City Manager Releases Statement on Measure to Renew Local Tax

Folowing Tuesday's city council vote to place renewal of the utility tax on the Nov. 6 ballot, city officials released a statement about what the outcome of the vote is expected to have on city services.

City Manager Belinda Espinosa emphasized that revenue collected from the tax is and would remain being used locally if the voters approve an extension. The council is scheduled at a special meeting on Monday to review and approve language for the ballot measure.

Below is the city's statement, released late Wednesday:

On Tuesday, July 17, the Pinole City Council unanimously voted to place a renewal of the City’s existing, voter-approved Utility Users Tax (UUT) ordinance on the November ballot. A renewal of Pinole’s UUT by the voters would protect local funding for public safety, public works, and other general City services, with no increase in taxes to the community.

The funds derived from this locally-approved and controlled funding source are not only vital to Pinole’s local economy, but also fund essential City services including police and fire protection, park maintenance and blight/graffiti removal, among other community services. The UUT generates approximately $2 million in local funding per year, or close to 20% of the City general
fund budget.

In June, City Council approved two different budgets – one with the UUT and one without – so the community would be fully aware of the consequences if local funding from Pinole’s existing, voter-approved UUT disappears.

“Losing revenue from our local UUT would be devastating on the services we provide to the Pinole community,” stated City Manager Belinda Espinosa. “State takeaways have already had a tremendous impact on our local budget. We have already reduced City staff by over 30% (53 positions), which includes significant cuts to Police Officers and the closing of Fire Station 74. If we lose our local UUT funding, public safety will be further be impacted including the expected loss of
5 more Police Officers and 2 Firefighters.”

The UUT measure was initially approved by the citizens of Pinole in 1998 for 8 years and was renewed again in November 2004 for another 8 years. It is currently scheduled for renewal by December 1, 2012. All UUT funds must legally stay in Pinole and cannot be seized by Sacramento.

“We are not asking for any tax increase,” stated Espinosa. “We are simply asking Pinole voters to renew this vital local funding source to protect their community.”