Pass: 3,308 / 59.65% Yes votes ...... 2,238 / 40.35% No votes

See Also: Index of all Measures

City Staff projects that the General Fund will be out of balance during fiscal year 2008-2009, and will not be sufficient to maintain the Minimum Reserve level. At the current rate of expenditure, Staff projects that the City will likely experience a budgetary deficit by fiscal year 2010-
2011. The projected budgetary shortfall can be attributed to factors outside of the City's control, including significant increases in the cost of employee health insurance and retirement benefits, decreases in revenue from existing taxes and fees, property tax take-aways by the State, and general increases in the cost of materials and supplies necessary for City operations.

Absent an additional source of General Fund revenue, the City may not be able to maintain adequate staff and service levels. For example, Pinole Police may not have enough patrol officers to confront increases in crime, particularly around the Pinole Vista Shopping Center area. The Fire Department may not be able to continue to staff the Pinole Valley Fire Station with minimum firefighting crews. The Public Works Department may not be able to maintain roadways, storm drains and other water control and discharge infrastructures.

The proposed transaction and use (sales) tax is estimated to generate approximately $1,800,000.00 per year for the City of Pinole. This is a local tax which will be collected and placed in the City of Pinole's General Fund account. Under Proposition 1A, this local tax revenue cannot be taken away by the State or County. This revenue would be sufficient to prevent the forecasted deficit in the Minimum Reserve and would allow the City to provide adequate levels of public safety, public works, and necessary support services. This tax does not have a "sunset provision" and will continue to be levied unless repealed by the voters. Proceeds from the local transactions and use (sales) tax may be expended for any municipal purpose. If the tax is not approved by the voters, the City would likely have to implement reductions in general municipal services.

By placing Measure S on the ballot, the City complies with Article XIIIC of the California Constitution (adopted by Proposition 218), which requires the voters to approve an ordinance which imposes a general tax. A copy of the proposed ordinance is printed in the sample ballot.

DATED: August 7, 2006

Benjamin T. Reyes II
City Attorney

Town Hall Meeting

• Link to streaming video of October 4 Town Hall Meeting to discuss Measure S - Requires Windows Media Player

Contra Costa Times

• Measure S would increase Pinole's sales tax by a half-cent on the dollar, to 8.75 percent, and pump an estimated $1.8 million a year into the city's general fund - 10.08.06

The City of Pinole has been one of the most efficient and fiscally conservative full service cities in the County, as determined by an independent finance consulting study. Compared with other cities of the same size, Pinole provides better services and programs with fewer resources year after year.

In the past four fiscal years, the State of California has taken over $5.5 million from the City of Pinole to balance the State's budget. Additionally, neighboring communities are permitting superstores that will divert current sales tax from Pinole and weaken our General Fund.

Despite our efficiencies, we still have a number of unmet needs. Public Safety needs include additional officers to focus on gangs, narcotics, violent crime, and vice. Other items include disaster emergency preparedness and regional aid programs. Additional funds are needed for the repair and maintenance of our aging storm drain and street infrastructure.

The local half-cent general sales tax would generate $1.8 million. This tax places the least amount of burden on the residents of Pinole, because the majority of the tax revenue is generated from residents of other communities. However, Pinole citizens are assured that 100% of this tax stays in the City of Pinole and the State cannot take any of it away! Join Pinole citizens in fighting to maintain our high community standards, our property values, and keeping Pinole safe by VOTING "YES" ON MEASURE S.

Betty G. Boyle
Mayor, City of Pinole

James S. Parrott
Fire Chief

Tammera E. Campbell
Pinole Resident

Thomas Francis Gozzano
Former Mayor of Pinole

Marc S. Grisham
Former City Manager, Pinole

The major points for voter consideration are:

• The City's proposed 2006-2007 budget increases spending by $4.4million (17%)
  - This is far higher than inflation
  - Reducing this huge increase by $1.8 million (the amount this tax will supposedly raise) eliminates any "need" for this tax increase
• City claims to need this tax increase because superstores nearby divert sales tax from Pinole
  - Raising the sales tax from 8.25% to 8.75 % will further cause shoppers to go elsewhere to make purchases
• The proponent's claim that the majority of tax revenue generated will be paid by residents of other communities makes no sense at all
  - It's the people who live here and shop here who will pay most all of this increased tax
• This is a regressive tax, hurting those in our community who can least afford to pay more taxes
• The City claims to be efficient and fiscally conservative but offers nothing to back up that claim + and a huge budget increase indicates otherwise
• This is simply a tax increase to fund a wish list provided to the Council by department heads

Rod Melgard

The Pinole Council proposed Pinole Vista to be a financial savior for the city. Now they say it's a drain which needs more tax money for support. Ten years ago they "needed" the Utility Tax "temporarily" until Vista was completed and providing income to the City. Two years ago this temporary tax essentially became permanent.

The State is unlikely to be taking Pinole's money away. Property taxes are going up at an incredible rate due to price increases as are other sources of income. The Council is just political fear mongering. This Council is also the Redevelopment Agency Board of Directors and has amply demonstrated it cannot think two years ahead nonetheless predict shortages in 2011.

If sales tax is such a good idea lets vote this one down and next year vote on a tax that is twice as high with the additional revenue used to reduce our regressive utility tax.

These taxes are not justified at this time. I request your vote of NO.

Rod Melgard

The argument against the measure is inaccurate and misleading. The proposed local sales tax increase is NOT about our community murals or code enforcement violations. It IS about continuing to fund the things we've worked hard for, like the fire station in Pinole Valley, while also adding new services that the community is demanding, such as additional police officers to combat gangs, narcotics, violent crimes and vice. It IS about improving roads and making storm drain repairs. It IS about maintaining our quality of life and increasing safety in an environment of rising costs.

Property taxes are not the solution, they represent only a small portion of the General Fund. The Utility Users Tax is NOT permanent. It was approved by Pinole voters and will be up for your vote in 2012. The Pinole Vista shopping center is also not a permanent answer, because revenues have remained flat while our costs for essential services increase.

Pinole collects less than one penny per dollar of the current 8.25% general sales tax. The State HAS taken about $5.5 million from Pinole in the past four years. A majority of this new revenue source will be generated from residents of other communities AND 100% of this tax stays in Pinole while the State cannot take any of it away.

Please do not let inaccurate information sway you from making the right choice to protect and maintain our excellent quality of life in Pinole, vote YES on Measure S.

Betty G. Boyle
Mayor, City of Pinole

Tammera E. Campbell
Pinole Resident