HomeMy WebLinkAboutAgenda Report - October 17, 1990 (34)11
COUNCIL COMMUNICATION
SUBJECT: Review of State Ballot Proposition 126 DATE: October 17, 1990
and 134
PREPARED BY: C114ty Clerk
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RECOMMENDED ACTION: Discussion and appropriate action
B CKGRCLIZ INFORMATION: At an earlier City Council meeting, Mayor Pro Tempore
Hinchman requested that at a Council meeting prior to
November Q 1990 that a discussion and review be held
regarding Proposition 126 and Proposition 134.
PROPOSITION 126 - The Alcohol Rbuse and Drug Education Tax Act of 1990.
Imposes excise tax and excise surtax on beer, wine and distilled spirits, as
specified, that would supercede such taxes previously imposed and would be in I i e u
of all county, city or district taxes on the sale of alcoholic beverages.
Placed on Ballot Hsi: ACA 38 (Cortese) .
Argunients For:
1. The measure. supported by a broad bipartisan coalition of educators, aicohol
abuse experts, taxpayer advocates . farmers , and other community leaders, would
help prevent alcohol abuse among children by allocating nearly $1 billion to
schools over a 10 -year period.
2, Funds raised by this measure could be used effectively in such programs as
hiring nEw officers to increase drunk driving patrols; treating alcoholics in
trauma centers and mental health facilities; curing alcoholics in
rehabilitation and recovery programs; and stepping up the war on illegal drug
use and alcohol abuse.
3. The money raised by this proposition comes strictly film a tax on beer, wine
and distilled spirits; not one penny comes from income, sales or other taxes.
Arguments Against:
1, New tax revenues from this measure w i I I be deposited i n the state general
fund, to be spent at the discretion of the state Legislature.
2. Nothing w i I I be done to address the negative impacts and costs of alcohol
abuse to California taxpayers.
3. This initiative does not guarantee funding for alcohol and drug use education,
programs affected by alcohol abuse or enforcement of drunk driving laws.
League of Califcrnia Cities Policy Committees' (Community Services, Public Safety,
and Revenue and Taxation) position: oppose
California Chamber of Commerce's position: support
cc -1
Propositions 126 and 134
October 17, 1990
Page Two
A copy of the full text of information concerning this proposition as contained in
the California Ballot Pamr-Ilet for the November 6, 1990 General Election is
attached.
PROPOSITION 134 - Alcohol Surtax Fund. Initiative Constitutional Amendment and
Statue.
Imposes an additional tax on alcohol products (5 cents per 12 ounces of beer, five
ounces of wine, three ounces of fortified wine, one ounce of distilled spirits and
an additional per unit floor stock tax). Resulting revenues would be deposited i n
the newly crested Alcohol Surtax Fund to be appropriated for,,...40ft:, other, things,
alcohol and drug abuse prevention, treatment and recovery programs; :`emergency
medical care, community mental health programs, child abuse and -.-A,., stic violence
prevention training and victim service, alco;iol and drug=related.-:law 'jenforcement
costs. The funds are to be supplemental and not meant to replace existing funds.
This measure is also called the Connelly initiative.
Proponent: Andrew McGuire.
Arguments For:
1. Approximately 33 percent of a I I mentally ill and homeless persons also have
alcohol and drug problems.
2 This measure targets the heavy drinkers, the drunk drivers and alcohol abusers
who cause most of the deaths and injuries attributable to alcohol.
Arguments Against:
1. Proposition 134 continues the trend toward ballot box budgeting by earmarking
the funds it raises.
2. This measure penalizes a I I Californians by locking i n $1.2 b i I I i o n i n current
state spending and relying on tax increases to fund annual budget increases.
League of California Cities Policy Committees' (Community Services, Public Safety,
Revenue and Taxation) position: support
California Chamber of Commerce's position: oppose
A copy of the full text of information concerning this proposition as contained i n
the California Ballot Pamphlet for the November 6, 1990 General Election is
attached.
Alice M. Reimche
City Clerk
AMR/jmp
Attachment
OCT 05 '90 15=47 L.CC-91044-8671 P.2
` (At ta( 'ent)
PROPOSITION 126
Analysis of Impact on Cities
R2gkgr=d on • Proposition 126, a constitutional amendment, was placed on the
ballot by the Legislature (ACA 38). It is the alcohol industry's response to Proposition 134,
the so-called Nickel-a•Drink initiative.
$u=Ay of Prooas ; Proposition 126 would irxxease the state tax, as of March 1, 1991
on beer (from 4 to 20 cents a gallon); specified wines (from I to 20 cents P. gallon); fortified
wines (from 2 to 20 cents a gallon); and distilled spirits (from 52.00 to $3.30 a gallon). This
additional tax on alodiolicbeverages is estimated to raise approximately V. 0 mUhm in the
remainder of FY 90.91 and about S195 in FY 91-92. The proceeds from tHs additional tax
would be placed in the State General Fund, Under the provisions of Proposition 98,
approximately 41 percent of these proceeds, once placed m the Genaral Fund, will be
required ID be passed on to schools.
T he measure also includes a provision that if both Propositions 126 and 134 pass, all of the
provisions ofthe measure that receives the largest number of votes will take affect, and
none of the pruvisions cf the other measure, which received less of a majority vote, will
take effect. The Segal impact cf this language is uncertain.
Impacts an cities:: Because cf the mandates of Proposition 98, a portion of the revenue,
approximately 41 percent will go to schools. There is neguarantee that any of the
remaining revenue will go towards alcohol and drug abuse related programs that would
benefit cities. Since the tax on alcoholic beverages would increase by this .Leasure, the
sales tax, wbich is levied on the tttal price cf alcoholic beverages, will also increase. Tl -.e
legislative Analyst estimates that local sales tax will increase by about 51.6 million anncally.
°This added revenue would be forwarded to cities. Aside from the small amount in sales
tax there is no guarantee that any of this money will be directed towards cities.
dated Policies or Mtioaa of 'tee: The League opposed this measure, (ACA 38),
wi►.ile it was being considered by the Legislature because the tax was considered to be too
low and would not raise enoujh revenue to adequately address the problem of alcohol
abuse and because 41% of all funds raised would be due to schools. The League also
opposed ACA 38 because this tax increase is contained in a constitutional amendment. The
League believes provisions like these do not belong in the Constitution, Constitutional
amendments once in place, are more difficult to change than statutory amendments,
;sue: What position, if arty, should the Lea a take on proposition 1261 Should the
eague continue to oppose Proposition 126? Ohis proposition has been referred to three
League committees: Community Services, Publics Safety, .d Revenue and Tantim) .
Committee Recommendation:
0
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OCT Cis '90 15:48 LCC -916/444-8671
P.4
Analysis by the Laoslative Analyst
Background
Currently, the state taxer alcoholic beverages at the
rate of 92 per gallon on liquor (distilled spirits), 4 cents
per gallon on beer, and 1 cent per gallon on most wines.
This year, the state will collect about 8126 million from
these twes. Most of this revenue (76 percent) will come
from the tax on liquor. These revenues go into the state'!
Central Fund to pay for education, health, welfare and,
other government programs.
Under existing yrements of the State Constitution
tion 98}, pu WWI anti mmmuni colleges
are� mnteed a specific amount of funding each
from tho state General Fund This guaranteed amount
increases each year. The mount of the increase is
calculated using one of three different fonulas. The
formula used dependj on state and local revenue trends
and other factors.
Proposal
This measure has two major parts:
• Alcohol ?ares. It increases state taxes on most
• Cmf7icts with 0A01llearures on this Ballot. It
contains lsngunft stating how conflicts between it
and two other measures on this ballot are to be
resolved.
Alcohol Taxes. This measure increases state taxes on
Inst alcoholic beverages, beghming March 1. 1991. The
tax on beer and most wises would Increase from 4 cents
and 1 cent, respectively, to 24 cents per gallon (the tax
on sparkling wines, such as chcmpagne, would remain at
the current rate of 30 teats per gallon) . The tax on liquor
would increase from $2 to $3.34 per gallon. As a result,
taxes would go up by 9 cents on a six-pack of beer, by 4
cents oR a bottle (750 milBliters) cf most wines and by 26
cents on a i>ottie ("50 milliliters) cf ice.
The state Gesterol Fund would receive ail of the
revenue f3m the higher taxes. The measure places the
new tax rates in 1$ State Cdnstitution. The Legislature
could increase, bu: not reduce, taxer on alcoholic
beverages in the future.
Conflicts with Other ,{ wurss on this Ballot. This
measure containslarguage stating how conflicts between
it and two other measures on this ballot are to be
resolved.
• Proposition 134, The Alcohol Tax Act of 1940, also
C90
would impose additional taxes on alcoholic
beverages, although at rates higher than those
imposed by this =E .s arc. if Proposition 134 also is
approved, 'kis measure states that all of the
provisions in :he measure with the 4rgest number of
votes will take effect. -id none cf the provisions c•i
the other measure will take effect. T::a ieji� &Gec:.;i
this language. h uncertain. This is because the State
Constitution currently requires that only she
eonflieft provisions or the measure that rec-tv,?s
the greater vote prE►vails.
• Proposition 136, The a 4;:psyar s' .11vi:t toVr.8 A Act of
1990, requires that any aew or increased "specs d
taxes" with respect to personal pr.,rerty he f::tcosa f
on the tvlue of the property. While -the meaning of
these provisions in Proposition 136 is uncertain, they
may be interpreted to prohibit nose per-anit spetiai
tares on cigarettes, alcoholic beverages, and ocher
items. However, Proposition 126 imposts a "general
tax- on units (gallons) of alcoholic beer ages. to
addition, the measure states that it hr exempt from
the provisions of The Taxpayers' Ibght to vote Act of
1990.
Fiscal E:iact
7he higher alcohol taxes imposed by this measure
would rrult in additional state Ceneral Fund revenues
of about $70 million in 1990-91 (part year) and about
$195 ndllion in 1991-92 (first full years. These amounts
include increased state sales tax revenue 02 mWion in
199192) that occurs because the sales tax levied on the
total price of alcoholic beverages, including alcoholic
beverage taxes. Similarly, local sales tax revenues would
increase by about $1.6 million annually statewide. The
amount of revenues after 1991-92 will depend on trends
in alcohol sales. The measure increases the state's
constitutional spending limit to include the additional tax
revenue.
Under existing requirements of the State Constitution,
public schools and community colleges may receive
approximately 41 percent of the additional revenues
fmin the taxer imposed by this measure. Whether this
occurs in ani year will depend upau which of the
formulas used to determine the state funding guarantee
is i1 effect that year.
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OCT 05 '9$ 15:49 LCC -916/44.4-$671 P.5
126 Alcoholic Beverages. Taxes.
Legislative Constitutional Amendment
Argument in Faver of Proposition 126
Proposition 1:5 A Setter Approach
Propositfors 1!'b.'lu Alcohol Abuse and Drug Education Act, is a fir
Mor approach to alcohol taxes than Proposition 131. .
Pr000ddon 134 doesn't direct a t>• M ro tnubbe tph m A . Proposition
e nearly $1 billion over 10 yeirt to sclseoit Expeagree
:five way to stop &I above Is tbrottgb earlrts y education.
Wdren the dancers of alcohol conaunption and stoppins
1e by adults should be top priorities for California.
elemar t 14 wkmft the war agaiatt alcohol abuse.
I I is supported by a broad bipartisan coalition of
t 6hol t�xpestR taxpayer advocates. fasters. and
wee u p you to � on the alcohol tax—Proposition
�- Hundreds�ofPublic Millionss�Avsole
pnVosition 138 --the ale" taxI :alae nearly $1 billion in 10
yetrs fix schools
An ounce of prevention Is worth a poTsad of cure. Our teachers.
principals and :decal counselors coved use this money for prograats
Which can bele Flowet the problem *f alcohol use by ourchtkiten
An Additional Si SIWam Available for
Drank Driving and Treabriesst Programs
ProCltlen 1N raises an 111 $1 billion over 10 yeas which
could be used for peopesai.aimed �t admin who abuu sheobol. 3t could
be wed for V. -W 6 + plow bt fgat overnight, tach aa:
• H�new oi�liears to iueresle drunk driving pserols.
e T alcoholics in traum ceastnt aand nd
eroaalittsiprbeam
facilities.
i R;WQ up th rt an use and alcohol abs.
Without Raising Our Iueom Taxes
None of the money raised by Propoga, n 126 comes from our income.
Wes or other tastes. +tU of taus money comes from a taxis" beer, tong
and dirtilbd eporta. The taxes on beer and distilled spirits will increase
to the national average and wine taaw will be substantially tnemstA
No Hidden Taxpayer Can
Proposition 134 also contains hundreds of millions of dollars in hidden
cwt* which all taspeyerr must bur. It suarmtees a few privileged
government rovems hundreds of sash 64 of dollars Inywily budget
in resses—wMti er they need theor not—awry year, forever-
Pmoosttton IN'* budget escalators most eome from the stat/ s
General F'urid—from our himme, abs and other taxes. The only other
ept." is to ftneucaity cut budgets of other imporant program—tike
ducational swvic«, sensor care w4 fhrepeotectioa .
rropastetort IN mnraim no hidden facom or sola roc octets. It just
increases alcohol txstae.
Proposition 126, the Alcohol Abuse and Drug Education Act, is a
fiscally sound approach to the problems of alcohol abuse. It can help
prevent our children from usins alcohol. It can provide money for
drunk driving enforcement, trauma care seaters. mental health and
other important prosrams.
It does all tb�s by imposing a substantial. yet fiscally round, tax
N O on �6t , �e urge you to vote YES on Proposition 186 and134.
ALFRED E ALQUIST
Chdrmo% Sum Senate Commian on BttI and
Pima Roolow
ED YOGLIA
Ptwfdm4 t;, gbrnia Tagima Amoctetion
DAVID SROWN
lUseidnhrr Association of C01110mild School Adminiwtrators
Rebuttal to Argument in Favor of Proposition IN
REBUTTAL ARGUMENT TO ARCUMENT IN SUPPORT OF
PROPOSITION les
PROPOSITION 146 IS SPONSORED BY THE LIQUOR INDUSTRY.
The reason they nay Proposition 126 is a better approach to taI the
liquor industry than Propoation 13tr the "Nickeo-a•Drink" proposal, is
that PrWasisim: 126 taxa them ler.
The only reason Prepooation 126 is on the ballot is that the liquor
industry Mends S1Ao0.t)fxr each year lobbs:ng the Mature and hu
contributed over SIAK W to politicians since 14166 h;,t the liquor
industry wants. the 1wg:tiature gives That., why the Legislature twill
not ch ed the wine tax from leper gallon since 1037.
The sok purpose of Proposition 126 is to defeat Proposition. 131. the
\ickei-a•Thins" Aleehol Tax Initiative. When resdint the argument in
favor of Proposition 126. CONSIDER THE SOLACE--IT,IS TY.E
LIQUOR IIrVUSTI'tYl
The w7utnents is nipport of proposition IN are faho and muleading
Pr,,positson 126 does not rArantee one penny to schools for alcohol an.d
dru use education. it does not give any money for the enforcement of
Cal�ornia's drunk driving laws.
Only Proposition 134 suarantew funds for alcohol related probienms,
Only Proposition I34 guarantees funds for education program► and
enforcement of drunk driving laws..
Seforg voting on Proposition 126, ask yourself whom do you trust: the
liquor industry or former Sursoon General C. Everett Koop who said.
"Who could quarrel with a ni- l -&-drink user fee ... to help save lives."
Don't be fooled by the liquor mduttry.
VOTE NO ON PROPOSITION 196•
PATRICIA COLMAN
President, Col(fornia Emergency Nurser Anticiotian
MICHAEL SPARKS
Chairperson, California t:orne%; on Alcohol Polity
CAROLS MCDONALD
Former Director, victim Sergio:, Mother:
Against Drank Drivm (MADD)
15
14 Jrs:urnenti printed or, this page ere ti•r optntons of the authors and have rot been checxe For accura^y by any off;tial agency C90
OCT 05 '90 15:50 LCC -916!444-5671
P.6
Alcoholic Beverages. Taxes. Legislative Constitutional Amendment 11261
Argun. ent Against Prdpmotion 126
Proposition 126 is sponsored by the liquor industry. It is a key
comp✓Amu of the liquor industry's campaign to defeat Propositivo 134,
the-Nkkel-r-Drink" Alcohol Tax Initiative.
Proposition 126 pluft Glifornia's exeta tax on alcohol in the state
constitution. TAY. RATES SHOULD NOT BE 104 THE'
CONSTITL' nom
CALIFORNIA HAS THE LOWEST EXCISE TAXES ON ALCOHOL
IN T4E DATION. For decades. " liquor Lobby hat opposed every
alwTiol tax inereae proposal before the State I.egfslzture. Now, the
liquor todustry is supportia: Propostt. 126. Wi3Y?.rm the hopes of
pre-empting Proposition 134, the "Nickel -e -Drink" Alcohol Tax
Initiative. PROPOSITION 116 DOES NOT EVEN BRING
CALIFORNIA'S ALCOHOL TAX UP TO THE NATIONAL
AVERAGE"
DONT IM POOLED
COMPARE THE TWO
The liquor industry lobbied the LegislaRue to put Proposition 126 oat
I. 6t,w uhivrnia voters agaed Pod= to put Preposition 134 on
the ballot.
Propoarkm 128 will depo* its new tax revenues in the State Cetssral
FsuM to be spent at the dheretion of ew State Legidatum
Proposition 134, the "N;cfoa.a.Drtnk" Alcohol Tax lrlbove, sosires
that its revenues be btvesoad to ptopw= 69 address alcohol related
problems, inch;_ '_ :
• Alcohol and drug abuts ed oblast
• Enforcement of drunk dsivbtg, and other alcohol and dnwrelated,
laws.
• Esnergettcy artd trauma are tratment.
• Alcohoi and drug &brut pit tion &ad reeowry ptop'ams.
• Alcohol sad dist$ abs proimm
• Co:>~tntsnily tsterstal itealtb
• Pragrerru for the innocent vfctisns of alcohol abuse, including
ssppoouusal and child abuse victims.
• PrcrgiAms for infants with birth deteea caused by alcohol and drug
dog not)+iog to add sea the negative impacts and
- - PROPOSITION 10 DOLS NOTGUARAI\TFE ONE DOLLAR FOR
ALCOHOL AND DRUG USE EDUCATION OR PROCRAMS
IMPACTED BY ALCOHOL AME.
Propppo�tioa 126 tanores thew facts
• Alcohol costs California uxp wrs 313 btli9on aw.vall..
• Alcohol is the leading rause of death among teenagers.
• California's emergency medical system is sear collapse. largely
because of alcohol related seedents and injuries.
• Approximately 33% of all mentally ill and nomeltss persons also
have alcohoi and drug presti'e.-.s.
PROPOSITION 126 DOSS NOT GUARANTIM ONE DOLLAR FOR
ENFORCEMENT OF DRUNK DAI4i- G LOWS.
Before voting for Propositio- W. ask yourself this quest w;
WHOM DO You TRUST?
The liquor industry. whlch is spoinoring Proposition M.
OR
The fallowing group which ere supporting Proposition 134. the
"Nit k6o-Drink Alcohol Tax lnittatiwx
The California Association of Higitway f itro}nvo
The California Courted on Akoitoi F:oaioun
California Consort wn b;r the Prevention of Child Abuse
The Am=can CAleita of Emergency Pbysiciam
Cal fo:stfs Council of Community Mental Health Ageacia
The Califorala Council an Children and Youtz
Don't be fvoW by the ve aruvants of the akrohol industry.
PRE-EMPT THE THE MUTIA3TTIVE ATTEMPT TO
VOTE "NO" on PROPOSITION 1i16.
VOTE "YES" on PROPOSITION 134.
STEM C. MADISON
Prnidas; Board of Direeters
CdO nsia Cowinvasn fcr the Prevention of Ciii4l Abwt
DL DONALD K BOWMAN
Zemlia Director, Cat(fontia Coune i on A4vhol
Pmblow
CHIEF DONALD 1. BU RNM
Provident, Col4fornia Police Chiefs Asw,.Iiadoe
Rebuttal to Argument Against Proposition 126
Voters should compare ?topositions 196 and 134. We're sure youll
agree: Proposition lei is a berm approach.
SPENDS WHAT IT WFS
?rcpositioo 126 only spends what it actually raises in alcohol
trxes—nearly 9" million annuall .
Proposititm 134, in the first year. spends three tit w more money than
raises.
NO IMPACT ON OTHEk TAXES
Proposition 126 has NO buiden income or sake tax increases•
Proposition 134 ituarantees a few government p agrams more money
eve .-y year. fore -es. F.-Mwidon 1344annual budget #AVlato►t wtust be
pard for oy our income and gala taxer- The o er option: cut other
important programs' budgets—like firefighting, senior care and
transPorGstfost.
ft o%xy FOR SCHOOLS
Proposition 126 could�ive +rlarly it billion neer 10 years to public
rci:oa::.t!Yr moot ef.srtive place for prevention education.
Eduestors—ince the Csliforria Teachers Association r:ld California
School Admimr+Mors—support Proposition 126.
Proposition 134 directs NO +Honey to public sch,41s.
FAIA TO C6ASU1 us
Proposition :26 increases beer and liquor taxes to the national
avemo ..
Proposition 13„ inercases alcohol taxes to twiCe the national
everaBo--that s unfair to consumers.
BUDGET COMMOU
Proposi!ion 126 will receive vtroog budget and spending controls.
Programs recei%* Pmpodtton 12i rnottey must justify annually that
out tax dollars are spent effiekntly.
Proposition 134 programs get more money every yearwhetherthey
need it or not. No citizens car government groupp will oversee
�
Pro tion 134 expendirires. Money can be spent or. Ice equipment
acrd salaria.
Vote for the better aicohel tax proposition. -
1T -C O1 %pOPOSIT o% 1£5
'vO 01 norosrnos 134
JERRY PIERSON
Secretary/Treamrrr Cnlifornie Council of Police and
Sheriffs ;Cal -cops,
SALL`.' DAVIS
former Dirtctor, Stara Dspar:ment of Drug and A?:ciao:
Priarems
KIRK WEST
Presirent, California Chamber of Cornmerer
16
C90 Arguments printed on this p+ye W rf,P authors and have not beer. chert ed Far accuwe}, by any official agency 1!i
OCT OS '90 15 51 LCC -916,,_4,44-8671
PROPOSITION 134
Analysis of Impact on Cities
P. 7
Proposition 134 is an initiative statute and constitutional
amendment (increased revenues outside the Appropriations limit) that addresses the need
for additional revenue for drug and alcohol problems. It is referred to as the Nickel -a -
Drink initiative. Proposition 134 is a competing measure to Proposition 126.
Summm of ' Proposition 134 would raise the surtax on beer from 4 tD 57 cents
a gallon, on most wines from 1 cent tD $129 a gallon and on distilled spirits from $2.00 to
58.40 per gallon. It is estimated that Proposition 134 would generate approximately $360
million in the remainder of fiscal year 199021 and $760 million in 1991.92. The measure
guarantees that the current level of state funding would remain at the current levels for
e:dsting state programa mthe areas of health, metal health, law enforcement, social service
and drug and alcohol abuse prevention and treatment, with annual adjustments for
pepulation and cost increases. The revenue rai sed f mn the surtax would be in addition to
this statefuading. Surtax revenuewouldbe devoted to emergency medical and trauma care
treatment, law efameim mental health and other health and social services. Local and
state law enforcement would receive twenty-one percent of the proceeds from Proposition
134. Fifty pe=M cf the 21 percent, would be distributed to cities, based oA their
population, and fifty percent distributed to counties. This money would be for the
enforcement eELm prohibiting DUI of alcoholic beverages or any other drug and for the
enforcement of alcobol- and other drug-related laws. Amounts will also be devoted tD city
and county recreation and park programs that address alcohol and other drug impacts on
public parks and facs'lities. State and local sales tax revenue would also increase.
Im�eities; Under Proposition 134, twenty one percent of the revenues would be
devoted to local programs a% stated above. Another lesser amount would be available for
parks and recreation programs. A statewide emergency medical air tramportation network
would be developed. Local sales taxes would increase as a result of Proposition 134
because of the increased cost of alcoholic beverages. The measure would presumably result
in deaeased drug and alcohol abuse in cities.
Related Policies et Positions of title: The League has existing policies supporting the
need for increased drug prevention and enforcement programs, both at the state and local
levels. 'The League also supports additional financial assistance from the state for such
programs. The League generally has opposed earmarking go state funds, similar to the
provision of Propositiot. 134 to guarantee current levels of state funding for a variety of
state programs.
Issue: 'Khat position, if any, should the League take on Proposition 134? Is this an
appropriate way to raise revenue frr anti-drug programs? Are there potential problems
with using the sales tar approach oumvighed by the need for increased funding at the local
level? How should the League resolve two possible conflicting policies -- namely the
suppon for increased funding at the state and local level for drug-related programs with
opposition to earmarking of state funds. (This measure also is being reviewed by the
Community Services Committee and Revenue and Taxation Committee).
Committee Recommendation:
28
,..,...00T 1 i5:52 LCC -916/444-9671 p,g
Alcohol Surtax. Constitutional Amendment.
13411nitiative Statute
Official 'title and Sumnxarys
ALCOHOL SURTAX. CONSTTTL'•TIONAL A-'►4E.tiDMEW.
MIAMI! STATUTE
• Establishes Alcohol Surtax Fund to Slate Treasury.
• Imposes surtax of five cents ppeegr 1St ounces beer: 3 ounces most winesi l ounce distilled spirits.
• Imposes additiasial par wait floor stoc tan.
• Proceeds deposed inice Alcohol Sarni Fuad.
• Guarantees 2980-a0 aonsstrtast Awohng with required enwial adjustments, and appropriates Surtax Fund
revenges for iacteas•d fundins for alcohol and drug abuse prevention, treatment and recovery
progrAms (24%); emeriency medical care (23%); community xaental health programs (1390); child
abuse nal domestic in! v- prevention training and victim services (1596): alcoi:ol and drug related
law easfortemetlt.calm other propaats (21%).
Summary of Legislative Analyst's
Wiliam of Net State and Local Goi mme tt Fiscal Impacts
• Surtax would increase tax an bees from 4 eencs to 57 cents per gallon, most wines from 1 cent to $129 per
gallon. and distilled spirits from 82 to $SAO per gallon.
• The sueeax would took in additional stat rawentsa of approximately $360 million in 199x.&1 and $760
measi in 1891-8R, depaa V on alcohol sales.
• Stat Ceoesvl Fmd revessues ectad it crease or decrease several million dollars due to effect on ales tax
revenues gad revewm fry existing alcoholic beverage tozes.
• Local sales tax revetttse would Increase by several million dollars.
• The guarantee for IM40 level notttrtax funding, with required annual adjustments, for various health.
juxettti bealsh. criminal justice and other programs could increase costs by 8180 million its 199041 and
over $300 million is 1991-+92; possibly additional tens of millions of dollars in subsequent yestrs.
• These costs would Lava to be funded from revenues other than surtim
• Fxpaaditure of surtax revenues for prevention and treatment programs could result in future savings.
Analysis by tate T., &Iative Analyst
Sackvound
Currently. the state taxes alcoholic beverages at the
rate of 52 per gallon on liquor (&sHUed spirits), 4 cents
per gallon an beer, and I cent per gallon on most wines.
This year. the state will collect about $128 million from
these taxes Most cf the revenue (76 percent) w i I I come
from the tsx on liquor. These revenues go into the state's
General Fund to pay for education, health, welfare, and
other governamt programs.
Propwal
This treasure has four major parts:
• Akohol Sort= It imposes a surtax --a to collected
in 1"tion to the existing state alcoho: taxon bee.,
wine. and liquor.
• Requirententsfor Spending the Surtax Revenues. It
creates the Alcohol Surtax Fund into which iU surtax
revenues Would be deposited. It also specifies how
this mon!y would oe spent
e Cuoronterd Funding Level for Existing State
PrOgrams. In addition to specifying hou the new
revenucit from. the surtax would be spent, the
measure establishes a guaranteed funding level for
certain existing state programs. Specifi.al:y, is
requires the. state to keep the funding fur a broad
M1
variety of health, mental health. law enforcement,
social services, and drug and alcohol abuse
prevention and treatment programs at their 1989-90
funding levels plus annual adjustments for
population and cost increases.
• Conflict With Another Measure on This Ballot. It
contains language stating bow a conflict with
another measure on this ballot is to be resolved.
Alcohol Surtaxes. This measure adds surtaxes to the
existing state tax or beer, wine, and liquor beginning
January 1, 1991. The new surtaxes would increase the
state tax on beer from 4 cents to 57 cents per gallon, the
tax for most wines would increase from 1 cent to 31.29
per gallon, and tl:@ tax on liquor would increase from $2
to $8.40 per gallon. As a result, taxes would go up by 30
cents on a six-pack of beer, by 25 cents on a bottle (730
milliliters) of most wines, and by 81.27 on a bottle (730
milliliters) of liquor.
Hou: Surtax Becenus. Will be Spent. The measure
requires the state to spend the revenues from the surtax
fcr the following purposes:
• Alcohol and Drug Abuse ; revention and
Treatment Twenty -lour pereent of the revenues
%vould be used for alcohol and drug abuse preventio;i
and treatment services.
29 Cyt►
OCT 05 '90 15:53 LCC-9iCX_444-8671
e Emc•rgancy Medical and `'y_.,.auma Cars
• Tm atment. Twenty-five percent of the revenues
would be used for emergency medical and trauma
care treatment.
• .Manta! Nealth. Fifteen percent of the revenues
would be used forsloeally:implemented.community
> mental health
e' Verioesse thl o $oc41- Services. Fifteen
percent of the revenues would be used for
prevention, treatment. and health services for
autl disabled Persona•
P.9
approval requirements. V1' ew or increased special taxes
enacted through the initiative process. Propositio» 138`
also requires that. any special taxes imposed on personal
prop' be imposed on the value of the property `This'
measure: (Propositioa'134) states that it would viol be
affected by the metion`6f the State tfittstitution to which =�
these new-egvircments would be added.
Fiscal Effect
Rnenve From the Now Surtaxes. T.hr alcohol urwes
lrapo;ed by_this`measure would result in additional state:'
•wM• --: a nFwy�y,•p, ;sorcsuw v�;atrrivwuaway , ww uNafsYN w! ;s�v!'�a ;rasp• - n -
be -used for "various year) and a760 million 1h:'1991 92'T6rst full `year). rl:a
ttewide erAerg v amount of slirtvc revenuesafter,.1991 would depend
rk' on trends W 01cobol sates. All of the=revenues raised by .' ;<"
W revenues only be the measure would be used to increase, service: in the
for these programs areas descried above.
s'in 1983-90. The Effect:"op`Reoenue Front Eza"ting Taxes. This
leve to specify how measure also -IM
increase or decreast, ata*e �3eiterul
coag the specific Fund iavanues by several nnillion collars eagh year: due
htegorie: desc ed to its efiecb an isles tai reveniloi Ld revenues 4irna the:
Gsearontstd.sasdt�sg,tvel for Existing State
W rams. The :disuse requires the state to keep
•Mft for the five described above ;at
F;;
vie 1989-60 level with annwl . for Population
rid cost increpea.'tbestate s>ote revenues fiom
ow min to payy for these Meedfaading levels;
:stead, it tvould have to we other state mouey. In
989-W, the state spent arose than 32 billion on Huss
rograms. Asa result of the guarantee provided in this
.teasure, the -state mould be required to ssud at least
amount in the future, phu additiona� amounts to
over population and cost increases.
Conflict With Another Measure on This
'allot. Proposition 135 (the Taxpayers' Right to Vote
.ct of 1990), also on this ballot, imposes new voter
existing .alcoholic beverage taxes: ' Local 'sates tax '
revenues would increase by> several mSllion dollars
- ..
Coat:; of the Gr�arantrsd Fvndln�: Lensl. The
requirement to keep riding for.:variety of health.
mental health, crimen justice. and other "progr84= at
their 196-W level, A a�j aments#or population avid -
coat increases could izsitfally raise state coats by about
$180 million in 1990-91 and by over $300.million in
1991-92. This latter amount could grow by teas of
millions of dollars in each subsequent year. These costs
would be funded by regular (nonsurtax) state revenues.
Impact on Program Expenditures. Spending the
sartax revenues on prevention and treatment programa
could result in future state And local savings in various
governmental programs.
OCT 05' '90,IS:54 LCC -616'144-8671 P.10
134 Alcohol Surtax. Constitutional AmendmeAt ..'
Initiative statute
Ariramertt in Favor of Proposition 134
PROPOSITION 134 IS THE "ItiICKEL-A-DRINK" ALCOHOL TAX
I.NTTIATIVE.
Proposition 134 increases the excise tax on alcohol equal to a
••nickel -a -drink" and invests the proceeds to fight alcohol related
Lro4aft Speclliatly. IN earmarks the revenues frost the
rtekel-&Druck" Aleaiwl�i iNive fw.
e Alcohol and drug Ause educ adm
e Enforcement of driving, and other alcohol and drug related.
laws.
e Emergency am tratnnsi care treatment.
• AlcoW and drug abusetion and recovery programa
• Community mental health ZregtamL
a Programs for innocent v:ctuns of alcohol abuse, including spousal
and child abuse %%ft 1.
• Programs for infittts with birth defects caused by drinking and
drug use during pregnancy
The idea for a ntckei-a•drink "user fee" originated with former
Surgeon Cenral C. Everett ICttop who said: "Who could quarrel with a
ntckera-dr ak Luer fee. - .. to help save lives."
Who quarrels with a nickel -a -drink user fee? THE LIQUOR
I.\`Di:MYI The liquor industry's motive for oRposing Propruitft 134
is twofold preserve its profits AND the station s lowest overall tax on
Yost should vote YES on Proposition 134 because:
• Alcohol costs California taxpayers over $13 billion annually.
• A oohol is the leading cause of deeth among teenagers.
• Californias ems medical case system is near collapse,
largely because of= related accidenis and injuries.
• About 6696 of alcohol Ls oonu med by only 119'0 of the people.
• Approximately 33% of all mentally ill and homeless persons also
have alceEtnt and drug ptobiems.
• California has the lo"st alcohol taxes iii the nation. For instance.
the tax on wine has been It per gallon since 1937; it has not
chanced for 93 years.
BEFORE VOTIING ON PROPOSITION 134. ASIC YOURSELF THIS
SIMPLE QUESTION:
WHOM DO YOU TRUSTe.
The liquor_industry or the supporters of Proposition 134, which
include
CALiFORtiIA (.11W—41711S. MOTHERS AVAI.NST DRUNK DRIVING
i:lltOp1
THE CALIFORNIA ASSOCIAT104N OF HIGHWAY PATRGI.M0
THE CALIFORNIA COUNCIL ON ALCOHOL PROBM S
THE CALIFOR1\1A COUNCIL OF CHURCHES
THE C.{I.IFORNIA CONSORTIUM FOR THE
PREV�'TION OF CHILD ABUSE
THE AMERICAN COLLEGE OF EMERGENCY
PHYSICIANS—.CALIFORNIA CHAPTER
THE CALIFORNIA PEACE OFFICERS' ASSO4hATlON
THE CALIFORNIA POLICE CHIEt'8 ASSOCIATION
THE C LZORNIA COUNCIL OF COMMU*DIY ME1%TAL
HEALTH AMCM
THE CALIFORNIA COUNCIL ON CHILDREN AND YOUTH
For the vast majority ority of the Californiam who drink moderately or
not at nit, the "nada-dank"rax tall1 tort leu dusts .?', nuts a rerelc
Preposition 134 targets the heavy drinkers—the gunk drivers ;Ind
alcohol abusers who cause most of the deaths and injuries attributable
to al,ohoL Proposition 134 will provide 4780 million annually for
programs that alcohol related t rcbli ms in rd&mia.
PLEASE REMEMBER ALSO TO VOTE NO ON PROPOSITIONS
120 AND 138. Both ant spotuamd by thtr liquor industry as pert of its
compaign to defeat Propositu►n 1JI.
VOTE YES ON PROPOSITION '134. THE '•N1CX F.L-A-
DRINTC" ALCOHOL TAX INTI nATIVE.
DR. DO-14ALD M. BOWWN
Ata ntivo Dinrctor,
California Council on Alcohol Prvhkwu
MICHAEL P. TRAINOR. M.D.
Prosidnr; American College of Vorwavy Physirians,
State Chapter of California
THOMAS A. NOBLE
Preti&,A. California Association of Highway Patrvtmon
Rebuttal tc Argument in Favor of Proposition 134
T.T"S NOT WHAT IT CLAIMS!
Proposition 134 is not just a "nickel" alcohol lax. it requires spending
more f it raises.
EVERYONE PAYS
• Proposition 114's author testified that automatic badger increases
could be 00 to $100 million annually.
• The Le ',!hive Analyst says Proposition 134 could spend tens to
hundred, of millions of dollars snore than it ralses each year.
• A Sensate Committee reports mandated spending could be $2
billion mon Maan prmded by alrohol taxes within a few Years.
THIS SHORTFALL MUST` BE PAID BY THE GENERAL
FUND—BY YOUR I COME AND SALES TAXES. lip cc $200 per
z=ily yearl}, plus any alcohol surtaxes you ;ay
FALSE PR0%fISES--MISPL1%CED PRIORITIES
Proposition 134 fails to deliver on the promoters' promises. The
ttuararteed sperdittg plan misses the snarl:
• California Teachers Association opposes Proposition 134 Because no
money is directed to public schoois for alcohol abuse progriirits.
• Less that~ half the spending goes to alcohol abuse programs.
Propmiuion 134 rperidi nearip as much nn liter, mVrol as oi-1 abuse
;arc". Rrttidn cornmunimhons.
is Police and firefighters oppose Proposition 134 because tlttre nista
mars goes to private phyrician subsidies than to drunk drirtng
onfomment
BAD GOVERNSI N'T
Proposition I34 requfres automatic spending increases ""allg.
above the alcohol tux.
There is no annual revirzs or oversight to ensure spending increases
are needed.
Wasteful or unneeded progra.,W cannot he cut by the Legislature or
Governor.
It never ervins. so socuding h,. es increase f6mver.
Proposition 134 is a bad lag all of us will pay for. tote "NO" on 134.
MARC KERN, PhXX
Addiction Alternatives Research is Treatment Center
FOBERT B. HAMILTO?►
President, C41.fiornia State Fireneon i .4wm.
DANA W. REED
Former Director, C.at(f Dept. of Traffr Safety
.. 3L -
46 Arguments prirtW on this page are the opinions of the authors and have r,,)t beer, checkcn; fo: accuracy b> any official agent.. C90
OCT 0 '90 15:55 LCC -9144-8671
P.II
Alcohol Surtax. Const.;utional Amendment,
Initiative Statute
Argument Again st Proposition 134
VOTE NO m Proposition 134. T✓:it it no► just an Wcobol Asx.
Despite its claims. Proposition 134:
. Locks in spending of 81.9 billion in its first year ($11 bion in
current general fund monies. pits new alcohol taxes of 8730
million) and DICTATES ANNUAL BUDGET VCREI►S£S that we
all pay.
e T!Ire-.--is tax increases --Ear all taxpilers—to fund annual budget
incl r.:.. - ;ter only alternutive is to cut important state programs:.
• Di:+ : i lio monies to pubo scbools for prevention programs.
. Spened most funds on prcgmrj not related to alcohol or drug
SPENDING EXCEEDS ALCOHOL TAX'
134 penalize, all Californians"-»otjust drhikers—bv
FAR MORE THAN THE TAX RAISES. it locks in $1.2
uillicn i :rant state spending—then requires annual budget
:ncreaQt :cb all taxpayers must pay for.
These. -yet increases are tied to California's explosive population
-rowth. ;fi^ea Sectson. =40. Proposition i34 per -capita spending level
escx:atcr dame".;
Proposition 134 could evenrtally spend five times more than i; raises.
We wail pay either through income or other tax increases or through
redu:ctiors in vital state raqq,ams. °rrooppooaaltlon 134 such salty $totes
vONE OF 7MSE d!A 1:VA FORY SPENDING 1NCREA'SFS rANOF
,•'.41D BY MALCOM SI-RTAx
THREATENS IMPORTANT SERVICES
r: $•.tion 134 threatens funds for programs like senior citizen
::vital welfare. safe food and agdculture. prisons, conservation
�t -:-e ;rJtection by creaeng-new demands on the General Fund.
The :,eKalative Analvst estimates these 1NMEASES COULD COST'
sa MCJ1JO.V IN 771E NEXT TITIC 1,EARS
OTHER ; AX INCREASES
State in=—ac or sales rxes miv be requimd because Proposition 134
'70$11 mrllsens ►nave+:hon it Mimi
A Se:.a a s3udget Lamm lee investigation found deficits could res..'h
11341
82 billion. -equal to a VW income tax for every California family -on
top of the alcohol tato.
SCHOOLS GET NOTHING
Prcposition 13, deprives California public schools of any right to
Alcohol Surt•u funds.
The bon answer to alcohol .Suse and illegal drug use is ptevendnn
education. Yet Proposition 134 giver nod ung to ichoois for;, vw.ttibn
NO FUNDS FOR ALCOHOL AND DRUG DEPARTMENT
Less than half of Proposition 133 spending actually goes to fight
illegd drug use or alcohol abuse.,
Proposition 134 scatters funds to a dozen proyms.,bimut not onscent
goes to Califanda's De�parmtettt of A tom n ragr LOnly3
percent of its 8730 mL n tax you to fight drug, the prvgrM
that should be the Number One public safety prarity In our state.
BI_AMC CHECK F04 WASTE
Even if you like higher alcohol taxek consider that Propodoon 13+:
e Mandates higher government spendfnp entry year, whether
wor a or not. whether money ., .ueded or not.
• �matual iacxeases;% if fraud Aww or abuse are groiam
e Pro ib1ts the Governor and ..egislatwe horn cutting these
budgets, wen for disasters or financial crises.
e Esemj* several hundreds of indli'ont of dollsta of government
froe stole's coadfaravaol Spoiling limit
e no m thcipe usm dam. so spending increases moor to forever.
problem youin to 'N0 on Proposition 13C It creates mar.•, more
FRANS M. JORDAN
Police Chid City and County of Son Frant:seo
LARRY MCCARMY
PraaMe*4 Cal(h;: nia Taspayem Associatie+t
iiElp3lEit9' L SALINGER
Forow Ereeulive, Director, Cal(for»ia School Boards
Atwdd e"
Rebuttal to Argument Against Proposition 134
., op_cnent :f the"� ;rel `. D &V* Laitiative is tate liquor lobby
ere spend;rg more visa M million t:�irg to cottf„se :raters orifi:
. .ixeding utforr^ah+�r.
cpt s.: Cn nS ,fiver 140 nA'!ion annualiy for almhol
se obs and i:, the community.
: .o: t_ho� Spea:iiag exceeds alcohol tut
T.ct Prepo-iucr. 134 supplements current iund:ng for
alcoato =: etatac protgr acts and services. A *'safety clause" in Prop. 134
;aarantees that po-itician, will no., be a!lowed -o cut back or current
furdin g for aicohc;-:elated programs and seiv.ces wbeu the
Nickel•A-Drink funds become available. Thi: "safety clause" is what the
'iu--r lob -by is catlins the "escalator clause.'" Pro;. 134 does no' L-ierease
other taxes. Inste.d. $760 -nil-hon in alcoSoi taxes u;'! be added revenue
for our Citi -s. counties and state aleohoi-:elates; F^rograr:s and services
Laquer !cbby: "Ord} 3% hoes to fight drunk C.nvttig...
Fact: Prop. 134 uill prov:ae up to Sl29 m",on for :ne erforce:rdnt cf
drum ''%ring laws.
Liquor lobby: -No funds fou aleci of ind drug de tment."
Fact: Every nickel of tha `:ickel :A -Drink tax wilispent for
alcohol related services and programs; v -vice_ hike chi d abuse
programs. alcohol abuse education in public schools. and
programs for the vi_turts of drunk drivers
By pa}irg a nickel-s-firink more. peopic w!,c drink alcohol
car, contribure to coveting VP. ^^sts related tr, ;heir behavior.
We think :hat's fair anti respe:rsi! y urge you to, vote yes on
Frapoetian 134.
HARRY SNYDER
Wait Coast Dinrsor. Ccraamen L'niu^. U.S.. 1ne. Publisher
of Consumer Reports
RIC LOYA
Exec. Director, Cs Assoc. of S.hooi H4uh.. i,ducatory
)ACQULINT E MASSO
Santa Clara County Chopter of
Mothers.4gaiasi Drur+:. Dricing 11Mi %01)i
32
C90 Argumen, panted or. this page are the opinions of tate author+ and hive not been checke' for ;.ccumcy bu• any offichd agenc.. 4:
Special
=j
CALIFORNIA CHAMBER OF COMMERCE SEPTEMBER 21, 1990
Overview of November Ballot Propositions
Following are brief summaries of the 28 measures that will appear cn the November ballot. The arguments pro and con tine based. on
arguments submitted for file voters' pamphlet.
Proposition 124
Public Finance.
Allows the Legislature to authorize local
hospital districts to acquire and own
sbxk Cf 6-0tporations that engage in ar►y
health cam -related business, subject iD
the Same.)bligations and liabilities as are
imposed an all other stockholders in
these corporations.
Placed On Ballot W: ACA 29 (Leslie).
Chanber Position: No Position
Proposition 125
Motor Vehkle Fuels, Tax Revenues.
Exclusive PublicM3W Transit Guide-
ways.
authorizes use of motor vehicle fuel tart
revenues for the acquisition of rail
transit vehicles..nd rail transit equip-
ment which operate only on exclusive
public mass transit guideways.
Placed Ch Ballot By: ACA 32 (Coma),
Chamber R)sW= Support
Proposition 126
The Alcohol Abuse and Drug Educa-
tion Tax Act of 1490,
imposes excise tax and excise surtax on
beer, wine and distilled spirits. as
specified. that would supercede such
taxes previously imposed and would be
in lieu of all county. city or district taxes
on the sale of alcoholic beverages.
Placed on Ballot By. ACA 38 (Cortese).
Chamber Position: Support
Arguments For:
1. The measure. supported by abroad
bipartisan coalition of educators. alcohol
Proposition 127
Property Taxation. New Construction
exclusion.
Allows Legislature to exclude from
"new constriction" the construction or
installation of seismic retrofitting
improvements or improvements using
earthquake -hazard relief technologies.
Arguments For:
1. Allowing hospital districts to
acquire and own stock to health-related
businesses will allow district hospitals
the oppc rtunity forjoint ventures and
pamw-ships; dpe use cf economic and
innovative ways to broaden services; and
the ability to compete cn equal ground
with private hospitals.
2 This meas ure grants district
hospitals ways of operating more
efficiently, by giving them some of the
Arguments For:
1. By allowing state and local
agencies flexibility to use existing rail
funds for the most necessary rail capital
improvements, this measure will
increase efficiency.
I By providing more seats. an addi-
t i oral funding source for equipment and
allowing trains to run more often. the
initiative will benefit rural and urban
ILts cf the srate and continue to reduce
gridlock on overburdened freeways.
abuse experts. taxpayer advocates,
fanners. and other community leaders,
vculd help prevent alcohol abuse among
children by allocating nearly $1 billion
to schools over a I0 -year period.
2 Funds raised by :his measure could
be used effectively in such programs as
hiring new officers to increase drunk
driving patrols; treating alcoholics in
trauma centers and mental health
facilities: curing alcoholics in rehabilita-
tion and recovery programs: and
stepping up the war on illegal drug use
and alcohoi abuse.
3. The money raised by this proposi-
Qualified improvements would be
defined by the Legislature.
Piaked On Ballot By: SCA 33 (Rogers)
Chamber Position: No Position
Arguments For:
1. As confirmed by the October 17.
1989 earthquake, it is much less expen-
sive to strengthen buildings than to pay
for the consequences of economic
tools their competitors already have.
Arguments Against:
1. No govemment agatcia can own
corporate stock and allowing hospital
districts to do so sets a bbd preadgrt. -
2 Unlike priyau• hospitals.pablic
hospitals do not make decisions to make
a profit for their investors. d- refore,
public hospitals do riot compete with
private hospitals and should not cb so at
order to k et p the stock mm*et private.
Arguments Against:
1. Since gasoline tax revenues would
be reduced by the amount of reduced
automobile use (resulting from increased
transit utilization), taxes would have to
be raised to make up for the shortfall.
2. The proposition requires millions
of Californians who wi I I never have
access to the tax -funded nass transit
facilities to pay for those w ho live o i
public mass transit routes.
tion comes strictly from a tax on beer.
wine and distilled spirits; not one penny
comes from income, sales or other taxes.
Arguments Against:
I. New tax revenues from this
measure will be deposited in the state
general fund. to be spent at the discretion
of the state Legislature.
1. Nothing will be done to address the
negative impacts and costs of alcohol
abuse to California taxpayers.
3. This initiative does not guarantee
Funding for alcohol and drug use educa-
tion. programs affected by alcohol abuse
or enforcement of chunk driving laws.
disruption. demolition. rebuilding and
even de:;ih,
2. The insignificact loss of property
tax revenue in the short term is a small
and f air price to pay for long-term
earthquake safety,
Arguments Against:
None filed.
�Special R .
SEPTEMBER 21. 1990 CALIFORNIA CHAMBER CF COMMERCE
Pi'Oposltit�n �.
19a'tural Envirornnent.Nhk Health.
&rids. Initiative Statute.
Also referred to as the Hayden initiative
and "Big Green." Requires regulation of
pesticides toe nsum food and agricultural
worker safely, phases out theca=e of
cancer-causing pesticides and chemicals
(thought tD deplete the ozone layer) on .
food Would te4* ioducdon in':
emissions of gases contn'buting to global
warming and rega ire oil spill prevendon
and contingency plans. Establishes an
office of statewide environmental ` ' , .
advocate, to be elected "in the'same' -
manxr as the Governer" to impleti.tnt
the measure, and to enforce "all the laws
of d -e State of California relating to
envitvrtrnental research and public
health" Appropriates $40 million for
environmental research and authorizes
the salt of 3300 mir!ion in general
obligation bonds for ancient rtdwoods
acquisition and forestry proieM
Proponents: T13u Hayden, U o y d
Connelly, Albert H. Meyerhoff, Bob
Proposition 129
Crimes. Ta.,.ation. Bonds. Initiative
Constitutional Amendment and
Statute.
Appropriates $561 million in 1991 to
state and local governments for drug
enforc,.-ment and tr atment, and for
gang -related purposes, with additional
funds allocated in subsequent years.
Raises funds by conforming state
corporate tax laws with federal talc laws
and authorizing the sale of $740 million
in general obligation bonds for drug
abuse. confinement and treatment
facilities. Includes Proposition 115
Proposition 130
Forest Protection. Timber Harvesting.
Bond Act. Initlative Statute.
Authorizes issuance of $742 million in
general obligation bonds to fund a 10 -
year state acquisition program and
limited logging moratorium, permitting
public acquisition of designated ancient
forests providing wildlife habitat.
Requires state -funded compensation. a
retraining program for loggers displaced
by new regulations.wiidlife surveys and
mitigation measures, among oil cr
Mulholland. Michael Picker. Cart Pope
and John Il Van de Kamp.
Chamber Position: Oppose
Arguments For:
1. In 1985 theNatiaal Center for
Health Statistics issued a study stating
that overall medical costs for ca nce r in
California exceed $7 billion a year. 7he
initiative will save billions of dollars in
health cane and energy costs byprotect-
m CaliforrtWd from toxic chemical
pollution of air, water and food.
2 While phasing out chemicals that
destroy theozone layer, cancer-causing
pesticides on food, and toxic -chemical
contamination in drinking and coastal
waters, the initiative will provide $40
million for research on safer substitutes.
Arguments Against:
1. New regulations would cause food
prices to escalate by 30 perctnt; electric-
ity by 20 percent; and gasoline by 60
cents per gallon.
2 ft measure includes theequiva-
lent of 12 pieces of legislation; there are
too many important issues to be voted on
together.
provisions related to criminal justice and
removes right to privacy in state
Constitution that limits criminal defen-
dants' rights to those granted by the U.S.
Supreme Omrt through its interpretation
of the federal Constitution.
Proponent: John Van de Kamp.
Chamber Position: Oppose
Arguments For.
1, The initiative provides funding for
needed drug enforcement agents.
1 It clarif es ambiguous language in
current law that protects a woman's light
to an abortion in California.
3. Closing state corporate tax loop-
holes will raise $220 million to fight
provisions. the measure limits timber -
cutting practices. logging sites and
burning of forest residues.
Proponent: Thomas Lippe.
Chamber Position: Oppose
Arguments For:
I. The proposition prevents global
warming by preserving big trees which
absorb carbon dioxide and provides jobs
by guaranteeing a lasting timber supply.
2. The measure was w r i t. by
forestry experts and is supported by
more than 100 environmental and civic
organizations.
3. The initiative would give broad,
authority over all environmental issues
to a single individual. would create the
potential for thousands of new lawsuits
against state and local govemmtnts, and
would force burinesses to comply with
hundreds of new government regula-
tions.
4. Many provisions in this initiative
duplicate existing law, depend on
scientific applications yet to be devel-
oped or mimic legislation tat: failed last
year. For example: supporters propose to
cancel all cancer-causing ingredients by
January 1996, and the California
Department of Food and Agriculture
already is reviewing all pesticides to
eliminate those known to cause cancer,
the initiative requires scientists iD
produce an alternative to CFCs and
halons (blamed for the opening in the
ozone layer) by 1997, and there seem to
be no viable options to these rtfriger-
ants, coolants and solvents at this tire.
drugs every year for the next eight years.
Arguments Against:
1. Corporate tax loopholes already
have been closed as part of the budget -
balancing process this yertr, no new
funds remain.
2. Earmarking new tax dollars is bad
public policy.
3. The need for the initiative is
questionable since voiers just approved a
5450 million bond act for prisons in
June.
Arguments Against:
I. By reducing timber harvesting by
70 percent. the measure puts more than
I W.000 Californians out of work.
2. The initiative politicizes the timber
harvest approval process. results in a
buildup of hazardous forest debris
(which could lead to catastrophic fires)
,.id significantly inercuses consumer
prices for new iomes. timber and I:apei
products.
p �' ecialReport
CALIFORNIA CHAMBER OF COMMERCE SEPTEMBER 21, 1990.
Proposition 131
Govemwent Officials. Ethics. Cam-
paign Financing. Initiative Constitu-
tional Amendment and Statute.
Limits terms of statewide elected
officials and members of the Legislature.
Statewide elected officials could serve
no more than eight successive years in
office: state legislators and members of
the Board of Equalization could serve no
more than 12 successive years. Limits
gifts to elected state and local nfiicials.
prohibits honoraria and the use of public
resources for personal or campaign
purposes. and enlarges- conflict of interst.
remedies against legislators and state-
wide officeholders. Establishes cam-
paign-contr:htttion limits for elective
offices and provides for partial public
funding for candidates to state office
who agree to the limits specified.
Proposition 132
Maine Resources. Initiative Constitu-
donal Amendment.
Proposes to establish a Marine Protec-
tinh Zone within three miles of Souther
California coastal waters between Point
Arguello and the Mexican border.
Bemo en 3anuary 1.1991 and December
31. 1993. the use of gill nets or trammel
nets in the zone would be subject to an
additional permit with fees ranging from
$250 in 1991 to $1.000 in 1993. Starting
January 1, 1994, use of gill or trammel
nets within the zone would be pmh i b -
Proposition 133
Drug Enforcement and Prevention.
Taxes. Prison Terms. Initiative
Statute.
Increases state sales and use taxes one.
half cent for four years beginning with
the 1991-92 Psca! year. Deposits money
in a "safe streets fund" to be used for
anti-drug education (42 percent). anii-
drug law enforcement (40 percent).
prisons and j ails (; u percent) and drug
treatment (8 percent). Seeks to prohibit
early release of persons convicted twice
or murder; manslaughter. rare or other
sexual assault; mayhem: sale.1 issession
for sale, transportation or manufacturing
of large amounts of drugs. selling drugs
to minors on schoolgrounds or p!ay-
grounds: or usin:! minors to se -1 drugs.
Expands the restrictions on lobbying
activities by former elected officials.
Proponents: John Van de Kamp, John
R Phillips and Tan McEnery.
Chamber Position: Oppose
Arguments For.
1. Proposition 131 gives people with
diffeivnt viewpoints, including wormen
and minorities. Meoppottunity to run for
political office.
2 The initiativeputs an endo special
interest contributionsby placing strict
limits on contributions.
3. Proposition 131 establishes
voluntary public financing. at no cost to
the taxpayer, for campaigns that provide
matching funds for candidates who run
for office. thereby ending candidates'
dependence onpowerful lobbyistsand
wealthy interests,
Arguments Against:
1. With the creation of a tax-fnrrded
ited. Revenues from permit fees provide
compenswionto fishermen for the loss
of permits after January 1, 19^4.
Proponent: Doris Allen.
Chamber Position: No Position
Arguments For:
1. According to the U.S. Mst;m
Mammal Commission. 72 percent of all
fish species caught in gi!I nets have no
commercial or economic value.
2. Gill nets broken free of their
fishing boats (ghost nets) ta4 e 400 years
to biodegrade and have already been
banned along tht coasts of Canada.
Oregon and Washington.
Proponent: Leo McCarthy.
Chamber Position., Oppose
Arguments For:
1. Proposition 133provides more
funding for anti-drug education and law
enforcement programs and takes away
ealy release and good behavior credits
for repeat violent crime offenders.
2. The half cent sales tax money
u,oulu be used specifically forpurposes
stated above and not be diverted for
anything else.
3. This measure. endorsed by many
major law enforcement organizations in
the state, will put thousands more police
officers on the street.
Arguments Against:
1. Earmarking statesv;de sales tax
t'onds is bad public policy.
?. The sales tax is traditionally
campaign fund Proposition 131 will
shift to political campaigns millions in
tax dollars now used for education,
prisons and health care. The programs
must continue to be funded or vital
services will be cut.
2 The mea sure d x zt't limit cam-
paign spending: it allows for taxJollars
to be matched with contributions.
3. The Department of Finance and
legislative analyst estimate state general
fund revenue will drop by $12 million
because Proposition 131 permits a tax
mbfmt checkoff of $3 10 go for campaign
funding.
Arguments Against:
1. This measure will increase Califor-
nia's imports of fish from other nations.
2 Gill nets are used safely offshore
Oregon. Washington. Canada and central
and southern California: they are used in
San Francisco Bay. Tomales Bay,
H o m bo I d t Bay and the Klamath River.
considered a re v en u e source for the
general fund. Becaure Proposition 133
earmarks the funds it raises. other
programs will have to be cut to comply
with the Proposition 98 guarantee that
K-14 education; receive 42 percent of
general fund monies. .
3. After four years. this proposed
sales tax may be revoked, but the
programs must continue to be funded.
much to the deiriment of other state
programs. such as care for the elderly.
health care and higher education.
141 Special R
SEPTEMBER 21. 1990 _ CALIFORNIA CHAMBER OF COMMERCE
Prnpdsition 134:}
Alcohol Surtax Hurl. Initiative
Constitutional Amendment and
statute.
21poses an additional tax on alcohol
products (5 cents per 12 ounces ofbeer.
five ounces cf wine, three ounces of
fortified wine. one ounce of distilled
spiritsand an additional per unit floor
stock tail. Resulting revenues would he
deposited in the newly czffitedAlcohol
Surtax Rued to be appropriated for.
among other things. alcohol and drug
abuse prevention, trtatmcnt and rerov-
b iti0 `135
Pestkride Regulation. Initiative
statute.
Proposes to expand the state program for
monitoring pesticide residue in produce
andprctssed foods. Mandates review of
cancer-causing pesfiddes. establishes
state training and information programs
for pesticide users, crates new and
modifies existing pesticide -related state
advisory panel$, creates a state -ap-
pointed advocate to coordinute pesticide
policies and provides for state disposal
of unregistered pesticides. Appropriates
$5 million annually Through 1995 for
pesticide research. Provides that. in the
Prob•tion 136
State.Local Taxation, initiative
Constittsfi oal Ametedm-mL
R eq u', res that any ne w tax or any
increases in existing state general or
special tmwbe approved by two-thirds
of each house ofthe Legislature. New
taxes or tax increases enacted by the
initiative would require majority vote of
voters voting for general taxes, a two-
thirds vote for special taxes, Among
other things, restricts use of IocaI special
taxes b purposes for which they were
imposed, limits tax rate on new state
Proposition 137
Initiative and Referendum Process.
Initiative Constitutional Amendment.
Requires voter approval of any statute
that "provides the manner in w h is l i
statewide or local initiative or referen-
dum petitions are circulated. presented
eryprograms. emergency medical care.
community mental health programs,
child abuse and domestic violence
prevention training and victim service,
alcohol and drug-related law enforce-
ment costs. The funds are to be supple-
mental and not meant to replace existing
funds. This measure is also called the
Connelly initiative.
Proponent: Andrew McGuire.
Chamber Position: Oppose
Arguments For.
1. Approximately 33 percent of all
mentally ill and homeless persons also
have alcohol and drug problems,
case of competing perticide-related
initiatives on the ballot. the pesticide -
enforcement provisions of the measure
rec ving tete most votes supersede
sh,,..ar provisions of the other, Sporn
sored by the agricultural community as
an alternative to;t#te Hayden initiative. it
is known as,CREFUL:
Proponents., David L Moore, JoPI
Nelsen. Dennis H. Merwin, Bob L.. Vice
and Leland H. Ruth.
Chamber Position: Support
Arguments For.
1. Doctors. scientists and nutritionists
agree :be best cancer prevention is a
healthful diet t ich in fresh fruits and
vegetables.
personal property taxes and extends to
charter counties power of voters to
increase local general taxes by majority
vote. Provides for new state and local ad
valorem, sales and transaction taxes on
real property. Provides for temporary
exception for state and local taxes for
disaster relief. Also known as the
Taxpayers Right to Vote Initiative.
Proponents: Joel Fox and Richard
Gann.
Chamber Position: Support
Arguments For:
1. By giving taxpayers the right to
vote, Proposition 136 will make it more
or certified." Also requires voter
approval of any statute that prescribes
the manner in which initiatives and
referenda arc submitted to voters.
Proponent: Joel Fox.
Chamhev Position: No Position
Argument For:
The measure is necessary to protect
2. This measure targets the heavy
drinkers, the drunk drivers and alcohol
abusers who cause most of tite deaths
and injuries attributable to alcohol.
Arguments Against:
1. Pn)position 134 continues thetrend
toward ballot box budgeting by earmark-
ing the funds it raises,
2, This measure penalizes all Califor-
nians by locking in 51.2 billion in
current state spending and relying on tax
Increases to fund annual budget it,
creases.
2. By providing $2S million to
develop safe alternative pest control
methods, Proposition 135 can help
provide an affordable and wholesome
food supply.
3. Proposition 135 establishes 15 new
programs for food safety and environ-
mental protection.
Arguments Against:
1. Must of Proposition 135 mpeats
what is already California law.
2 The cost cf pesticide testing will be
shifted fim the pesticide industries to
the taxpaver.
3. The measure delays urgently
needed pesticide refonn by creating a
slow and ambiguous process.
difficult for politicians to use special
taxes as a means cf getting around the
tax limitations of Proposition 13.
2. Each year individual California
households pay tax increases of more
tKwi 51,350: this measure protects
individuals fin such increases.
Arguments Against:
1. Proposition 136 makes it nearly
impossible to raise excise taxes. such as
those on alcohol and cigarettes. and
eliminates accountability to taxpayers.
2. The initiative tries to wipe out any
other measure on the ballot which does
not follow its special interest rules.
people's votes before any changes are
made in the initiativeproce,;s.
Argument Against:
This initiative would prevent the
Legislature from passing laws to protect
the people • stepping misleading
initiative campaign practices - without
costly ba.riers and years of delay.
^ Special RepotY
rsl ORNIA CHAMBER OF COMMERCE SEPTEMBER 21, 1990
Proposition 138
Forestry PMagarnTimber Harvest-
ing. Bond Act Initiative Statute.
Authorizes a $300 million general
obligation bond issue to supporta loan/
grant program-, Limits timber cutting
practices and requires state -approved
timber and wildlife management plan on
timberlands exceeding 5,000 acres.
Mandates wildlife resources and timber-
land studies, allows state acquisition of
specified timberiands and bars forced
purchase of others for a 10-yearperiod.
Introduced as an alternative to Proposi-
tion 130, Sponsored by the timber
industry.
µ•. � .Inmate Inbar. %K Credit.
Initiative Constitutional Amendment
and statute.
Permits state prison altd county jail
officials to contract with public entities.
profit or ton -profit organizations.
businesses and entities for prison labor.
except in sttalms or lockouts. Adds
statutes requiring the state prison
dilutor to establish joint venture
programs for employment of inmates.
'Inmate wages would be comparable to
non -inmate wages for similar work and
b.: subject to deductions for taxes. room
and bard. lawful restitution fines or
victim compensation, and family
support. Allows inmate employers a 10
percent tax credit against specified state
taxes.
Proposition 140
Terms cf Ounce. Legislators Retire-
ment Legislative Operating Costs
initiative Constitutional Amendment.
Limits stare senators. all statewide
elected affiaers(exceptthe Insurance
Commissioner). and mariners of the
Board of Equalization to two terms. Also
limits members of the Assembly to three
terms. and requires legislators to partici•
pate in federal Social Security and
precludes accrual of other pension and
retirement benefits resulting from
legislative service. In addition, it would
limit the Legislature's expenditures for
compensation and for operating and
equipment costs to amount specified in
the measure.
Proponent: George A. Craig.
f'ham6er Position: Support
Arguments Elr:
1. Thzs measure stripes a balance
between eavir•ottnwr,tal, human and
economic concerns by banning cleircut-
ting, enacting a massive tree -planting
program, imposing strict forest manage-
ment regulations, keeping timber harvest
decisions away from politicians and
expanding state parks.
2. Timber harvest reducdo ns under
Proposition 138 are far less than those
that would be caused by Proposition 130.
3. The measure is supported by
licensed professional foresters. wildlife
biologists and other experts in forestry.
Propotsentt George Nukmejian.
Chambtr Position: Support
Arguments Err:
1. Prison inmates employed in the
program will reimburse the state cr
county for a portion of their room and
board: pay federal, state and local taxes;
and provide restitution to crime victims.
2 Studies show that such programs
keep inmates out of prison once they are
back in society. For every inmate not
retumingbprison. taxpayers would
save $20,000 a year and there would be
fewer crime victims.
3. Inmate employnwnt supports the
emerging California industries and
creates jobs now being exported over -
4, The inmate labor program is
patterned after a California youth
authority program resulting in $227,000
Proponent: Peter F. Schaburum. JG.
Ford. Jr. and Lewis K. Uhler.
Chamber Position: No Position
Arguments Etre:
1. Proposition 140 means there will
be no more lifetime legislators who have
developed cozy relationships with
special interests.
2 The measure ends extravagant
pensions for legislators
3. Limiting terms will create more
competitive elections.
Arguments Against:
1. By preventing legislators from
returning tooffice after two terms.
Proposition 140 in effect takes away
from voters t he i r right to select whom-
ever the): wish to represent them.
'_. The measure treats everyone the
Arguments Against:
I. Proposition 138 abolishes the forest
reforms and protections of Proposition
130.
2 The measure increases the chance
of global warming by allowing the
increased dest=ion of forests.
3. This proposition is opposed by
room than I00 environmental groups,
including the Sierra Club, Planning and
Conservation League, Audubon Society
chapters and tris California League cf
omxo%ekn tis
paid to victims. $345,000 toward room
and board costs,$ 18 1,000 for irv. n
taxes and a lower rate of rtpeat offend-
ers returning to the system This four-
year-old program has had no security
problems.
Arguments Against:
1. Private employment of prisoners
could lead to competition with labor
unions and small business owners for
workforce retention.
2 The initiative has no provision for
job training.
same; the competent and dedicated are
lumped together with those who are not.
3. Proposition 140's retirement
provisions hurt qualified officeholders
whc are not rich and have to provide
economic security for their families.
Aft
$Dedal ReDort"
SUn MBER 21, 1990 CALIFORNIA CHAMBER OF COMMERCE
Proposition 141
Tozk Chem)cal Discharge. Public
Agencies. Legislative Statute.
Exters;is the requirements and civil
penalty provisions of Proposition 65 to
fexi xttl, gate and local government
agencies and w ate r systems serving the
public. The warning requirements are
effective November 1991, and prohibi•
boas against discharges am effective
July 1M Restrictions not applicable to
public sewage treatment plants. Provides
exemptions to drinking water rcquirx
Proposition 142
Worm' Bond Act of IV".
Pmvides for a bond issue of $400
mi5m topro vIdo farm and home aid for
CaYmnla veterans.
Pboed An Ballot By: SB 2755 (Ro.
Chamber Position: support
Proposition 143
Hig w Education Facilit les Bond Act
of Novetnber 19".
ProYi4cs for a bond issue of $450
million to fund constructionlimprovc-
tnesd cf facilities for the University of
Cal)fornia, the California State Univer-
sity. the California communitycoilegcs,
Hastirtgs College of the Law, the
California Maritime Academy, and off•
compos facilities of the California State
Proposition 144
New Prison Construction Bond Act of
1996-B.
Prv6des for a bond issue of $450
million to provide funds to relieve
oycrrruwding in the state's prisons and
Cali fom i a Youth Authority facilities
Proposition 145
California Housing Bond Act of 1990.
W i s h e s a housing program address-
ing the housing crisis in California by
authorizing the use of funds from the
First -Time Homt B i vers Bond Act of
1982, under which .h�, voters of this state
audrotized a bond issu., of S200 million
toprovide financial as.sistancv to first.
mcnt, covering such cases as chemicals
that arc present due to storm water
runoff and chemicals put intodrinking
water for public health pugmses. Also
exemptschcmical release~; resulting
from public agency's response to an
emergency. such as firefighting.
Placed On Ballot E�: SB 65 (Kopp).
Chamber Position: No Position
Arguments For:
1, Public agencies and public officials
should be accountable for the same
provisionsthat Proposition 63 requires
forth.: private sector,
Arguments For:
1. Since its beginning in 1921. the:
Cal -Vet home and farm loan program
has been entirely seif•wpporting and
financial ! y safe aid wound.
2 The loans generate ttrousands of
jobs. millions of dollars in paymli and
economic opportun i t ies for at I the
industries.
University approved by university
trusters ort o= before July 1. 1990,
Placed On Ballot Bpi' AB 2479 (Nolan),
Chamber Position: Support
Arguments For:
1, This measure will =ojfttthod.ate
increases in student enrollments. adapt
higherlAucatim to new technology,
strengthen the state's economy. and
improve earthquake safety,
2 Higher education fuels innovations
and technological breakthroughs,
through new construction.
Placed On Ballot Hsi: AB 524 (Murray).
Chamber Ec tica: Support
Argument For:
1, Overcrowding is a serious threat to
public and prison staff safety.
2. This measure will provide funds to
remove the criminal element from the
time homebuyers, providing for a bond
issue of $125 million to fund a housing
and earthquake safety program.
Placed On Ballot By; aB 2456
(Maddy).
Chamber Position: Support
Arguments For.
1. Housing prices in California have
doubled in the last decade and ihis
measure u ill make homeou ncrship a
2. The business community bears the
burden and expense of added restrictions
to offs.t emissions of unregulated public
agencies.
Arguments Against:
1. Drinking water already is regulated
extc.tsively to pratec-t public health.
2. Proposition 141 may lead to water
shortages because it makes no allow-
ances for the beneficial use of chlorine.
Arguments Against:
I. A mc-ession will cause rnany ofthe
veterans who own homes and fanns
under CaI-Vet to default, leaving
taxpayers to font the bill.
2 The economy can be re:Aved only
by cutting back the size of government.
reducing taxes and eliminating burdut-
somc agencies trying to m a t e jobs.
keeping Californiatm the cuttingedgc of
new industries,
Arguments Against:
I. Construction for this measure could
be paid for cut of the billions already set
aside for the universities in the state
budget.
2 Privrte businesses could be encour-
aged to donate iwildirgx as tax-deduct-
ible contributions,
neighborhoods and keep it behind bars.
Argument Against:
1, Funds for prisons reduce n i 1 oc a
tions Cor praqmvis to help red u,, suture
criminal behavior.
2 Prisons do not deter crime or
rehabilitate offenders.
reality formany families again.
2. Many livr in ,unsafe, unhealthy
housing.
Arguments Against:
I. Mr m e a s u rc subsidizes persons
malting over $80,000 a year,
2. Proposition 145 costs all ta.tpayers
$30 m'.11ion a )-car for the next 30 pears
to pay off the bonds.
Special
.
CALIFORNIA CHAMBER OF COMMERCE SEPTEMBER21, "M
Proposition 146
School. Facilities Bond Act of 1990.
Authorizes a bond issue of $800 million
to provide capital outlay for construction
or improvement of public Schools.
Placed On Ballot By: AB 236 (Clute).
Chamber Position: Support
Proposition 147
County Correctional Facility Capital
F_xpenditureaud Juvenile Facility
Band Act of 1994
Authorizes issuance of $225 million in
general obligation bonds for the con-
struction, reconstruction, remodeling.
replacement and deferred maintenance
of county correctional facilities. juvenile
facilities, and youth centers and shelters.
Placed On BaW By: SB 1094
(Presley).
Proposition 148
Water Resources Bond Act e. 1990.
Provides for a bond issue of $380
million to provide funds for a water
resources program. Makes changes in
the Water Conservation Pond Law of
1988 relating to administrative fees and
the California Safe Drinking Water
Bond Law of 1976relating to loans.
Placed On Ballot By: AB 1312 (Fi
lante).
Proposition 149
California Park, Recreation and
Wildlife Enhancement Act of 1990.
Authorizes issuance of $437 million in
general obligation bonds for acquisition.
development, rehabilitation or restora-
tion of real property for wildlife. park.
beach. recreation, coastal, historic and
Proposition 150
County Courthouse Facility Capital
Expenditure Bond Act of 1990.
Authorizes issuance of S2(A) million in
general obligation Lumds for the construc-
tion. reconstruction. remodeling. replace-
ment and deferred maintenance of comity
courthouse facilities.
Placed Oil Ballot By: AB 2150 (W.
Brown).
Arguments For.
1. Overcrowding hurts learning.
2. The bonds are cost-effective and
will help schools throughout California
Arguments Against:
1. Proposition 146ignarts the
possibility of shifting half of public
school enrollment into private schools
Chamber Position: Support
Arguments For.
1. There is an immediate need for $39
million in fi re, heal t:h and safety repairs.
renovations and replacement of existing
juvenik halls and eanttps.
2 Youth centers and shelters are in
need of more than $100 million, which
can be funded by this measure.
3. Counties are encouraged to match
funds for additional construction, and a
required to demonstrate adre
adequacy of
care for mentally ill and inebriated
Chamber Position: Support
Arguments lx:
1. Providing urgently needed funding
is crucial to ensure California's future is
environmentally and economically
sound.
2. Proposition 148 ensures safe
drinking water. helps clean up rivers and
streams. expands use of existing water
supplies. provides assistance to drought -
stricken areas and builds critical flood
control projects.
museum purposes.
Placed On 13211o4 By. AB 145 Costa).
Chamber Position: Oppose
Argument Err:
Through improving local parks in
every community. expand ing/improv1ng
state parks. protecting important wildlife
habitat. and benefiting the coast and
rivers. this measure meets California's
Chamber Pusitiun: Support
Arguu;;nts For:
1. Limited county courthouse
facilities have resulted not only in
overcrowding, but lung delays in
bringing criminals to Justice.
2. The pond money will he issued to
counties that comply with strict stan-
dards. and the County Courthouse
Facility Capital Expenditure Finance
Committee will strictly implement and
through a voucher system.
2 The bonds, when sold, will tr ,ass
72 million annually for paymera of
,IincilW and interest
,tines.
'an"ts Against:
I.As khIS as tie govtn%n nt
and GN -rates jails. their buildling aid
upkeep should be a regularly b
expenditure,
2 California's capacity ID issue bads
is exceeding safe kvels.
Arguments Against:
1. The control and cleanup of
pollution in state waters should be base
by commercial fanning and indwZy.
2 The water projects will cost abort
$684 million in principal and in(ttcst
over 20 years.
increased demands for recreation and
protects the environment.
Argument Against:
Almost S3 billion is already ccxrm'4-
ted to state and local parks. and half Coe
money has not been spent yet; if this
measure were passed. the total alloation
for CaGfomia's parks would be r&uiy
$5 billion.
oversee the program.
ArgumentsAgainst:
I. The courthouses are overcrowded,
not f. ,r the lack of facilities. but because
the justice system tries to control i'rl*.
2. The measure will indenture
children aed more than double the cost
of capital improvements through the
interest paid to bond holders.
Swdal Report �1
SEPTEMBER 21, 1990 CALIFORNIA CHAMBER CFCOMMURCE
Proposition 151
Child Care Facilities Financing Act of
1990,
Authorizes sale of S30 million in general
obligation bonds tDprovide funds for
child care facilities.
Placed On Ballot Dpi: SB 78 (Watson),
Chamber Position: Support.
Argument For:
in California 1.5 to 2.5 million
children need child care outside the
home; only 25 percent ars in child care
licensed to rnect health and safety
standards and less than 10petrent are in
care that is ditrctly subsidized.
4rgument Against:
Taxpayers should not pay high bond
interest rates to"provide child cane
facilities.
Proposidon
In
Forest Protection. Timber Narvesting, Bond Act. Initiative Statute.
California Chamber Positions on November: Ballot Measures--
Proposition
131
Government officials. Ethics. Campaign Financing. Initiative Constitutional
Oppose
Ballot Na
Ameazdntent and Statute.
Proposition 124
Public Finance.
No Position
Proposition 125
NbtIr Vehicle Fuels. Tax Revenues. Exclusive Public Maw Transit Guideways.
Support
og 426 :
The Alcohol Abuse and Drug Education Tax Act of 1990,
Sugptsrt
ptopost ion, -04-
Alcohol Surtax Fund. Initiative Constitutional Amendment and Statute.
Oppose
Proposition 127
Property Taxation. New Consr action Exclusion.
No Position
Support
Natural Environment. Public Health. Bonds. Initiative Statute.
Oppose
Proposition 129
Crines. Taxation. Bonds. Initiative Constitutional Amendment and Statute.
Oppose
Proposidon
In
Forest Protection. Timber Narvesting, Bond Act. Initiative Statute.
oppose
Proposition
131
Government officials. Ethics. Campaign Financing. Initiative Constitutional
Oppose
Ameazdntent and Statute.
Proposition
132
Marine Resources, Initiative Constitutional Amendment.
No Position
Proposition
133
Drug Enforctmtnt and Prevention. Tines. Prison Tenns, Initiative Statute.
Oppose
ptopost ion, -04-
Alcohol Surtax Fund. Initiative Constitutional Amendment and Statute.
Oppose
Proosttton -135:
Pesticide Regulation. Initiative Statute.
Support
2?
"Pr"ition
.136
State, Local Taxation. Initiative Constitutional Amendment.
Support
Propo,itim
137
Initiative and Referendum Process. Initiative Constitutional Amendment.
No Position
t Proposition
138
Forestry Program, Timber Harvesting. Bond Act. Initiative Statute.
Support
i pops:
Prison Inmate Labor Tax Credit. Initiative Constitutional Amendment and Statute.
Su pport
Proposition
140
Terms of Office. Legislators Retirement. Legislative Operating Costs. Initiative
No Position
Constitutional Amendment,
Proposition
141
Toxic Chemical Discharge. Public Agencies. Legislative Statute.
No Position
Prcposition
142
Veterans. Bond Act of 1990.
Support
Proposition
143
Higher Education Facilities Bond Act of November 1990.
Support
Proposition
144
New Prison Construction Bond Act of 1990-B.
Support
Proposition
145
California Housing Bond Act of 1990.
Support
Proposition
146
School Facilities Bond Act of 1990.
Support
Proposition
147
County Correctional Facility Capital Expenditure and Juvenile Facility Bond
Support
Act of 1990.
Proposition
148
Water Resources Bond Act of 1990.
Support
Proposition
149
California Park, Recreation and Wildlife Enhancement Act of 1990.
Oppose
Proposition
150
County Courthouse Facility Capital Expenditure Bond Act of 1990.
Support
Proposition
151
Child Care Facilities Financing Act of 1990.
Support