Chamber stakes out election positions

OCTOBER 2008 - The Greater Stockton Chamber of Commerce through its Government Relations Council and Board of Directors has elected to take positions on the following propositions.

City of Stockton

Measure U - The GRC , under emergency action voted to SUPPORT the Modernization of Communications Users Tax. This measure will simply update and continue an existing tax that communications users have been paying for years. Communications technology has changed over the years. To keep pace with technology advances, the City must bring the existing law up to modern times. The updated language will ensure that all taxpayers are treated the same, regardless of the technology they use. Voter approval is needed for any necessary updates.

California State Propositions

Proposition 1A- The GRC , under emergency action voted to SUPPORT the California High-Speed Rail System. Approximately 800 miles long, the high-speed train network will provide Californians with predictable, safe, environmentally-friendly and competitive region-to-region transportation options.

Proposition 2-The Board of Directors voted to OPPOSE Proposition 2: Treatment of Farm Animals. The Board felt that it would have a negative impact on California businesses. This proposition would have a negative effect on the poultry business and would drive it out of California.

Requires that an enclosure or tether confining specified farm animals allow the animals for the majority of every day to fully extend their limbs or wings, lie down, stand up, and turn around. Specified animals include calves raised for veal, egg-laying hens, and pregnant pigs. Exceptions made for transportation, rodeos, fairs, 4-H programs, lawful slaughter, research and veterinary purposes. Provides misdemeanor penalties, including a fine not to exceed $1,000 and/or imprisonment in jail for up to 180 days. Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local government: Probably minor local and state enforcement and prosecution costs, partly offset by increased fine revenue.

Proposition 7-The Board of Directors voted to OPPOSE Proposition 7 because it mandates the market place and takes away the free market; poorly written, unnecessary regulations; doesn’t accomplish stated goals.

Requires all utilities, including government-owned utilities, to generate 20 percent of their power from renewable energy by 2010, a standard currently applicable only to private electrical corporations. Raises requirement for all utilities to 40 percent by 2020 and 50 percent by 2025. Imposes penalties for noncompliance. Fast-tracks approval for new renewable energy plants. Requires utilities to sign longer contracts (20 year minimum) to procure renewable energy. Creates Solar and Clean Energy Transmission Account to purchase property or rights of way for renewable energy. Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local government: State administrative costs of up to $3.4 million annually for the regulatory activities of the Energy Resources Conservation and Development Commission and the California Public Utilities Commission, paid for by fee revenues. Potential, unknown increased costs and reduced revenues, particularly in the short term, to state and local governments resulting from the measure’s potential to increase retail electricity rates, with possible offsetting cost savings and revenue increases, to an unknown degree, over the long term to the extent the measure hastens renewable energy development.

Proposition 10-The Board of Directors voted to OPPOSE Proposition 10 because it negative impacts business, doesn’t accomplish its purpose; creates fiscal burden on Taxpayers. Bonds are loans that need to be paid back and there is no means to pay it back. No specific nexus.

Authorizes $5 billion in bonds paid from state’s General Fund, allocated approximately as follows: 58 percent in cash payments of between $2,000 and $50,000 to purchasers of certain high fuel economy and alternative fuel vehicles; 20 percent in incentives for research, development and production of renewable energy technology; 11 percent in incentives for research and development of alternative fuel vehicle technology; 5 percent in incentives for purchase of renewable energy technology; 4 percent in grants to eight cities for education about these technologies; and 3 percent in grants to colleges to train students in these technologies. Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local government: State costs of about $9.8 billion over 30 years to pay both the principal ($5 billion) and interest ($4.8 billion) costs on the bond. Payments of about $325 million per year. Increase in state sales tax revenues of an unknown amount, potentially totaling in the tens of millions of dollars, over the period from 2009 to beyond 2018. Increase in local sales tax and VLF revenues of an unknown amount, potentially totaling in the tens of millions of dollars, over the period from 2009 to about 2018-19. Potential state costs of up to about $10 million annually, through about 2018 -19, for state agency administrative costs not funded by the measure.

Proposition 11-The Board of Directors voted to SUPPORT Proposition 11. It will create a 14-member independent citizen commission, creates 14-member redistricting commission responsible for drawing new district lines for State Senate, Assembly, and Board of Equalization districts. Requires State Auditor to randomly select commission members from voter applicant pool to create a commission with five members from each of the two largest political parties, and four members unaffiliated with either political party. Requires nine votes to approve final district maps. Establishes standards for drawing new lines, including respecting the geographic integrity of neighborhoods and encouraging geographic compactness. Permits State Legislature to draw lines for congressional districts subject to these standards. Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local government: Probably no significant increase in state redistricting costs. Proposition 11 will ensure that the redistricting process is open and transparent and will respect existing city and county boundaries and communities.