City of Menifee
Menifee Public Safety/Traffic Congestion Relief/Vital City Services
Measure
The City Council of the City of Menifee has placed before the voters the question whether to approve an ordinance enacting a transactions and use tax within the City of Menifee. The tax rate would be one percent (1.00%) of the retail sales price, or one cent for an item that costs one dollar. The tax would remain in effect until ended by the voters. A full copy of the ordinance text is printed in these ballot materials.
Currently, the tax on retail sales in Menifee is 8.00% of the purchase price. The City receives one percent (1.00%.) The remainder goes to the State (6.50%) and the Riverside County Transportation Commission (0.50%).
Technically, the existing “sales tax” is a combination of “sales and use tax” and “transactions and use tax.” Both are levied on the sale or use of tangible personal property sold at retail, with certain limited exceptions. Retailers collect the tax at the time of sale and remit the funds to the State Board of Equalization, which administers the tax.
This measure would authorize a one percent (1.00%) transactions and use tax, which would increase the total sales tax rate to nine percent (9.00%). Of that total amount, two percent (2.00%) would be deposited in the City’s general fund and be available to support the full range of municipal services. Because this measure does not legally restrict the use of tax revenue to any specific purposes, it is classified as a “general tax,” not a “special tax.” The tax proceeds may be used for any valid municipal government purpose, including reducing traffic congestion; improving and repairing local interchanges, overpasses, streets, roads, bridges, and potholes; maintaining local police, fire protection, paramedic services, and 9-1-1 emergency medical response times; preventing cuts to senior, disabled, and youth programs; and providing other general services.
This measure requires the City’s independent auditors to, no later than December 31 of each year, prepare an audit report which shall review whether the tax revenues are collected, managed, and expended in accordance with the ordinance adopted by this measure.
A “Yes” vote is a vote in favor of the tax. A “No” vote is a vote against the tax. This measure will be approved if it receives a simple majority of “Yes” votes.
Dated: August 18, 2016
By: Jeffrey Melching, City Attorney
The above statement is an impartial analysis of Measure DD. If you desire a copy of the ordinance or measure, please call the elections official’s office at (951) 672-6777 and a copy will be mailed, emailed, or otherwise provided at no cost to you.
