Fail: 2,890 / 45.10% Yes votes ...... 3,518 / 54.90% No votes

See Also: Index of all Measures

Impartial Analysis

The utility users tax (or "UUT") was first adopted in 1988. It is imposed on commercial and industrial service users of electricity, water, communication services, and gas. Measure O proposes adopting an ordinance that would increase all existing UUT rates by one percent (1%) until June 1, 2013. If approved by voters, the UUT tax rate would be as follows:

UUT Category...............Current Rate............New Rate
Electricity..................................3%........................4%
Gas...........................................3%........................4%
Water........................................3%.......................4%
Communication Services.............2%......................3%

Revenues from the UUT + approximately $5.3 million in fiscal year 2008-2009 + can only be used for the City's general governmental purposes.

Publicly available documents estimate that Measure O would annually provide the city of El Segundo with approximately $1,970,000 of additional revenue.

The tax cannot be increased in the future without voter approval. And, the tax increase proposed by Measure O would be automatically rescinded on June 1, 2013. Thereafter, the UUT would revert back to its current rate.

To be adopted, Measure O must be approved by a simple majority of the voters in the city of El Segundo.

A "yes" vote on Measure O favors the Measure.

A "no" vote on Measure O opposes the Measure.

City of El Segundo

Beach Reporter

• User Utility Tax initiative placed on ballot - by Jennifer Evans (August 5, 2010)