and amending Chapter 6.96 to provide a third tier transfer tax rate of $56.000 per $1,000 of value for property transfers of $8,000,000 or more, providing an estimated $50,000,000 annually for homelessness prevention, affordable housing, and schools, until repealed, be adopted? YES ________ NO _________ SECTION 2. That the City Clerk shall file a certified copy of this resolution with the Board of Supervisors and with the county election department of the County of Los Angeles. SECTION 3. That the City of Santa Monica recognizes that additional costs may be 11.D.a Packet Pg. 352 Attachment: RES Initiative Ballot Measure 07122022 Final [Revision 2] (5239 : Qualified initiative petition) 3 incurred by the County by reason of the addition of this measure to the ballot and agrees to reimburse the County for any additional costs. SECTION 4. The City Clerk shall transmit to the City Attorney, in accordance with applicable law, a copy of the proposed measure. The City Attorney shall prepare an impartial analysis of it, which shall not exceed 500 words in length. The impartial analysis shall be filed by the date set by the City Clerk for the filing of primary arguments. ln accordance with applicable law, 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 against the measure described above and which is contained in Exhibit 1 to this Resolution, which Exhibit is incorporated by reference herein: 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 argument 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 measure, which is contained in Exhibit 1, together with the City Attorney impartial analysis, and any arguments for or against the measure, 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 11.D.a Packet Pg. 353 Attachment: RES Initiative Ballot Measure 07122022 Final [Revision 2] (5239 : Qualified initiative petition) 4 Election, shall cause the text of the measure 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 properly the election. SECTION 7. The provisions of Resolution Numbers 11425 and 11426 (CCS) are referred to and incorporated into this resolution for more particulars concerning the conduct of General Municipal Election to be held on November 8, 2022, and in all respects the election shall be held and conducted as provided for by applicable law. 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. 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: ______________________ DOUGLAS SLOAN City Attorney 11.D.a Packet Pg. 354 Attachment: RES Initiative Ballot Measure 07122022 Final [Revision 2] (5239 : Qualified initiative petition) 5 Exhibit 1 PROPOSED INITIATIVE MEASURE TO AMEND SANTA MONICA MUNICIPAL CODE CHAPTER 6.96 AND ADD CHAPTER 4.90 TO PROVIDE A THIRD TIER TRANSFER TAX RATE FOR PROPERTY TRANSFERS OF $8,000,000 OR MORE WITH AN ELEVEN-MEMBER RESIDENT OVERSIGHT COMMITTEE 11.D.a Packet Pg. 355 Attachment: RES Initiative Ballot Measure 07122022 Final [Revision 2] (5239 : Qualified initiative petition) 11.D.bPacket Pg. 356Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 357Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 358Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 359Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 360Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 361Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 362Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 363Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 364Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 365Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 366Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 367Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 368Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 369Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 370Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 371Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 372Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 373Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 374Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 375Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 376Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 377Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 378Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 379Attachment: Full text (5239 : Qualified initiative petition) 11.D.bPacket Pg. 380Attachment: Full text (5239 : Qualified initiative petition) 11.D.cPacket Pg. 381Attachment: Santa Monica_Letter of Findings_7.1.2022 (5239 : Qualified initiative petition)