While San Benito County supervisors nixed the idea of pursuing a special district and tax measure to support parks, recreation and libraries in 2013, they have agreed to staff recommendations to continue communicating with residents on a potential general tax measure for 2014.
“A myriad of services are underfunded,” said Janelle Cox, a management analyst with the county. “We recognize they (community members) are supportive of parks and libraries, but there are also other services within the county that are underfunded.”
Cox said part of the effort in the next six months will be speaking with members of the community about what are their priorities for services. She said a new advisory committee will be formed that will include community members beyond those involved in parks, recreation and libraries.
In a timeline included in the agenda, some of the early outreach would include the creation of a website devoted to the ballot measure in June and the development of a public presentation calendar along with the formation of the advisory committee by July.
The supervisors have committed to looking at a general tax measure. Unlike a special district tax measure, which would require two-thirds approval, a general sales tax measure requires 50 percent approval. A general sales tax measure would be charged throughout the county, including in the incorporated cities of Hollister and San Juan Bautista.
Last fall as part of efforts to form a special district to support parks, recreation and libraries, community residents were surveyed about their support of those services as well as their support of a sales tax or property tax measure within the boundaries of the special district. The survey found both measures would fall short of the two-thirds majority needed, but they found that there was nearly 50 percent support for a sales tax measure at .75 percent.
With a special district, the funds are restricted to specific uses approved by voters – the parks, recreation and library district would fund only those services. But a general sales tax measure would go into the general fund and could potentially be used for any services deemed necessary by supervisors.
While supervisors have not identified what percentage they might pursue in a general sales tax measure, the maximum they could attempt is 1 percent. According to state law, a jurisdiction can have up to 2 percent district tax above the state sales tax rate. Because Hollister has a 1 percent sales tax in place, the maximum the county could pursue in an overlapping district would be an additional 1 percent.
Hollister’s current sales tax rate is 8.5 percent while San Juan Bautista’s is 8.25 percent.
“We will talk about ‘Here’s where we are – the level of service we are able to provide and this is the potential of where we need to be,’” Cox said, with hopes residents will say what level of service they are willing to support.
While the county has allocated money to work on a tax measure effort through the end of the 2012-13 fiscal year, Cox said they will have to work out a budget proposal for 2013-14 to continue efforts with the measure.
“We will need outreach efforts, promotional materials,” she said. “It will be discussed in 2013-14. I’m recommending half of an analyst’s time – time for the analyst to manage the process, write a ballot measure and legal support to help write the ballot measure.”
In a report presented to the supervisors Tuesday, staff members estimated the cost of moving forward with a ballot measure would be $85,000 for staff support, an opinion survey and ballot measure informational materials. If a special district is pursued instead of a general tax, additional legal support would be needed to work with LAFCO with an estimated cost of $25,000.
Cox said staff members were also directed to continue to look at ways to consolidate services and other efforts to save money to the county in addition to pursuing the tax measure.
