HomeMy WebLinkAboutAgenda Statement 1985/06/18 Item 4 COUNCIL AGENDA STATEMENT
Item 4
Meeting Date 6/18/85
ITEM TITLE: Public Hearing - Consideration of Utility User' s Tax
a. Resolution //2o'/Establ i shi ng the Rate for the Utility User' s
Tax Between July 1 , 1985 and December 31 , 1985
SUBMITTED BY: Director of Finance''
REVIEWED BY: City Manage (4/5ths Vote: Yes No x )
On June 29, 1978, the City Council approved and adopted Ordinance 1803. This
Ordinance requires that two public hearings be held annually, one in November
and a second no later nbudgettime the City Council schedules its public
hearing for adoption of the
RECOMMENDATION: That the City Council conduct a public hearing in
consideration of the Utility User' s Tax and maintain the present tax rate.
BOARDS/COMMISSIONS RECOMMENDATION: Not applicable.
DISCUSSION:
The purpose and intent of Ordinance 1803 vas to provide sufficient Utility
User' s Taxes to ensure a reasonable level of revenue for the necessary
operation of the City of Chula Vista. Additionally, the City Council wished
to retain the program of basing the taxation of gas and electricity on units
of energy thus protecting txpye Public from
Utilities increases in the tax brought about by
rate increases granted y h
Actual Utility User' s Taxes collected in the 1983-84 fiscal year were
$1 ,454,619. The projection for 1984-85 is $1 ,575,360 representing an increase
of $120,741 . The present.00 tax rrate
for gas e009n9s i s 5%v and the consumption
factor for electricity is
Exhibit A, attached, summarizes gent the
fiscal Utility tar User'85 ax consumption and dollar
amounts collected for the current
FISCAL IMPACT:
It is estimated that the Utility User's Tax will generate $1 ,594,000 in General
Fund revenue for FY 1985-86.
WPC 0271G
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