SSF considering a half-cent sales tax measure

South San Francisco, CA   July 21, 2015  Submitted by Leslie Arroyo City of South San Francisco

UPDATE BELOW: TAX APPROVED FOR BALLOT

Local Community Weighs in on City Priorities:
Police Services Rank Highest
Council to consider a half-cent sales tax measure to maintain and enhance the public’s priorities

For nearly a year, the City of South San Francisco has conducted outreach to residents and businesses, holding eight Town Hall meetings and reaching thousands of residents through a city-wide “Join the Conversation” campaign. This community engagement made clear the top priorities for residents of South San Francisco including:

* Public Safety, including neighborhood police patrols, rapid 9-1-1 emergency response times, and  crime prevention and gang suppression programs;

*  Parks and Recreation and Libraries, including educational and recreational after-school programs for youth and teens; and safe, accessible programs for seniors and disabled residents; and

*  Public Works, including maintaining streets, repairing potholes and addressing over $18 million in needed street maintenance.

“The support expressed for our police officers during our community outreach was fantastic and it is understandable that maintaining strong public safety was the number one priority of our residents,” said Police Chief Jeff Azzopardi. “Our officers strive every day to keep South San Francisco safe and to provide rapid 911 response,” added Azzopardi.

“The community has told us they value public safety and on this we all agree,” says City Manager Mike Futrell. “We need to maintain current levels of police protection and gang prevention services in the coming years without worrying about public safety budget cuts.”

Parks and Recreation were also identified as a high priority. With more than 50,000 residents enjoying South San Francisco public parks in the last six months alone, Parks and Recreation Director Sharon Ranals says, “as a community, we must look carefully at improving and increasing our investment in programs.” She adds that maintaining after-school and summer services for youth and teens keeps them safe and engaged.

The community also expressed strong support for the services and programs offered by the Library. “Nearly 35,000 residents have library cards and close to 500,000 visits were made to Main and Grand Avenue libraries last year,” said Library Director Valerie Sommer, “and we expect usage to continue to grow.” As seen at the public outreach meetings and events, the South San Francisco community embraces the library as a safe, welcoming and inspiring place for all ages to read, learn, play and get “linked in” to the latest technologies. “We are actively engaged in partnering with our community to plan library programs and services that will facilitate learning and success for generations to come,” adds Sommer.

South San Francisco prides itself on being fiscally prudent and accountable, with balanced budgets while maintaining essential services. “Our budget is balanced and we are able to keep up what we have,” says Futrell. “But to maintain public safety, address $18 million in street maintenance, provide for our children and seniors and meet the changing needs of our residents as expressed through our community outreach, additional revenue is needed.”

Responding to the voiced priorities of the community, the South San Francisco City Council will consider at its regular meeting on July 22, 2015, placing a half-cent sales tax measure on the November 3, 2015, ballot. This will allow residents to decide whether to fund the type of public safety and services identified during Town Hall meetings and other outreach.

If placed on the ballot and if approved by the voters, funds from a half-cent sales tax would be locally controlled and maintained in South San Francisco. City’s sales tax consultants (MuniServices) estimate that between 40-55% of the taxes would be paid either by non-residents shopping in South San Francisco or by South San Francisco businesses, not local residents. It is estimated that this sales tax would generate approximately seven million dollars annually. The proposed sales tax will sunset in 30 years, and the measure contains provisions for citizen oversight of the use of those funds.

In California, sales taxes do not apply to all transactions. The half-cent sales tax measure would not apply to the following:
*       Unprocessed food, such as groceries from a grocery store or farmers’ market;
*       Real estate transactions;
*       Services, such as:
*       Barber and hair styling;
*       Car repairs;
*       Work by plumbers, electricians or carpenters in remodels and construction; and
*       Professional services such as attorney’s services or tax preparers’ services.

If the Council authorizes a half-cent sales tax measure, they will be authorizing a ballot measure for voters’ consideration, and it will be up to the voters ultimately to weigh the relative cost of this tax against the value of the local services the City provides.

Futrell says the local community should be proud to live in a city where residents and leadership value public safety and the well-being of our youth and seniors. He adds “now it’s time to work together to achieve a community-based solution.”

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UPDATE

The full City Council voted in favor of the half- cent sales tax measure to be put before the voters in the November 2015 election during the July 22, 2015 council meeting. This 30 year tax measure would bring in approximately $7M/year in revenue, the potential to generate approximately $210 million over the course of the 30 year measure.

Current Sales Tax Breakdown