38,878 / 46.2% Yes votes ...... 45,308 / 53.8% No votes

See Also: Index of all Measures

Under Measure T, the UUT rate would be reduced annually in 1% increments, from the current 7.5% to 2.5% on July 1, 2007. If Measure T is adopted and fully implemented, the revenue generated by the UUT and placed in the General Fund will be one-third of the revenue that would have been generated by the UUT if the current UUT rate remained unchanged.

Measure T is an initiative measure that would amend the Utility User Tax ("UUT") of the City of Sacramento ("City").

Currently, the UUT is imposed on City residents' use of telephone, electricity, natural gas, and cable television utilities. The tax rate is 7.5% of the charges on utility bills. The revenue from theUUTis placed in the City'sGeneral Fund, which is used to fund police, fire, parks, recreation and other city services. Measure T would reduce the UUT rate from 7.5% to 2.5% over four years, beginning July 1, 2003.

Currently, persons who are sixty-two or older or disabled, and whose annual household income is less than $25,000, are eligible for a partial UUT refund. Measure T would amend the UUT refund program to eliminate the age and disability eligibility requirements. The income requirement would remain unchanged.

Operation of Measure

Measure T would:

• Reduce the UUT rate from 7.5% to 2.5% over four years, beginning July 1, 2003, pursuant to the following schedule:
• effective July 1, 2003: 6.5%
• effective July 1, 2004: 5.5%
• effective July 1, 2005: 4.5%
• effective July 1, 2006: 3.5%
• effective July 1, 2007 and thereafter: 2.5%
• Eliminate the eligibility standards of the UUT refund program requiring the applicant to be over 62 or disabled.

The Sacramento Bee

Measure T foes spend $300,000

November 2, 2002

Fire crew fights tax cut measure

October 23, 2002

Measure T targets city utility-user tax

Monday, October 14, 2002

Fact: Sacramento City residents pay a utility tax that's Three Times Higher than anywhere else in Sacramento County. Three Times Higher: That's Not Fair!

Fact:While No One Else In Sacramento County Pays More Than 2.5%, we pay a
7.5% tax on our electricity, natural gas, intra-state telephone and cable television bills. That's Not Fair!

Fact:While residents in neighboring cities--including West Sacramento, Folsom, Davis and Rocklin -- pay No Utility Tax At All, We Pay 7.5%. That's Not Fair!

Fact: The Sacramento Bee calls theUtility Tax "...a regressive tax that has taken in 25 percent more money over the last three years...." Taxes on necessities of life hit poor and fixed-income persons hardest, and cost us $55 million a year. That's Not Fair!

It's time for change ... Time To Be Fair!

Measure T--The Fair Utility Tax Act--gradually reduces the 7.5% Utility Tax by just1%ayear beginning July 1, 2003. Starting July 1, 2007 the City tax rate will be the same as the 2.5% County rate. No DrasticCuts, Just 1%Per Year. That's Fair! Measure T Permanently expands the existing rebate program to refund All utility tax payments to 45,000 of the city's poorest households--seniors, the disabled, and families with children -- up from 7,000 today. That's Fair!

Sacramento politicians claim a Fair Utility Tax will require cuts in police and fire services. Nonsense! Truth is, they want to spend our tax dollars on their own pay raises (like Measure S), political campaigns, $4 million in loans to cover City golf course losses, and other wasteful, unnecessary spending.

Join Democrats, Republicans, Independents, seniors and families: Say Yes to the Fair Utility Tax Act.

Yes on T.

/s Patricia Kelly, Co-author, Fair Utility Tax Act

/s Joseph H. Fraccola, President, Council of Seniors and Senior Organizations

/s Alexander Vasquez, Small Business Owner

/s Richard Mersereau, President, Sacramento County Taxpayers League

Your neighbors and fellow Sacramentans say Vote No on this scheme to undermine your services -- Vote No on Measure T.

Firefighter Brian Rice: "There's no way to cut $39 million from the city budget and not affect services. Do the math. It's a huge amount that surely will lead to reductions in force for both police and fire protection."

Randy Paragary, Sacramento restaurant owner: "As a local businessman, I'm always concerned about the taxes I have to pay. But the utility tax is crucial if we are to maintain services for businesses and residents. With the economy in turmoil, it's no time to cut city revenues."

Joe and Gavin Maloof, Sacramento Kings owners: "We love this community. Sacramento is a city of the future. Measure T moves the city backward. We hope you will Vote No."

Ted Ternes, community representative: "Measure T would affect every block and every resident in the city. It will hurt public safety, after-school programs, animal care, the environment, cultural services, libraries, parks, our business climate and good community planning - - the things that make Sacramento so special."

FormerNBA star Kevin Johnson: "I make my home in Sacramento because I value its culture and character. We teach our kids at St. Hope Academy to become leaders in their community. But the culture and character of Sacramento will be deeply harmed by Measure T."

Vote No on Measure T

/s Brian Rice, President, Sacramento Area Firefighters

/s Matt Mahood, CEO, Sacramento Metro Chamber of Commerce

/s Mary Brill, Neighborhood Organization Leader

/s Jaclyn White, Sacramento Children's Coalition

/s Buck Busfield, B Street Theater