Attorney General No.

SA2003RF0026

Secretary of State No.

996

Description

ELIMINATION OF VEHICLE LICENSE FEES. LOCAL FISCAL FUND. DEFINITION OF TAXES. INITIATIVE CONSTITUTIONAL AMENDMENT. Amends California Constitution to: ban vehicle license fees; exempt registered vehicles from property taxation. Establishes "Local Government Independence Fund" to allocate specified funds to cities and counties. Beginning in March 2004, amount equal to collections under prior applicable vehicle license fee law must be transferred from state's Retail Sales Tax Fund to Local Government Independence Fund. Defines "tax" to mean, with certain exceptions, any monetary exaction imposed by a governmental entity. Authorizes persons and entities to bring class actions and other suits to challenge taxes. Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local governments: Net state loss annually of $1.8 billion under normal budgetary conditions, ranging up to $63 billion under difficult budgetary conditions. Decrease in certain state and local regulatory fees, potentially in the hundreds of millions of dollars annually, depending upon future actions by the Legislature and local governing bodies.

Proponents

Thomas McClintock, State Senator, 19th District, Tom McClintock's Citizens to End the Car Tax, 1127 11th Street, Ste. 216, Sacramento, CA 95814, (916) 448-9321

Date

8-13-2003

Document Type

Initiative

Qualified

Failed to Qualify

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