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HomeMy WebLinkAbout _ 9.12(a)--Certificate of Sufficiency of Initiative Petition and Action to be taken GI �" Y C� F � � �- ' � ° � � i � CITY OF REDDING �� REPORT TO THE CITY COUNCIL MEETING DATE: August 5, 2025 FROM: Sharlene Tipton, City Clerk ITEM NO. 9.12(a) ***APPROVED BY*** � �', rt �.. s.N,. �� , �' �, � `.���",� ,� � ��� , �g �.,: � ������`;�m . � • �� Sh�������9`�ca , ����y�"I�rk �� 8J11242� ippin,Ci �� an � �� �111242� stipton@cityofredding.org stipton@cityofredding.org SUBJECT: 9.12(a)--Consider adoption of two Resolutions relative to the Certificate of Sufficiency of Initiative Petition and calling for placement of the Redding Public Safety, Infrastructure, and Parks Transactions and Use Tax Initiative Measure on the ballot in November 2025. Recommendation Authorize and approve the following: (1) Adopt Resolution to accept the City Clerk's Certificate of the Sufficiency of the Petition relating to the sufficiency of the number of qualified signatures on an Initiative Measure entitled as an "Initiative Measure For Adoption Of A One Percent (1%) Transaction And Use ("Sales") Tax For Specified City Services"; and (2) Adopt Resolution calling for a special election to be held on Tuesday, November 4, 2025, in the City of Redding, and to place the Initiative Measure on the ballot. Fiscal Impact There is no fiscal impact associated with adopting a resolution to accept the City C1erk's Certificate of Sufficiency of the Petition. If the City Council calls a special election to put the initiative measure to the voters, estimated costs are between $300,000 and $500,000. Alternative Action There is no alternative action. The City Council's action to accept the City Clerk's Certification of the Sufficiency of the Petition and to eall for a special election is ministerial and mandatory. Report to Redding City Council August 1,2025 Re: 9.12(a)--Certificate of Suf�ciency of Initiative Petition and Action to be taken Page 2 Background/Analysis On April 8, 2025, the City Clerk received an initiative measure entitled by proponent as the "Redding Public Safety, Infrastructure, and Parks Transactions and Use Tax Ordinance" (hereafter, the "Initiative Measure"). Elections Code section 9207 provides that the proponents of an initiative measure may begin to circulate the petition after publication and posting of the title and summary prepared by the City Attorney. The proponents of the Initiative Measure published it on April 13, 2025. By June 18, 2025, the proponents had gathered approximately 9,569 unverified signatures and filed the Initiative Petition with the City Clerk. The minimum number of signatures required for the Initiative Petition to qualify is 5,816. The Initiative Petition was submitted to the Shasta County Registrar of Voters (ROV) on June 25, 2025. Pursuant to Elections Code section 9115 and 921 l, the Shasta County ROV conducted signat�ure verification by means of a full count at the request of the City of Redding on June 30, 2025. On July 24, 2025, the City of Redding received the Signature Verification Certificate from the Shasta County ROV stating that of 9,672 signatures, 6,496 were valid. This is in excess of the minimum valid signatures needed to certify the Initiative Petition as sufficient. The certification of the petition is significant for two reasons. First, the City Council has no duty to act on the Initiative Petition unless the required number of signatures have been gathered. Second, the date of the acceptance of the City Clerk's Certificate of the Sufficiency of the Petition starts the time frame for the City Council to refer the Initiative Measure to election. Pursuant to Elections Code section 9215, and Article XIIIC section 2 of the California Constitution, in pertinent part, that, if the initiative petition is signed by not less than 10 percent of the voters of the city, the City Council must submit the ordinance, without alteration, to the voters at an election. Attached to this staff report is a draft Resolution of the City Council accepting certification by the City Clerk. Adoption of this resolution is ministerial. This means that the City Council has a duty to act. It cannot refuse to accept the Certificate of the Sufficiency of the Petition. Elections Code section 1405 provides that the City Council must elect to call an election to be held not less than 88 days, nor more than 103 days after the order of the election and submit the Initiative Measure to the voters. A special election must occur on a Tuesday. A draft resolution is attached to this staff report calling for the Special Election, and the proposed Ordinance and Expenditure Plan and Notice of Municipal Election and Measure to be Voted On are both attached as Exhibits A and B respectively. Environmental Review This is not a project defined under the California Environmental Quality Act, and no further action is required. Council Prio�ity/City Manager Goals • This agenda item is a routine operational item. Report to Redding City Council August 1,2025 Re: 9.12(a)--Certificate of Suf�ciency of Initiative Petition and Action to be taken Page 3 Attachments ^DRAFT Resolution Accepting Certificate of Sufficiency of the Petition ^Exhibit A - Shasta County Registrar of Voters Signature Verification Certificate ^Exhibit B - Redding City Clerk Certificate of Petition Sufficiency ^DRAFT Resolution Calling for a Special Election regarding 1 percent Sales Tax Initiative ^Exhibit A- Draft Ordinance and Expenditure Plan ^Exhibit B -Notice of Election RESOLUTION NO.2025- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING ACCEPTING CERTIFICATION BY THE CITY CLERK AS TO THE SUFFICIENCY OF THE INITIATIVE PETITION ENTITLED BY THE CITY ATTORNEY AS "INITIATIVE MEASURE FOR ADOPTION OF A ONE PERCENT (1%) TRANSACTION AND USE ("SALES") TAX FOR SPECIFIED CITY SERVICES" WI3EREAS, on April 8, 2025, proponents of an initiative measure (the "Initiative Measure") for the purpose of qualifying and enacting the Redding public Safety, Infrastructure, and Parks Transactions and Use Tax Ordinance submitted a Notice of Intent to Circulate an Initiative Petition; and WHEREAS, pursuant to Elections Code section 9203, the City Clerk, as the local elections official, immediately transmitted a copy of the proposed Initiative Measure to the City Attorney for preparation of a Ballot Title and Summary; and WHEREAS, the City Attorney prepared a Ballot Title and Summary of the chief purposes and points of the proposed Initiative Measure, as required for the circulation of an Initiative Petition, and entitled the Initiative Petition as "Initiative Measure for Adoption of a One Percent(1%) Transaction and Use ("Sales") Tax for Specified City Services"; and WHEREAS, the City Clerk transmitted the Ballot Title and Summary to the Initiative Measure proponents on Apri1 10, 2025; and WHEREAS, the City Clerk contacted the County of Shasta Registrar of Voters to determine the number of registered voters within the jurisdictional boundaries of the City of Redding, as of its most recent report to the Secretary of State pursuant to Elections Code section 2187, and determined that the number of registered voters within the jurisdictional boundaries of the City of Redding was 58,164; and WHEREAS, the proponents of the Initiative published the Notice of Intent and Ballot Title and Summary in accordance with Elections Code sections 9205 and 9206 on April 15, 2025; and WHEREAS, the Petition setting forth the Notice of Intent, Ballot Title and Summary and the text of the Initiative was thereafter circulat�d within the City of Redding; and WHEREAS, on June 18, 2025, the proponents filed the Initiative Petition, consisting of 3,538 sections and containing a raw count of unverified signatures of 9,672 signatures, with the City Clerk; and 1 WHEREAS, the City Clerk completed a prima facie count of the unverified signatures on June 24, 2025, concluded that the Tnitiative Petition contained signatures in excess of the minimum number of signatures required, and delivered the Initiative Petition to the County of Shasta Registrar of Voters on June 25, 2025; and WHEREAS, pursuant to Elections Code sections 9211 and 9115, the County of Shasta Registrar of Voters proceeded with signature verification by random sample of at least 500 signatures; and WI3EREAS, Elections Code sections 9211 and 9115 further provide that if the statistical showing shows that the number of valid signatures is within 95 to 110 percent of the number of signatures of qualified voters needed to declare the petition sufficient, the County of Shasta Registrar of Voters shall verify the signatures filed; and WHEREAS, it was determined that the valid signatures were less than 95 percent, therefore, the City Clerk/Elections Official requested a full count of the unverified signatures on J�uly 1, 2025; and WHEREAS, the City Clerk determined that, pursuant to Elections Code section 9215, the Initiative Petition would require signatures amounting to at least 5,618 registered voters within the jurisdictional boundaries of the City of Redding in order to qualify for City Council action to schedule the Initiative Measure for an election; and WHEREAS, on July 24, 2025, the County of Shasta Registrar of Voters notified the City Clerk that the signature verification was completed by delivery of a "Signature Verification Certificate," attached and incorporated herein as E�iibit A, with the results reported as follows: Number of unverified signatures filed: 9,672 Number of signatures checked: 9,672 Number of signatures found sufficient: 6,496 Number of signatures found not sufficient: 3,176 WHEREAS, Elections Code sections 9211 and 9115 provide that if the Initiative Petition is found to be sufficient, the City Clerk shall certify the results of the examination to the City Council at the next regular meeting of the City Council; and WHEREAS, the City Clerk has issued a Certificate of Sufficiency of the Petition which is attached and incorporated herein as Exhibit B; 2 NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL THAT: 1. The recitals set forth herein are true, correct, and are adopted herein as findings of law and fact. 2. The Certificate of Sufficiency of the Petition, attached hereto as Exhibit B, is hereby accepted by the City Council. I HEREBY CERTIFY that the foregoing resolution was introduced and adopted at a regular meeting of the City Council of the City of Redding on the 5�' day of August, 2025, by the following vote: AYES: COUNCIL MEMBERS: NOES: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: ABSTAIN: COUNCIL MEMBERS: JACK MUNNS, Mayor ATTEST: FORM APPROVED: SHARLENE TIPTON, City Clerk CHRISTIAN M. CURTIS, City Attorney 3 EXHIBIT A st t Ir I � i ���� � �� � ��ant Curtis, Counfiy Cler�k j Registrar af i/aters � �,:t,� � ���� � � � County Clerk / Elections C�epartmen� / �I�c�����a�h�s���ca�r�t�m��a� �'��r�.�`� 1643 Market Stre�t, Redding, CA 95001 f Pt� Bax 99t18�C�, Redding, CA 96Q99-488� Phone; 530-225-�730 / F : 530-225-5�54 / CA Relay Service: 711 or 8�Q-7�5-2�2� I T 11 I Il T I, Clint Gurtis, �ounty ClerklRegistrar c�f Vo�ers� �f th� County of Shasta, Stafie c�f Califamia, hereby certify: Re: City of Redding �°lo T�x Adap�ic�n The abr�ve Initiative uvas filed with our offie� on June 25, 2(��5`. Thafi said petition c�nsists of 3,538 secticsns. umber c�f unverified signatures filed by pr�p�n�nt 9,672 Number of signature� checked 9,672 Nurnber c�f signatures Required fiar Ba[lcat 5,816 Numb�r of signatures fcaund SU�FICIE�T 6,496 Number af signatur�s found INSUFFICIENT �,176 INSUFFICIENT be use of DUPLIC,�TE 271 IN WITtVESS WHEREUF, I h�ve h�r�untt� sef my hand and �iffixed my officiaJ seal fihis 23ntl day c�f July 2025. ✓ y y ...-.... -.... P fi �III�� �Ui`�15 �hast� �ounty GlerklRegistrar t�f V�ters v� �� -�! C7 C7 0�°�y m � p '.� a� � � = o � � `� � ° "�N • `O C1 01 tn �S N � � . O N � � �A �"[7 LU �j -�s Cn �y � \ o�. 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V N � � IV � . w 4�D � - VJ O EX I IT � � �' �' � � �,� :._ .�� w. ClTY t��' h���IN� _ . a�"il �7��� �:y°�ar��� .���e����: ��cE�Pis��. C�� ����}i _. �., �t� ��X ������, ��c��i�c�, �� ��{}�� �C��1 � .� � � � �3 � �1 �: =�a�1 city�f�°�dcEing.��� OFFICE OF THE CITY CLERK SHAR�ENE TIPTON,CITY CLERK 530.225.4447 530.225.4463 FAX CERTIFICATE OF SUFFICIENCY OF THE PETITION I, Sharlene Tipton, City Clerk and the Elections Official of the City of Redding, California, do hereby certify the following: • The petition ;"INITIATIVE -MEASURE FOR ADOPTION OF A ONE PERCENT (1%� TRANSACTION AND USE ("SALES")TAX FOR SPECIFIED CITY SERVICES", was filed with the City Clerk's Office on June 18, 2Q25; • There are 58,164 registered voters in the City of Redding and, in order to'qualify, the petition must contain valid signatures from 10 percent (5,816) of the registered voters; • Following an unofficial prima facie (raw) signature count conducted by the City Clerk's staff,the petition was found to be sufficienf for filing; • "On June 25, 2025, the petition sections were personally delivered to the Shasta County Clerk—Registrar of Voters,to be examined to determine the number of valid signatures; • In accordance with Elections Code 9115, the Shasta County Clerk — Registrar of Voters conducted a full count of signatures at the City Clerk/Elections Official's request. On 7uly 24, 2025, the County Clerk provided a Signature Verification Lertificate stating the number of valid signatures is in excess of the number needed to qualify the petition. Based on the above information,the petition is deemed to be sufficient IN WITNESS WHEREOF, I here unto set my hand and affixed my official sea) this 24th day of July, 2025. t � �� � . e _ S� "�"'HARLENE TIPTON, CMC, CPMC City Clerk/Elections Official City of Redding RESOLUTION NO.2025- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING, CALIFORNIA, CALLING AND PROVIDING FOR A MUNICIPAL ELECTION TO BE HELD ON NOVEMBER 4, 2025, FOR THE PURPOSE OF SUBMITTING TO THE VOTERS A MEASURE TO ADOPT A ONE- PERCENT (1%) TRANSACTIONS AND USE (SALES) TAX FOR SPECIFIED CITY SERVICES, ESTABLISHING POLICIES AND PROCEDURES IN CONNECTION WITH SUCH AN ELECTION; AND REQUESTING THE SERVICES OF THE REGISTRAR OF VOTERS IN CONDUCTING SAID ELECTION WHEREAS, the City of Redding (the "City") has reeeived a citizen's initiative petition under Elections Code sections 9200 et seq., calling fox the adoption of an ordinance imposing a one percent(1%) sales and use tax (Sales Tax) (Ordinance)�within the City, the proceeds of which are to be deposited into a dedicated fund for essen�ial local services, including Public Safety, Infrastructure, and Parks, ensuring that the City has the necessary resources to maintain and enhance these critical community assets; and WHEREAS, the County of Shasta(County)R�gistrar of'Voters/Elections Official (ROV) and the City Clerk/Elections Official ha�e examined the pe'tition in accordance with Elections Code sections 9114, 9115, and 9211�a�d verified that the petition has been signed by not less than ten percent(10%) of the voters in the City,as required by El�ctic�ns Code section 9215; and WHEREAS, Electios�s Code sectron 9215 irn�oses a duty �pon the City Council (the "Council")to either adop�the Ordinance as written or submit the Ordinance, without alteration, to the voters; and WHEREAS, Article XIIIC �ectio� 2 of the California Constit�ution reguires that all new taxes be approved by the voters; and WHEREAS,the Council desires to place�a ballot measure before the voters at a November 4, 2025, spe�ial election to cc�nsider the l�rdinance presented by the petition; and WHEREAS, in order for the Sa1es Tax to become effective, it must be approved by a simple majority of tihe electorate; and WHEREAS,Elections Code section 10002 authorizes the Council to reguest the Board of Supervisors to permit the Co�inty ROV to render services to the City relating to the conduct of an election. NOW, THEREFORE,be it resolved by the Council of the City of Redding as follows: Section l. The foregoing recitals are true and correct, and this Council so finds and determines. 1. Section 2. A Municipal Election is hereby called to be held in the City on Tuesday, November 4, 2025, for the following measure submitted by the City Council: "Shall the measure adopting a one percent transactions and use tax in the City of Redding, for the special purpose of funding YES essential local services, including Public Safety, Infrastructure, ��.�w��ti�� and Parks, ensuring that the City of Redding has the necessary NO resources to maintain and enhance these critical community assets,be ado ted?" Section 3. The Ordinance authorizing the special tax to be;approved by the voters is as set forth in Exhibit A. The City Council hereby approves the C7rdinance, the form thereof, and its submission to the voters of the City at the November 4, 2025, election, as required by Revenue and Taxation Code section 7285.91. If a simple majori�y of the qualified voters voting on the Ordinance shall vote in favor therefore, the Ordinance shall be deemed adopted and shall be effective in accordance with its terms. The Ordinance specif�es that the rate c��f'the transactions tax shall be one percent(1%) of the gross receipts of any ret�iler from the sale of all tangible personal property sold at retail in the City. It specifies that the rate�of the excise tax shall be one percent(1%) of the sales price of tangible personal property stored; used or otl�erwise consumed in the City. The Ordinance also includes an expenditure plan describing the specific purposes:for which the revenues from the tax may be expended.The California Department of Tax and Fee Administration shall collect the tax from retailers subject tit��he tax and remit�:the funds to the City. Section 4. The City Council of the City�of Redding hereby�requests the County ROV to conduct all necessary services f�r the Cit� Special Electiion,pursuant to Elections Code section 10002. The Redding City C1erklElections Official shall �le�� a certified copy of this Resolution with the County ROV to ensure the requisite timeframes for holding the election as required by applicable 1aw. Seetian 5. (a) The City hereby requ�sts th� Board of Supervisors of the County to permit the County ROV to conduct necessary seTvices for the Municipal Election and the City consents to reimburse the ROV for a�l costs incurred by said services pursuant to Elections Code section 10002. In any event,the Municipal Election will be held on November 4, 2025, from the hour of'7:00 a.m. to the hour of 8:00 p.m., during which period of time the polls will remain continuously open. At 8.00 p.m. the polls will be cic��ed,except as provided in Section 14401 of the Elections Code, and the officers of the election shall thereupon proceed to canvass the ballots cast thereat. (b) The election precincts,polling places and voting booths within said City for said Municipal Election shall in every case be the same as the eleetion precinets, polling places and voting booths established for the last statewide election. (c) A summary of the Ordinance shall be published in the Voter Information Guide. The Voter Information Guide shall contain the statement required by Elections Code section 9280 advising that a copy of the full ordinance or measure may be obtained from the City C1erk/Elections Official upon request. 2 (d) Said Municipal Election shall be held and conducted, and the voters thereof canvassed, and the returns thereof made, all in accordance with the general election laws of the State of California and the ordinances of said City. (e) All persons qualified to vote at municipal elections in said City shall be qualified to vote. (� Said Council shall meet forthwith after the canvass of the returns of said election and shall state in the minutes of such meeting the results of said election as ascertained by said canvass. Section 6. The City Clerk of the City of Redding, as the City's Election Official, is hereby authorized to sign a Notice of Election and Measure To Be Voted�n in a form substantially similar to that attached hereto as Exhibit B. The City Clerk is hereb�autl�orized and directed to publish said Notice of Election and Measure To Be Voted On at lea�t one time not later than a week before the election in a newspaper of general circulation c�rculated within the City of Redding, in accordance with the provisions of Section 12111 of the'�Elections Code of the State of California. Section 7. The City Clerk is hereby aut�orized and directed to ca�se to be delivered, no later than August 8, 2025, (which date is not �ewer than 88 days prior'to the date set for the statewide election), one copy of this Resolution to the Registr�r of Voters ofthe County. Section 8. The City Council hereby directs the City Clerk to transmit a copy of the measure to the City Attorney. The City Attorney sl�all prepare an imp�rtial analysis of the measure, not to exceed 500 words in length,showing the effec�ofthe measure on the existing law and the operation of the measure, and transmit such impartial analysis tt��the City Clerk within ten (10) days of the adoption of this resolutic�n. Section 9. Pursuant to Sect�c�n 9282(a) of the Elections���Code of the State of California, the persons who filed the initiative petition may�'i�e a written argument, not to exceed 300 words in length, accornpanied by th�printed name(s) and sig�ature(s)of the person(s) submitting it, or if submitted'an behalf of an organization, the name of t�e organization, and the printed name and signature of�at least one t�f its principal officers, for��or against the City measure. Section 11. This tax i� a special retail t�ansactions and use tax upon a citizen's initiative petition. It reguires the approval c�f simple majority of the qualified electors casting votes. Section 12. This Resolutian shall take effect immediately upon its adoption. 3 I HEREBY CERTIFY that the foregoing resolution was introduced, read and adopted at a regular meeting of the City Council on the Sth day of August, 2025, by the following vote: AYES: COUNCIL MEMBERS: NOES: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: ABSTAIN: COUNCIL MEMBERS: JACK MUNNS,Mayor ATTEST: APPRO�E: SHARLENE TIPTON,City Clerk ��CARISTIAN M. CLTRTIS, City Attorney 4 Exhibit A Ordinance ORDINANCE NO. AN INITIATIVE ORDINANCE OF THE CITY OF REDDING IMPOSING A SPECIAL TRANSACTIONS AND USE TAX TO BE ADMINISTERED BY THE CALIFQRNIA DEPARTMENT OF TAX AND FEE ADMINISTRATIQN, SUBJECT TO ADOPTION BY THE ELECTORATE The Council and People of the City of Redding, California, do ordain as follows: Section 1. The Redding Municipal Code is hereby amended by the addition of a new Chapter 4.05 to read as follows: 4.05.010 TITLE. This chap�er shall be known as the Redding Public Safety, Infrastructure, and Parks Transactions and Use Tax Ordinance. The City of R�dding is referaneed in this ordinance as "City." This ordinance sha11 be applicable in the incorporatad territory of the City. 4.05.020 OPERATIVE DATE. "Operative Date"means the first day of the first calendar quarter commencing more than 110 days after the adoption of this ordinance. For purposes of Revenue and Taxation Code section '7265, this ordinance shall be considered adopted on the date of the election in which it is approved by the qualified voters of the City. 4.05.030 PURPOSE. This ordinance is adopted to achieve the following, among other purposes, and directs that the provisions hereof be interpreted in order to accomplish those purposes: A. To impose a retail transactions and use tax in accordance with the provisions of Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code and Section 7285.91 of Part 1.7 of Division 2 which authorizes the City to adopt this tax ordinance which shall be operative if a simple majority of the electors voting on the measure vote to approve the imposition of the tax at an election called for that purpose. B. To adopt a retail transactions and use tax ordinance that incorporates provisions identical to those of the Sales and Use Tax Law of the State of California insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.6 of Division 2 of the Revenue and Taxation Code. C. To adopt a retail transactions and use tax ordinance that imposes a tax that ean be administered and collected by the California Department of Tax and Fee Administration in a manner that adapts itsel�as fully as practieable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the California Department of Tax and Fee Administration in administering and eollecting the Cali�ornia State Sales and Use Taxes. D. To adopt a retail transactions and use tax ordinance that can be administered in a manner that will be, to the greatest degree possible, consistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code,minimize the cost of collecting the transactions and use taxes, and at the same time, minimize the burden of record keeping upon persons subject to taxation under the provisions of this ordinance. E. To provide dedicated funding �or essential local services, including PUBLIC SAFETY,INF�RASTRUCTL7RE,and PARKS,ensuring that the City of Redding has the necessary resources to maintain and enhance these critical community assets. E To ensure that all revenue generated by this tax remains within the City of Redding, rather than being sent to Sacramento, so that local tax dollars directly benefit residents through investments in law enforceinent,fire protection,road maintenance,recreational facilities,and other essential city services. G. To establish a transparent and accountable system for the allocation and expenditure of tax revenue, as detailed in the "Expenditure Plan," which specifies how funds will be distributed to meet the City's priorities for public safety, infrastructure, and parks. H. To impose and administer this retail transactions and use tax in a manner consistent with state law, while ensuring that collection and oversight are conducted efficiently and with minimal administrative b�urden. 4.05.040 CONTRACT WITH STATE. Prior to the operative date, the City shall contract with the California Department of Tax and Fee Administration to perform all functions incident to the administration and operation of this transactions and use tax ordinance; provided that, if the City sha11 not have contracted with the California Department of Tax and Fee Administration prior to the operative date, it sha11 nevertheless so contract, and, in such a case, the operative date shall be the first day of the �irst calendar quarter following the execution of such a contract. 4.05.050 TRANSACTIONS TAX RATE. For the privilege of selling tangible personal property at retail, a tax is hereby imposed upon a11. retailers in the incorporated territory of the City at the rate of one (1)percent of the gross receipts of any retailer from the sale of a11 tangible personal property sold at retail in said territory on and after the operative date of this ordinance. 4.05.060 PLACE OF SALE. For the purposes of this ordinance, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is deliv�red by the retailer or his agent to an out- of-state destination or to a eommon carrier for delivery to an out-of-state destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the state sales and use tax,regardless of the plaee to which delivery is made. In the event a retailer has no permanent place of business in the State or has more than on�place of business,the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the California D�partment of Tax and Fee Administration. 2 4.05.070 USE TAX RATE. An excise tax is hereby imposed on the storage, use or other consumption in the City of tangible personal property purchased from any retailer on and after the operative date of this ordinance for storage, use or other consumption in said territory at the rate of one percent of the sales price of the property. The sales price shall include delivery charges when such charges are subject to state sales or use tax regardless of the place to which delivery is made. 4.05.080 ADOPTION OF PROVISIONS OF STATE LAW. Except as otherwise provided in this ordinance, and except insofar as they are inconsistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code are hereby adopted and made a part of this ordinance as though fully set forth herein. 4.05.090 LIMITATIONS ON ADOPTION OF STATE LAW AND COLLECTION OF USE TAXES. In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code: A. Whenever the State of California is named or referred to as the taxing agency, the name of this City shall be substituted therefor. However, the substitution shall not be made when: 1. The word "State" is used as a part of the title of the State Controller, State Treasurer, State Treasury, or the Constit�ution of the State of California; 2. The result of that substitution would require action to be taken by or against this City or any agency,officer,or employee thereof rather than by or against the California Department of Tax and Fee Administration, in performing the functions incident to the administration or operation of this Ordinance. 3. In those sections, including, but not necessarily limited to, sections referring to the exterior boundaries of the State of California, where the result of the substitution would be to: a. Provide an exemption from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain subject to tax by the State under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code; b. Impose this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not be subject to tax by the state under the said provision of that code. 4. In Sections 6701, 6702 (exeept in the last sentence thereo�, 6711, 6715, 6737, 6797 or 6828 of the Revenue and Taxation Code. 3 B. The word "City" shall be substituted for the word "State" in the phrase "retailer engaged in business in this State" in Section 6203 and in the definition of that phrase in Section 6203. 4.05.100 PERMIT NOT REQUIRED. If a seller's permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional transactor's permit shall not be required by this ordinance. 4.05.110 EXEMPTIONS AND EXCLUSIONS. A. There shall be excluded from the measure of the transactions tax and the use tax the amount of any sales tax or use tax imposed by the State of California or by any city, city and county, or county pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law or the amount of any state-administered transactions or use tax. B. There are exempted from the computation of the amount of transactions tax the gross receipts from: 1. Sales of tangible personal property, other than fuel or petroleum products, to operators of aircraft to be used or consumed principally outside the county in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this State,the United States,or any foreign government. 2. Sales of property to be used outside the City which is shipped to a point outside the City, pursuant to the contract of sale, by delivery to such point by the retailer or his agent, or by delivery by the retailer to a carrier for shipment to a consignee at such point. For the purposes of this paragraph, delivery to a point outside the City sha11 be satisfied: a. With respect to vehicles (other than commercial vehicles) subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, and undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code by registration to an out-of-City address and by a declaration under penalty of perjury, signed by the buyer, stating that such address is, in fact, his or her principal place of residence; and b. With respect to commercial vehicles, by registration to a place of business out-of-City and declaration under penalty of perjury, signed by the buyer, that the vehicle will be operated from that address. 3. The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance. 4. A lease of tangible personal property which is a continuing sale of such property, for any period of time for which the lessor is obligated to lease the property for an amount�xed by the lease prior to the operative date of this ordinance. 4 5. For the purposes of subparagraphs (3) and(4) of this section, the sale or lease of tangible personal property sha11 be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised. C. There are exempted from the use tax imposed by this ordinance, the storage, use or other consumption in this City of tangible personal property: 1. The gross receipts from the sale of which have been subject to a transactions tax under any state-administered transactions and use tax ordinance. 2. Other than fuel or petroleum products purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this State, the United States, or any foreign government. This exemption is in addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code of the State of California. 3. If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered into prior to the Operative Date of this ordinance. 4. If the possession of, or the exercise of any right or power over, the tangible personal property arises under a lease which is a continuing purchase of such property for any period of time for which the lessee is obligated to lease the property for an amount fixed by a lease prior to the operative date of this ordinance. 5. For the purposes of subparagraphs (3) and (4) of this section, storage, use or other consumption, or possession of, or exercise of any right or power over, tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised. 6. Except as provided in subparagraph(7), a retailer engaged in business in the City shall not be required to collect use tax from the purchaser of tangible personal property, unless the retailer ships or delivers the property into the City or participates within the City in making the sale of the property, including, but not limited to, soliciting or receiving the order, either directly or indirectly, at a place of business of the retailer in the City or through any representative, agent, canvasser, solicitor, subsidiary, or person in the City under the authority of the retailer. 7. "A retailer engaged in business in the City" shall also include any retailer of any of the following: vehicles subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, or undocumented vessels registered under Division 3.5 (commencing with Section 9840)of the Vehicle Code. That retailer shall be required to collect use tax from any purchaser who registers or licenses the vehicle, vessel, or aireraft at an address in the City. 5 D. Any person subject to use tax under this ordinance may credit against that tax any transactions tax or reimbursement for transactions tax paid to a district imposing, or retailer liable for a transactions tax pursuant to Part 1.6 of Division 2 of the Revenue and Taxation Code with respect to the sale to the person of the property the storage, use or other consumption of which is subject to the use tax. 4.05.120 AMENDMENTS. All amendments subsequent to the effective date of this ordinance to Part 1 of Division 2 of the Revenue and Taxation Code relating to sales and use taxes and which are not inconsistent with Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, and all amendments to Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, shall automatically become a part of this ordinance,provided however, that no such amendment shall operate so as to affect the rate of tax imposed by this ordinance. 4.05.130 ENJOINING COLLECTION FORBIDDEN. No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in any court against the State or the City, or against any officer of the State or the City, to prevent or enjoin the collection under this ordinance, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any amount of tax required to be collected. 4.05140 SEVERABILITY. If any provision of this ordinance or the application thereof to any person or circumstance is held invalid, the remainder of the ordinance and the application of such provision to other persons or circumstances shall not be affected thereby. 4.05.150 EFFECTIVE DATE. This ordinance relates to the levying and collecting of City transactions and use taxes and shall take effect immediately. 4.05.160 TERMINATION DATE. The authority to levy the tax imposed by this ordinance shall continue indefinitely, until ended by Redding voters. 4.05.170 USE OF TAX PROCEEDS AND EXPENDITURE PLAN. All proceeds of the tax levied and imposed hereunder shall be accounted for and paid into a special fund designated for use by the City only for the purposes set forth in the Expenditure Plan for the administration and expenditure of tax proceeds, attached to this ordinance as Exhibit 1. The Expenditure Plan may be amended from time to time by a four-fifths majority vote of the City Council commencing in the sixth fiscal year following certification of the adoption of the tax, provided that the funds reappropriated from such aproject or activity are appropriated for another expenditure in the same category ofpublic services(i.e.,police,fire,roads, airport,parks,Northern Riverfront). The City is hereby authorized to incur indebtedness in the form of bonds, notes, contractual obligations or other evidences of indebtedness authorized by law to finance or refinance costs described herein, and to pay any and all costs of issuing or incurring such 6 indebtedness, to fund reserve funds, capitalized interest, costs of capital enhancement, costs of interest rate hedging arrangements or any other fmancing costs associated with such indebtedness. Expenditures of the funds designated as "unallocated" shall be made at the direction of the City Council after receiving a recommendation from the Citizens Advisory Committee. 4.05.180 CITIZENS ADVISORY COMMITTEE. A. The City Council shall establish a Citizens Advisory Committee by ordinance,with each Councilmember appointing one member and the Council as a whole designating its chair from among its members. The Council may also provide for up to four additional members appointed by the Council as a whole. In appointing members, the City Council and its members shall endeavor to represent a wide-range of community stakeholders, such as Redding Chamber of Commerce, the Shasta County Board of Education, Redding Rodeo Executive Boardmembers, Redding Civic Auditorium Operator, the Redding Rancheria, the City's Community Services Advisory Commission, the Redding Tourism and Marketing Group and others. B. The initial members appointed shall classify themselves by lot or agreement or both so that three members serve an initial four-year term and two serve an initial two- year term. Thereafter, all committee members shall serve four-year terms or until their successors are appointed and qualified. Once appointed,members may not be removed except for by a four-fifths majority vote of the City Council for such cause as would be sufficient to terminate an employee represented by the City's largest bargaining unit. C. The Committee shall meet not less than annually after the audit referenced in Section 19 or this Ordinance is available for the Committee's review. This Committee may review and comment on use of the proceeds of the tax and may provide recommendations to the City Council for use of unallocated, excess, or funds available once capital improvement projects are completed and paid in fu11. 4.05.190 AUDITS. At least annually the City shall arrange for an independent audit of the receipts and expenditures of the proceeds of the tax, make that audit publicly available, and allow public comment on it at a meeting of the City Council. Upon the voters' approval of this initiative ordinance, the City Clerk is directed to provide an ordinance number to complete the blanks above and in the Exhibit and the City Clerk and Mayor are authorized to sign this ordinance to certify that voter approval. M�yor it I r i r � Exhibit A Ordinance ORDINANCE NO. EXPENDII'URE P"LAN 7'he Pee�ple of the�ity of Redding Wish t�Allocate Tax Pr�ceeds zn the F�llowing Nfanne�: �ZE�}I)IN�G POLICE I�EI'�RTIVT�NT - 12% of praceeds; allocation to be applied toward additional staf�ing, cquipment and facilities. �Fi�aSTA CQUN'TY SHERI�F'S C���IGE - 12% afi proceeds; alloc�tion to be applied toward custady operations addressin repeat offend�rs and jail capacity pursuant to an agreerr�ent between Gity of Redding and Shasta ��unty. If no agree ent is r�ached within t�nro years of vaters appraval of t is �rdinar�ce, this allocatior� shall e applied to the edding calice �part ent as provided abova. 1 1 - 13°fo of proc�eds; allocation to include the constructi�n and staffiing of Fir� tation 9, impr�ve ents or replace ents to ofiher fire stations, purchases af equip ent, and a ini um of 3,5°fo of the total allocatic�n toward fire iti ation efforks such as fuel odification, safety inspection�, fire-hardening of public proper�ies, planning for fire refiuges, �nd si ilar activities. - 30°/p of proceeds; allocation to be �ppli�d taward roads and transp�rtation facilities aintenanc�, repairs, and imprave �nts. I - 5% of roceeds; allocatic�n to �upport the building and staffin of addit�onal fi�rminal and g�n�ral operatians af all airpart f�cilities. - 9% af proceeds; allocation to be �pplied tow�rd the construction, i pravements, and ang�in ainten�nce af the f�llowing ublic park faciliti�s and in th� following percenta es of total t�x ro�eeds: edding Sport� ark - 2.75% of proceeds; allacation to e appli�d taward capit�l impravemer�ts, reserves, staffing, ar�d on oin mair�tenance af the park facilities and grounds. C�lifarrria Soccer Park-1.75% af proc�eds; allocafiion ta be a plied tc�ward capifial irnprave ents, res�rues, and angain ainten�nce of the park facilities and grour�ds. South City Park - 1.�5°fo of proceeds; allacation to be applied toward the construction and or�going ainten�nce of the park facilities and grounds. Panorama Park - 1.5% ar prc�ceeds; allacation to be appli�d toervard the construction and ongoing aintenance of the park facility and grounds. 8 Cald,well Park, La�ce Redding Pa�k, an�l the Redding Aquatic �ente� - 1.25% of proceeds; allocatic�n to be applied toward improvepnents, stai'fii�g, and ongoing maintenance of�he park facilities and grounds. N012THEi2� 12TVERF12t�1�T - 9% of�roceeds; allocation to be appli�d taward th� construetian, i�i�provements, ongoin� main�enance amd operations of the following public facilities; Rodeo G�raureds - 3% of total proeeeds and Redding Civie Audito�ium - 6% af proceeds. Once improvement prajects are completed for the facilitie� identified above in any cat�go of spendin , the Gity Council ay decide by a four-fifths vat�to re-allocat� funds so lon as continued maintena�ce of these facilities is funded. Additional park facil6ties include, but ar� nat limited ta a youth baseball camplex and a ba�ketb�ll facility. - fihe re aining 1 Q°!o �hall b� spent a� the City Cauncil d�t�rmines vi� its annual bud et and eriodic udget a end en�s after �onsidering a recommendati�n fro fihe Citizens dvisory Gommittee and allowing opportunity far public co ent at a City Cauncil meeting. 9 Exhibit B CITY OF REDDING NOTICE OF MUNICIPAL ELECTION AND MEASURE TO BE VOTED ON NOTICE IS HEREBY GIVEN that the following measure is to be voted on at the special municipal election to be held in the City of Redding, on Tuesday, the 4�' day of November, 2025: "Shall the measure adopting a one percent transactions and use tax in the City of Redding, for the special purpose of funding YES essential local services, including Public Safety, Infrastructure, ��.����� and Parks, ensuring that the City of Redding has the necessary NO resources to maintain and enhance these critical community assets,be ado ted?" The proceeds generated from the transactions and use tax are to be deposited into a dedicated fund for essential local services, including Public Safety, Infrastructure, and Parks, ensuring that the City has the necessary resources to maintain and enhance these critical community assets. The election precincts within the City of Redding for said M�unicipal Election shall be the regular election precincts established for the last statewide election, and the polling places and officers of election within the City of Redding for Municipal Election shall be the same as those selected and designated for the last statewide election. NOTICE IS FURTHER GIVEN pursuant to Article 4, Section 9282(a) of the Elections Code of the State of California, the persons who filed the initiative petition may file a written argument,not to exceed 300 words in length, accompanied by the printed name(s) and signature(s) of the person(s) submitting it, or if submitted on behalf of an organization, the name of the organization, and the printed name and signature of at least one of its principal officers, for or against the City measure. NOTICE IS FURTHER GIVEN that, based upon the time reasonably necessary to prepare and print the arguments and sample ballots for the election,the City Clerk has fixed August 19, 2025, during normal office hours, 8:00 a.m. to 5:00 p.m., as the date after which no arguments for or against the City measures may be submitted to the Clerk for printing and distribution to the voters as provided in Article 4. Arguments shall be submitted to the City Clerk, accompanied by the printed name(s) and signature(s) of the person(s) submitting it, or if submitted on behalf of an organization, the name of the organization, and the printed name and signature of at least one of its principal officers who is the author of the argument, at the Redding City Hall, '7'7'7 Cypress Avenue, Redding, California. No more than �ve signatures may appear on the argument. NOTICE IS FURTHER GIVEN that the City Council of the City of Redding has determined that rebuttal arguments,not to exceed 250 words in length, as submitted by the authors of the opposing direct arguments, may be filed with the City Clerk by August 29, 2025, during normal offic�hours, 8:00 a.m. to 5:00 p.m., accompanied by the printed names(s) and signature(s) of the person(s) submitting it, or if submitted on behalf of an organization, the name of the organization, and the printed name and signature of at least one of its principal officers. No more than five signatures may appear on the rebuttal. 1 NOTICE IS FURTHER GZVEN that any ordinance, impartial analysis, or direct argument filed under the authority of the Elections Code will be available for public examination in the City Clerk's office from August 20, 2025, to September 2, 2025. Any rebuttal argument filed under the authority of the Elections Code will be available for public examination in the City Clerk's Office from August 30, 2025, to September 8, 2025. The polls will be open on Election Day between the hours of 7:00 a.m. and 8:00 p.m. Sharlene Tipton, CMC, CPMC C1erk of the City of Redding City Elections Official Dated: August 5, 2025 Publish: GC 36933 publication 2