Thursday, April 14, 2016

Election 2016: Arcadia voters shoot down Measure A
By Courtney Tompkins, The Pasadena Star-News
POSTED: 04/12/16, 9:05 PM PDT | UPDATED: 1 DAY AGO
ARCADIA >> Voters on Tuesday rejected Measure A, an initiative that aimed to repeal the city’s Utility Users Tax, according to unofficial election results.
With all seven precincts reporting, 4,910 votes were cast against the measure, with 2,735 in favor of it.
The measure needed more than 50 percent of voters to say ‘yes’ for it to pass, but since it didn’t, the UUT rates will remain the same in Arcadia.
Residents and business owners pay a 7 percent tax on their electric, gas and water bills, and 5 percent on telephone bills each month. The UUT is expected to generate $7 million in revenue this year.
The tax is Arcadia’s third-largest source of revenue, behind property and sales taxes. It comprises approximately 12.5 percent of the city’s $54.9 million general fund budget.
A group of residents, backed by the California Tax Limitation Committee, drafted the initiative in attempt to dial back a government they say is “fiscally out of control.” It is part of a broader effort by the TeaPAC organization to repeal utility user taxes statewide. Larry Papp, a longtime resident and proponent of the initiative criticized the continued rise in incomes for government employees while pay for employees in the private sector remains stagnant.
First adopted as a city ordinance in 1970, the tax fluctuated between 5 and 7 percent for nearly four decades. In 2009, a utility users tax initiative was ratified by voters as a requirement under Proposition 218, which requires tax measures to be taken to the public.
In an October presentation on the initiative, city staffers painted a pretty bleak picture of what would happen if the initiative were repealed.
City Manager Dominic Lazzaretto said there could be cuts to city police and fire services along with programs for children and seniors.

Deputy Chief City Clerk Lisa Mussenden said tonight’s results will remain unofficial until a second count on April 21.

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