Currently the Stockton Municipal Code imposes an eight (8%) percent tax on users of telecommunications, electricity, gas, water, and video services provided in the City. Measure I proposes amending Chapter 8, Part VI of the Municipal Code to reduce the tax rate by one (1%) percent on July 1, 2002 and another one (1%) percent on July 1, 2003.

Measure I additionally proposes to amend Chapter 8, Part IV of the Municipal Code to provide businesses in the Enterprise and Mixed Use (MX) zones of the City with a rebate of a percentage of the energy and/or gas user taxes paid by the businesses. The percentage would vary depending on the number of employees of the business. Businesses with more employees would receive a larger subsidy.

The City estimates that the two-year reduction in the tax rates, combined with the energy tax rebate, would result in a loss of approximately $8 million dollars to the City's General Fund, which pays for police, fire, parks, libraries, and general City services.

At the request of members of the public, the City Council has asked the voters to consider Ordinance No. 012-01, which would amend the Municipal Code as described above. A copy of the Ordinance is available in the Stockton City Clerk's office located at 425 N. El Dorado Street, Stockton, California 95202.

The reductions of the utility user tax rate and the energy tax rebates proposed in Ordinance No. 012-01 will not become effective unless Measure I is approved by a majority of those voting on the measure.

The above statement is an impartial analysis of Measure I. If you desire a copy of the measure, please call the Stockton City Clerk's office at (209) 937-8459, and a copy will be mailed at no cost to you.

Stockton Record

• Measure I sign confuses some - 02-20-02
• Voters will consider cut in utility tax - 2/10/02

The utility tax is a poverty promoter and job killer. With the new electricity rates, the city will reap an unfair multi-million dollar windfall.

Stockton has the highest utility tax rate on electricity, gas, telecommunications and cable television in the four county region (Sacramento, San Joaquin, Stanislaus, and Merced). Of the ten cities closest to Stockton's population, we have the highest utility tax rate - more than Oakland, Anaheim, and Bakersfield. No other city in San Joaquin County taxes electricity.

The utility tax is so high, businesses using significant electricity, natural gas or telecommunications (a factory or telephone service center) have a disincentive to locate in Stockton. These important new businesses locate in cities without a utility tax. Why would they come to Stockton - we have the highest rate? Unemployed Stocktonians lose job opportunities because of our high utility tax rate. High unemployment drives our local crime and welfare rates.

While the poor have their jobs destroyed by the utility tax, they experience a second hit at home. All of us pay the utility tax on basic necessities: water, electricity, natural gas, and telephone bills. This regressive tax hits those most unable to pay every time they open the refrigerator door, boil water, or use the vacuum cleaner.

Most cities provide essential services to their citizens without a utility tax. Measure I will prevent the city's windfall at our expense, make us more competitive in securing new jobs, and reduce the tax burden on average working families.

Vote for Measure I, a modest and gradual reduction of the unfair city utility tax.

Submitted by:

/s/ Dean Andal, California Board of Equalization
/s/ Larry Solari, Past President, Greater Stockton Chamber of Commerce
/s/ Dale Fritchen, School Board Trustee
/s/ Cleo Robinson, Businesswoman, School Volunteer

Police officers and firefighters oppose Measure I because it moves Stockton backwards.

Measure I cuts the City budget by $8 million. The proponents say this is a modest reduction, however, this 25% reduction in the Utility Tax will have a severe impact on the City's ability to provide police and fire services. The proponents don't offer reasonable alternatives other than to cut police and fire. It removes police from our schools. It eliminates first response firefighters and an entire fire engine crew. It cuts the hours of our local libraries.

As our City grows, we need to expand these vital services not cut them.

Teachers oppose Measure I because it would cut three after-school programs and shut down two community centers. 360 children who use these programs daily would feel the impact of these cuts. It would also eliminate a program that supports ten tutoring centers.

To reduce juvenile crime kids need a safe place to learn after-school. Measure I cuts after-school programs.

Business owners oppose Measure I because they know that fewer police on our streets and a reduction of after-school programs means more graffiti and juvenile crime. Also, cutting fire personnel will mean fewer frontline firefighters responding to emergencies.

Let's keep Stockton moving forward.

VOTE NO ON MEASURE I

Submitted by:

/s/ Gary A. Podesto, Mayor
/s/ Rick Berger, Deputy Fire Chief
/s/ Edward Chavez, Chief of Police
/s/ George Ridler, Supt. Stockton Unified School District
/s/ Don Miller, Director Stockton Sports Comission

Approving Measure I in these uncertain economic times is a bad idea.

Measure I could save the average household about $4 a month, but it will amount to an $8 million hole in our City budget. The only way to fill this hole is to cut valuable programs.

Measure I will affect many vital City programs, could close libraries and local parks, and reduce key services.

Put simply, Measure I will cut at least 58 police officers and 27 firefighters.

To ensure that we keep police patrolling our streets, and working in our public schools with at-risk youth and gang resistance programs, we need the utility tax funding that Measure I would cut.

Community Service Officers that organize Neighborhood Watch and Safe Kids programs would be cut. These officers serve on the frontlines trying to prevent crime, not just react to it.

The Fire Department will have to cut one of its three ladder truck companies. It will also have to cut six frontline firefighters. These cuts would mean that the City would have the same staffing levels that we had in 1986 when Stockton had 50,000 fewer citizens.

The argument that the utility tax is keeping businesses from our City is just not true. The past few years have seen over 20,000 jobs created in the Stockton metro area. The concerns of the business community are safe streets and improving our education.

Measure I will take Stockton backwards.

Let's move Stockton forward by ensuring that we can maintain key programs and keep our streets and schools safe.

VOTE NO ON MEASURE I

Submitted by:

/s/ Gary A. Podesto, Mayor
/s/ Gordon Gray, Police Officer
/s/ Dave Reeder, Police Officer
/s/ Rick Berger, Deputy Fire Chief
/s/ Gary Garrett, Fire Captain

The City Council adopted a budget on July 1st predicting growth in general fund revenue of 12.8%. Since then Stockton's property and sales tax revenue has increased, not declined. The utility tax has delivered an unfair, multi-million dollar windfall due to higher electricity rates. Assuming Measure I's modest tax cut, city tax revenue will still grow 9.5% next year # money to hire new police officers and firefighters. Did your family's income grow by over 9.5% this year?

The opponents of Measure I, all city employees, fail to mention other budget cuts to save millions more: city council's whopping pay raise, saving from intentional vacancies, unnecessary conferences and travel, and suspect expenditures to outside groups.

While President Bush is working hard to put money in the hands of consumers to stimulate economic growth (tax cuts), city bureaucrats are unwilling to part with the unexpected windfall from higher electricity rates (tax increases). Its not surprising city officials want to spend more money, but it is wrong for Stockton's economic future. The World Trade Center attack has not affected the City's budget # they should be ashamed to make that claim.

Attract new jobs and reduce the unfair city utility tax.

Vote for Measure I - a modest reduction in the utility tax.

Submitted by:

/s/ Dean Andal, California Board of Equalization
/s/ Tony Guebara, Small Business Owner
/s/ James Di Serio, Businessman
/s/ Larry Solari, Past President, Stockton Chamber of Commerce
/s/ Dale Fritchen, School Board Trustee