Attorney General No.


Secretary of State No.



STREETS AND HIGHWAY FUNDING. CONSTITUTIONAL AMENDMENT. Amends State Constitution to provide net revenues derived from state sales and use taxes on motor vehicle fuels shall be used only for the planning, construction, improvement, maintenance, and operation of public streets and highways, including administrative and acquisition costs. Makes such revenues "user fees," no longer subject to general spending limits. Requires 2/3 vote of each house of the Legislature or majority vote of the people in a statewide election before taxes on motor vehicle fuels may be raised. Prohibits Legislature from lowering local sales taxes to less than 1 1/4% or restricting the purposes of use. Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local governments: Starting in the 1988-89 fiscal year, the measure would eliminate from General Fund appropriation approximately $600 million in motor vehicle fuel sales and use tax revenue and make it available for appropriation only to programs for streets and highways. It would also reduce the State's Constitutional spending limit. The State would lose spending authority amounting to about $100 million in 1989-90, $200 million in 1990-91, and increasing amounts thereafter.


Paul Gann, 3385 Arden Way, Sacramento, California 95825 (916) 482-6175; Assemblywoman Doris Allen, 2350 Wailea Place, Sacramento, California 95833 (916) 445-6233



Document Type



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