Attorney General No.


Secretary of State No.



STATE MANDATES. LOCAL GOVERNMENT REIMBURSEMENTS. INITIATIVE CONSTITUTIONAL AMENDMENT. Requires state to reimburse local governments for costs, reduced revenues, funds, or amount paid by or charged to local government for state requirements that: create new programs or higher service levels in existing programs, increase local government's statutory share of jointly funded programs; reduce local government's share of local taxes, fees, vehicle license fees; reduce revenues from fines and forfeitures; or modify special fund allocations. Permits Legislature to suspend local government reimbursement for two fiscal years in 10 year period. Creates presumption local government entitled to reimbursement. Requires public financial accountability process. Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local governments: Measure would result in higher state costs than otherwise would have occurred, potentially several billion dollars annually. Commensurate increase in funding to cities, counties, and special districts. Increased costs to schools, cities, counties, and special districts to develop financial and performance reports, possibly exceeding several million dollars annually.


Christopher McKenzie, Steven C. Szalay, Catherine Ann Smith. c/o Neilsen, Merksamer, Parrinello, Mueller & Naylor, LLP, 770 L Street, Ste 800, Sacramento, CA 95814, (916) 446-6752



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