Loading...
HomeMy WebLinkAboutO-1688 amending Municipal Code Sections 2.14.010, 2.14.020, and 2.14.040 (Revenue Enhancement Oversight Commission)O 1688 ORDINANCE NO. 1688 (2020 SERIES) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, AMENDING SECTIONS 2.14.010, 2.14.020, AND 2.14.040 AND CHAPTER 2.14 OF THE SAN LUIS OBISPO MUNICIPAL CODE WHEREAS, the City of San Luis Obispo (City) is a municipal corporation duly organized under the California Constitution and laws of the State of California; and WHEREAS, on July 21, 2020, the City Council adopted Resolution No. 11145, submitting to the voters a question whether to extend the existing, voter-approved local transaction (sales) and use tax at a 1.5¢ rate, until ended by voters. The resolution also stated that any extension and enhancement of existing, voter-approved funding will continue to require a citizen revenue enhancement oversight commission (REOC) to ensure funds are spent consistent with the community’s priorities; and WHEREAS, the REOC reviews revenues and expenditures from the local transaction (sales) and use tax, reports to the community and the City Council about the City’s stewardship of these revenues, and recommends expenditures to the City Council that are consistent with the purpose of the general purpose tax and the preferences of the City residents; and WHEREAS, the City Council desires to expand the qualifications of candidates to be appointed on the REOC to broaden the views and representation of the community; and WHEREAS, the City's voter-approved local transaction (sales) and use tax includes substantial accountability measures including: requirements for independent annual financial audits; integration of use of funds into the City's budget and goal-setting process; annual community reports; and annual citizen engagement meetings; and WHEREAS, the City recognizes the importance of periodically reviewing the long-term community services and investment priorities to align with the community’s priorities; and NOW, THEREFORE, BE IT ORDAINED by the Council of the City of San Luis Obispo, as follows: SECTION 1. Chapter 2.14 of the City's Municipal Code is hereby amended and re-enacted in full to read as follows: Ordinance No. 1688 (2020 Series) Page 2 O 1688 CHAPTER 2.14 REVENUE ENHANCEMENT OVERSIGHT COMMISSION 2.14.010 Commission established and purpose. The Revenue Enhancement Oversight Commission (REOC) is hereby established to review, report, and make recommendations regarding the use of revenues collected through the city’s voter-approved general purpose, one and a half-percent sales tax authorized by Chapter 3.15. The REOC is authorized to review these tax revenues and expenditures, report on the city’s stewardship of this general purpose tax and provide recommendations directly to the City Council regarding expenditures of these tax revenues as an integral part of the budget process. The establishment of the REOC shall be effective upon voter approval of a revenue enhancement measure to be proposed in November 2020 and shall continue in existence as long as Chapter 3.15, adopted by such measure, is in effect. 2.14.020 Membership and appointment. The REOC shall consist of five members who are residents of the city. Members shall be appointed by the whole city council through a public application and appointment process. When recruiting members, the city will seek members that have experience with finance, budgeting, municipal accounting or represent a sales tax generating business. 2.14.030 Term of office and compensation. A. Terms. Of the members first appointed, three shall be appointed for the term of three years, and two shall be appointed for two-year terms. Subsequent appointments to the REOC shall be for three years. Vacancies during the term shall be filled by the city council for the unexpired portion of the term. Members may be removed by the city council with or without cause by a majority vote of the city council. 2.14.040 Powers and duties. The REOC shall meet a minimum of four times per year to perform its duties, as follows: A. Generally. The REOC shall have the authority to conduct public hearings as directed by the city council or city policy. The REOC shall exercise the duties conferred upon it by this chapter, and as necessary to achieve its purpose. B. Annual Community Report. The REOC shall conduct a public hearing annually to review and take public testimony on the community services and investment measure annual report. C. Annual Audit. The REOC shall meet annually to review the audited financial statements contained in the comprehensive annual financial report for the community services and investment measure. Ordinance No. 1688 (2020 Series) Page 3 O 1688 D. Annual Citizen Oversight Meeting. The REOC shall hold an annual community services and investment measure community forum for the purpose of taking input from residents and community members on preferences for the use of the revenues generated by the community services and investment tax. E. Budget Recommendations. The REOC shall meet for the purpose of making recommendations to the city council regarding the uses of revenue generated by the community services and investment measure. The REOC shall take into consideration the input provided by residents and community members during the annual citizen oversight meeting, the purpose of the community services and investment, the major city goals established by the city council, and the amount of revenue available from past fiscal years, and projected to be available during the next fiscal year, in making its budget recommendations to the council. F. Outreach and Education. The REOC shall be authorized to perform outreach and educational activities so that residents and community members are informed about the costs and benefits associated with the collection and use of revenue generated by the community services and investment. Ordinance No. 1688 (2020 Series) Page 4 O 1688 G. Long-Term Community Services and Investment Priorities. Every eight years, the City will incorporate a long-term priority setting exercise into the Financial Plan development process to determine the long-term community services and investment priorities for the use of Local Revenue Measure funds. This exercise shall include receiving input from residents, community members, and the REOC regarding spending priorities with priorities being set by the City Council as a part of the development of the Financial Plan. INTRODUCED on the 1st day of September 2020 AND FINALLY ADOPTED on the 1st day of December 2020 by the Council of the City of San Luis Obispo on the following vote: AYES: Council Member Christianson, Pease, Stewart, Vice Mayor Gomez, and Mayor Harmon NOES: None ABSENT: None ____________________________________ Mayor Heidi Harmon ATTEST: ____________________________________ Teresa Purrington City Clerk APPROVED AS TO FORM: _____________________________________ J. Christine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, on ____________________________. ____________________________________ Teresa Purrington City Clerk