Lead Opinion
Opinion
Plaintiffs—proponents and supporters of a local ballot measure that proposed the repeal of a utility users tax imposed by the City of Salinas—filed this lawsuit against the City of Salinas (the City) challenging the validity of a number of actions taken by the City relating to the ballot measure. In Stanson v. Mott (1976)
We granted review primarily to consider whether the Court of Appeal correctly identified the legal standard applicable to publicly funded, election-related communications made by a municipality, and further to determine whether, under the appropriate standard, plaintiffs’ legal challenge to the City’s expenditure of public funds in this case should have been permitted to go forward.
For the reasons discussed below, we conclude that the statute relied upon by the Court of Appeal was not intended, and should not be interpreted, to displace the analysis and standard set forth in our decision in Stanson, supra,
I
A
The controversy that gave rise to this litigation relates to a local initiative measure—ultimately designated Measure O—that was drafted and circulated in 2001 by residents of the City. Measure O proposed the adoption of an ordinance that immediately would cut in half, and over a few years totally repeal, the City’s Utility Users Tax (sometimes referred to as UUT). The UUT was a local tax that had been in place for more than 30 years and that, at the time the measure was presented to the voters, generated approximately $8 million in annual revenue for the City, a figure that represented 13 percent of the City’s general fund budget.
After gathering signatures, the proponents submitted the initiative petition to the county registrar of voters on September 24, 2001, and on October 3, 2001, that official certified it had been signed by the number of voters required to qualify the initiative for the ballot. Under the provisions of Elections Code section 9215, when a local initiative petition obtains the requisite number of signatures, the local legislative body must take one of three actions: (1) adopt the proposed ordinance itself without alteration, (2) submit the proposed ordinance without alteration to the voters, at either the next regularly scheduled municipal election or at a special election, or (3) direct the municipality’s staff to prepare a report—as authorized by Elections Code section 9212—on the impact that the proposed ordinance likely would have on the municipality.
On October 9, 2001, the Salinas City Council adopted the third of these alternatives. Under the direction of the city manager, each of the municipal departments conducted an initial study of the measure’s potential impact on the respective department, and on November 6, 2001, the city manager
In the following months, each of the municipal departments reviewed its operations and prepared detailed reports and financial analyses discussing the reduction or elimination of specific services or programs that could be implemented in the event Measure O were adopted.
Pursuant to its usual schedule, the city council considered the proposed annual city budget for the 2002-2003 fiscal year at its June 11, 2002 meeting. Because it was not known at that time whether Measure O would be adopted at the upcoming November 2002 election, the city manager submitted a proposed budget that was based on the assumption that the City would continue to obtain revenue from the UUT at its current rate throughout the 2002-2003 fiscal year. At that meeting, the city council voted to approve and adopt the proposed budget for the 2002-2003 fiscal year. Although the budget adopted by the city council assumed the City’s retention of the UUT, the material accompanying the proposed budget briefly noted program and service reductions that could be required were the UUT to be repealed. The city manager stated at the June 11 meeting that he anticipated a detailed alternative budget—setting forth program and service reductions that could be implemented should the UUT repeal be adopted—soon would be presented to the city council so that this body could consider such an eventuality at its July 16, 2002 meeting.
Two weeks later, in a lengthy report dated June 24, 2002, the city manager specifically identified the individual program and service reductions recommended by the city staff should Measure O be adopted. The report discussed in detail the financial implications of the passage of that measure, including recommended program and service reductions in each city department.
The report formally was presented to the city council at its July 16, 2002 meeting, at which numerous city residents—some supporters of Measure O, and some opponents—expressed their opinions regarding the staff recommendations and the overall impact of Measure O. After an extensive discussion at the July 16 meeting, the city council voted formally to accept the city staff’s recommendations with regard to the city services and programs that would be
Thereafter, at four weekly meetings of the city council held throughout the month of August 2002, each of the city departments made an extensive slide presentation to the public describing the reductions in services and programs that would be implemented in the event UUT revenues were reduced and ultimately eliminated through the passage of Measure O.
At numerous city council meetings as well as at other venues, the proponents of Measure O sharply criticized the service and program reductions that had been recommended by city staff and adopted by the city council, contending that the anticipated reduction in city revenue could and should be dealt with through more efficient municipal operations and reductions in management positions and in employee salaries and benefits. At the August 20, 2002 city council meeting, the proponents of Measure O distributed a document that set forth their own analysis of the City’s financial condition and of the financial implications were Measure O to pass, and that described a number of alternative courses of action that the proponents suggested would be preferable to the service and program reductions approved by the city council in the event Measure O were to be adopted.
At the August 27, 2002 city council meeting, the proponents of that measure formally presented their alternative proposals to the city council and to the public. At that same meeting, the city staff presented a report critically analyzing the financial assumptions underlying the position and alternatives submitted by the proponents.
Pursuant to the City’s normal practice, detailed minutes of each city council meeting—summarizing the statements of each speaker—were posted on the official Web site maintained by the City. In addition to these minutes, the City posted on its official Web site (1) the lengthy June 24, 2002 report of the city manager setting forth the city finance department’s analysis of the financial impact of Measure O and describing in detail the service and program reductions recommended for each department, (2) the slide presentations that had been made by each of the city departments at the August 2002 city council meetings, and (3) the city staff’s August 27 report responding to the alternative implementation plans advanced by the proponents of Measure O.
In addition to producing and making available to the public this one-page document, the City also informed the public of the city council’s July 16, 2002 action (identifying the services and programs that would be eliminated or reduced if the UUT were repealed) through a number of articles published in the fall 2002 edition of the City’s regular quarterly “City Round-up” newsletter, a publication that was mailed to all city residents prior to October 1, 2002.
B
On October 7, 2002, shortly after the city newsletter was mailed to and received by city residents, plaintiffs—a number of Salinas residents who supported Measure O—filed the underlying lawsuit against the City and various city officials, contending that the City and its officials had engaged in unlawful campaign activities in utilizing public resources and funds “to prepare and distribute pamphlets, newsletters and Web site materials.” The complaint maintained that the materials in question—characterized by the complaint as “campaign materials”—“do not provide a balanced analysis of the arguments in favor of and against Measure O” and improperly were intended to influence voters against Measure O. The complaint sought declaratory, injunctive, and equitable relief, as well as the recovery of the public funds alleged to have been unlawfully expended in the production and distribution of the challenged materials (which the complaint asserted to be in excess of $250,000).
Concurrently with the filing of the complaint, plaintiffs filed an ex parte application for a temporary restraining order. Defendants filed an opposition to the application. The trial court denied the requested temporary restraining order and set a hearing on plaintiffs’ request for a preliminary injunction for November 8, 2002, three days after the scheduled election. Measure O was defeated at the November 5, 2002 election. The hearing on the preliminary injunction request went forward on November 8, 2002, and at the conclusion of that hearing the trial court denied the request.
In April 2004, after the trial court had granted defendants’ motion for judgment on the pleadings as to several counts of the original complaint and thereafter had permitted plaintiffs to file a supplemental complaint,
Plaintiffs filed an opposition to the motion to strike, including a “statement of undisputed facts” and three supporting declarations by proponents of Measure O and their attorney. The opposition asserted, among other matters, that the materials relating to Measure O that the City made available to the public failed to include the viewpoint and positions advanced by the proponents of Measure O, that the City had ignored offers by the proponents of Measure O to provide material supporting the proponents’ viewpoint, and finally that the proponents of Measure O would have utilized the City’s Web site and the City’s other publications, had they been offered access to those media.
In May 2004, the trial court held a hearing on defendants’ motion to strike and thereafter granted the motion. After the trial court denied plaintiffs’ motion for reconsideration, plaintiffs appealed from the trial court’s order granting defendants’ motion to strike.
C
On appeal, the Court of Appeal affirmed the judgment entered by the trial court.
Because the appeal arose from an order granting a motion to strike under section 425.16, the appellate court undertook the two-step analysis called for by prior decisions of this court, considering first whether defendants had made a threshold showing that the challenged cause of action was one arising from “protected activity,” and second, if so, whether plaintiffs had made a prima facie showing of facts that would support a judgment in their favor if proved at trial. (See, e.g., Equilon, supra,
With respect to the first step, the Court of Appeal rejected plaintiffs’ claim that defendants failed to make the required threshold showing, explaining that (1) past California decisions uniformly hold that government entities and public employees may invoke the protection of the anti-SLAPP statute,
Having found that the communications of the City that gave rise to plaintiffs’ action fall within the potential protection of the anti-SLAPP statute,, the Court of Appeal went on to consider whether plaintiffs had met their burden of making a prima facie showing that they were likely to succeed on the merits. In evaluating this point, the court determined that the first matter to be addressed was the proper legal standard for evaluating whether the statements and other communications of the City challenged by plaintiffs constituted campaign materials or whether they constituted informational materials. With respect to this issue, the Court of Appeal observed: “Defendants argue for an express advocacy standard. Plaintiffs urge us to examine the materials’ style, tenor, and timing, asserting that such a standard is compelled by Stanson[, supra,
II
Before reaching the question of the proper standard under which publicly funded communications relating to a pending ballot measure should be evaluated, we briefly address the threshold question whether, as a general matter, the City and its officials are entitled to invoke the protections of the motion-to-strike procedure in California’s anti-SLAPP statute.
Section 425.16, subdivision (b)(1) provides: “A cause of action against a person arising from any act of that person in furtherance of the person’s right of petition or free speech under the United States or California Constitution in connection with a public issue shall be subject to a special motion to strike, unless the court determines that the plaintiff has established that there is a probability that the plaintiff will prevail on the claim.” As already noted, past cases analyzing the proper application of this statute have explained that “in ruling on a section 425.16 motion to strike, a court generally should engage in a two-step process: ‘First, the court decides whether the defendant has made a threshold showing that the challenged cause of action is one arising from protected activity. ... If the court finds such a showing has been made, it then determines whether the plaintiff has demonstrated a probability of prevailing on the claim.’ ” (Taus v. Loftus (2007)
Plaintiffs initially contend that both the Court of Appeal and the trial court erred in the first step of the required analysis, asserting that the communications challenged in this case—the materials on the City’s Web site, the one-page document, and the City’s newsletter—do not constitute “protected activity” within the meaning of the anti-SLAPP statute. Plaintiffs contend that in view of the circumstance that the communications in question are those of a governmental entity rather than a private individual or organization, the communications cannot properly be viewed as “act[s] ... in furtherance of the person’s right of petition or free speech under the United States or
We reject plaintiffs’ contention. Whether or not the First Amendment of the federal Constitution or article I, section 2 of the California Constitution directly protects government speech in general or the types of communications of a municipality that are challenged here—significant constitutional questions that we need not and do not decide—we believe it is clear, in light of both the language and purpose of California’s anti-SLAPP statute, that the statutory remedy afforded by section 425.16 extends to statements and writings of governmental entities and public officials on matters of public interest and concern that would fall within the scope of the statute if such statements were made by a private individual or entity.
As noted, plaintiffs’ argument to the contrary rests on the language of section 425.16, subdivision (b), which describes the type of cause of action that is subject to a motion to strike as “[a] cause of action . . . arising from any act . . . in furtherance of the person’s right of petition or free speech under the United States or California Constitution in connection with a public issue . . . .” (Italics added.) Plaintiffs fail to take into account, however, that section 425.16, subdivision (e) goes on to define this statutory phrase in very broad terms. Subdivision (e) provides in this regard: “As used in this section, ‘act in furtherance of a person’s right of petition or free speech under the United States or California Constitution in connection with a public issue’ includes: (1) any written or oral statement or writing made before a legislative, executive, or judicial proceeding, or any other official proceeding authorized by law; (2) any written or oral statement or writing made in connection with an issue under consideration or review by a
Furthermore, to the extent there may ever have been a question whether the anti-SLAPP protections of section 425.16 may be invoked by a public entity, that question clearly was laid to rest by the Legislature’s enactment of Code of Civil Procedure section 425.18, subdivision (i), in 2005—well after many of the Court of Appeal decisions noted above (see, ante, at p. 17) had expressly recognized the ability of public entities to bring a motion to strike under the anti-SLAPP statute. Section 425.18, subdivision (i)—a provision of the 2005 legislation dealing with so-called SLAPPback actions— expressly recognizes that a “SLAPPback” action may be “filed by a public entity,” thereby necessarily confirming that a public entity may prevail on a special motion to strike under section 425.16. (See Code Civ. Proc., § 425.18, subd. (b)(1) [defining “SLAPPback” as “any cause of action for malicious prosecution or abuse of process arising from the filing or maintenance of a prior cause of action that has been dismissed pursuant to a special motion to strike under Section 425.16”].)
In addition to the language of the relevant statutory provisions, the purpose of the anti-SLAPP statute plainly supports an interpretation that protects statements by governmental entities or public officials as well as statements by private individuals. In setting forth the purpose of the statute and the Legislature’s intent guiding its interpretation, section 425.16, subdivision (a) states in relevant part: “The Legislature finds and declares that it is in the public interest to encourage continued participation in matters of public significance, and that this participation should not be chilled through abuse of the judicial process. To this end, this section shall be construed broadly.” (Italics added.) Moreover, the legislative history indicates that the Legislature’s concern regarding the potential chilling effect that abusive
Having determined that a lawsuit against a public entity that arises from its statements or actions is potentially subject to the anti-SLAPP statute, we conclude there can be no question but that the publications and activities of the City that are at issue in the present case constitute “protected activity” within the meaning of the first step of the anti-SLAPP analysis. The published material in question encompasses statements made and actions taken in local legislative proceedings before the city council, and other communications describing the city council’s potential reduction or elimination of public services and programs—statements that unquestionably concern public issues and issues of public interest.
Accordingly, we conclude that the lower courts properly found that defendants satisfied their threshold burden of demonstrating that all of the causes of action here at issue arise from activity protected under the anti-SLAPP statute, and that plaintiffs then bore the burden, under the second step of the anti-SLAPP analysis, of establishing a prima facie case on the merits.
III
As we explained in Wilson v. Parker, Covert & Chidester (2002)
In the present case, plaintiffs’ action is based on the contention that the City acted unlawfully in expending public funds with regard to (1) the materials relating to Measure O posted on the City’s official Web site, (2) the one-page summary listing the programs and services that the city council had voted to reduce or eliminate should Measure O be adopted, and (3) the city newsletter mailed to city residents on or before October 1, 2002. The question presented, at this second step of the anti-SLAPP analysis, is whether plaintiffs established a prima facie case that any of the challenged expenditures were unlawful.
In analyzing plaintiffs’ claim, we believe it is useful to begin with several statutory provisions that explicitly delineate a number of actions that a local entity may take in response to the certification and qualification of a local ballot measure.
Elections Code section 9215 provides in relevant part that when a local initiative petition, proposing the adoption of an ordinance, qualifies for the ballot, “the legislative body shall do one of the following: [][] (a) Adopt the ordinance, without alteration, at the regular meeting at which the certification of the petition is presented ....[][] (b) Submit the ordinance, without
Elections Code section 9212, subdivision (a), in turn, provides that before taking action under section 9215, “the legislative body may refer the proposed initiative measure to any city agency or agencies for a report on any or all of the following: [f] (1) Its fiscal impact. [][]... (4) Its impact on funding for infrastructure of all types, including, but not limited to, transportation, schools, parks, and open space. . . . [f] (5) Its impact on the community’s ability to attract and retain business and employment, [f] . . . [][] (8) Any other matters the legislative body requests to be in die report.” (Elec. Code, § 9212, subd. (a).)
Here, the City followed these statutes and obtained an initial report from the city agencies on the potential impact of Measure O. After considering the report, the city council decided not to adopt the proposed ordinance itself but instead to submit the matter for a vote of the electorate at the next regular municipal election. Plaintiffs do not contend that the City’s actions in this regard were improper.
After the initiative measure was placed on the November 2002 ballot, city agencies, at the direction of the city council, continued to study the potential impact of the measure on city services. Ultimately, in a lengthy report to the city council, the city manager identified the particular reductions and eliminations of city services that each agency recommended be implemented should Measure O be adopted. The city council, after considering the report and receiving comment from supporters and opponents of Measure O at a public meeting, formally voted to adopt the recommended reductions and eliminations of city services that would take effect should Measure O be adopted.
Although plaintiffs take issue with the scope and nature of the recommended cuts approved by the city council—maintaining that efficiencies were available in other areas and that the City chose to single out popular services and programs in order to influence the upcoming vote on the initiative measure and increase the likelihood that the initiative measure would be defeated—plaintiffs’ complaint does not contend that the city council lacked authority to adopt a legislative resolution that specifically identified the particular services and programs that would be reduced or eliminated if Measure O were approved. In any event, even had plaintiffs advanced such an argument, we have no doubt that the city council, pursuant to its general
Although plaintiffs do not directly challenge the City’s adoption of a specific plan of action that would take effect in the event the proposed initiative were to be adopted, they maintain that the City acted improperly in utilizing public resources and funds to prepare and distribute “pamphlets, newsletters and Web site materials”—denominated “campaign materials” in the complaint—informing the public of the proposed service cuts that would be implemented if Measure O were approved by the voters. The complaint objected that the materials in question “d[id] not provide a balanced analysis of the arguments in favor of and against Measure O.” In advancing their claim, plaintiffs relied upon Stanson, supra,
As noted, the Court of Appeal did not resolve the question whether the communications in question constituted campaign or informational material under the standard set forth in Stanson, supra,
In Stanson, supra,
In Stanson, after observing that a significant number of out-of-state cases decided in the years since the Mines decision uniformly had confirmed the validity of that decision (Stanson, supra, 17 Cal.3d at pp. 216-217), and further explaining that, as a constitutional matter, “the use of the public
After determining that the defendant state official in that case “could not properly authorize the department to spend public funds to campaign for the passage of the bond issue” (Stanson, supra,
Acknowledging in Stanson that in some circumstances “[problems may arise ... in attempting to distinguish improper ‘campaign’ expenditures from proper ‘informational’ activities” (Stanson, supra,
After so explaining that in many instances the distinction between campaign activities and informational activities is quite evident, we also recognized in Stanson that at times “the line between unauthorized campaign expenditures and authorized informational activities is not so clear. Thus, while past cases indicate that public agencies may generally publish a ‘fair presentation of facts’ relevant to an election matter, in a number of instances publicly financed brochures or newspaper advertisements which have purported to contain only relevant factual information, and which have refrained from exhorting voters to ‘Vote Yes,’ have nevertheless been found to constitute improper campaign literature. (See
Finally, applying the campaign/informational dichotomy to the facts before it, the court in Stanson held that because the appeal was from a judgment entered after the sustaining of a demurrer to the complaint, “we have no occasion to determine whether the department’s actual expenditures constituted improper ‘campaign’ expenditures or authorized ‘informational’ expenses. The complaint alleges, inter alia, that defendant Mott authorized the dissemination of agency publications ‘which were [not] merely . . . informative but . . . promotional’ and sanctioned the distribution, at public expense, of promotional materials written by a private organization formed to promote the passage of the bond act. If plaintiff can establish these allegations at trial, he will have demonstrated that defendant did indeed authorize the improper expenditure of public funds . . . .” (Stanson, supra, 17 Cal.3d 206, 222-223.)
Our court subsequently had occasion to apply the principles set forth in Stanson, supra,
While observing that the State Bar president’s speech itself “cost the State Bar nothing” (Keller, supra,
In analyzing the validity of the State Bar’s use of public funds to prepare and distribute this educational packet, the court in Keller explained: “The bar may properly act to promote the independence of the judiciary; such conduct falls clearly within its statutory charge to advance the science of jurisprudence and improve the administration of justice. In the present case, however, the nature and timing of the 1982 publication (see Stanson v. Mott, supra,
Accordingly, the decision in Keller, supra,
B
As already noted, in the present case the Court of Appeal determined that there was no need to apply the principles set forth in Stanson, supra,
Section 54964, subdivision (a), provides that “[a]n officer, employee, or consultant of a local agency[
In our view, the Court of Appeal’s reading of section 54964 is fundamentally flawed, because the statute does not affirmatively authorize (or permit) a municipality or other local agency to expend public funds on a communication that does not expressly advocate the approval or rejection of a ballot measure, but instead simply prohibits a municipality’s use of public funds for communications that expressly advocate such a position. As indicated by the above quotation of section 54964, subdivision (a), the statute provides that “[a]n officer [or] employee ... of a local agency may not expend or authorize the expenditure of any . . . funds of the local agency to support or oppose the approval or rejection of a ballot measure . . . .” (Italics added.) Nothing in section 54964 purports to grant authority to a local agency or its officers or employees to employ public funds to pay for communications or activities that constitute campaign activities under Stanson, supra,
As we have seen, in Stanson, supra,
Furthermore, the legislative history of section 54964 does not support the Court of Appeal’s conclusion that this statutory provision was intended to modify or displace the principles or standard set forth in our decision in Stanson, supra,
In arguing in favor of the Court of Appeal’s conclusion that section 54964 should be interpreted to substitute the “express advocacy” standard for the standard set forth in Stanson, supra,
In addition to the language and legislative history of section 54964, the constitutional concerns identified by this court in Stanson, supra,
The City, and amici curiae supporting the City, contend nonetheless that the “express advocacy” standard is preferable to the standard adopted in Stanson, supra,
Accordingly, we conclude the campaign activity/informational material dichotomy set forth in Stanson, supra,
C
As discussed above, contrary to the conclusion of the Court of Appeal, section 54964 does not affirmatively authorize a local agency to expend funds for communications relating to a ballot measure, but instead simply prohibits the expenditure of public funds under some circumstances. Consequently, the City’s expenditure of funds for the communications and activities here at issue must rest upon some other authority.
From the record before us, it appears that the expenditures in question were made pursuant to the general appropriations in the City’s regular annual budget pertaining to the maintenance of the City’s Web site, the publication of the City’s regular quarterly newsletter, and the ordinary provision of information to the public regarding the City’s operations. The record does not indicate that the city council approved any special measure that purported, clearly and unmistakably, to grant the City explicit authority to expend public funds for campaign activities relating to Measure O. Accordingly, as was the case in Stanson, supra,
As discussed above, plaintiffs challenge three groups of communications by the City that relate to Measure O: (1) the material posted on the City’s official Web site, (2) the one-page document made available to the public at the city clerk’s office and in public libraries, and (3) the municipal newsletter mailed to all city residents on or before October 1, 2002. The content of all of these communications relates to the reduction and elimination of city services, programs, and facilities that the city council voted to implement should Measure O be approved at the November 2002 election. None of these materials or publications constitute the kind of typical campaign materials or activities that we identified in Stanson, supra,
In advancing this argument, plaintiffs appear to rely in significant part on a passage in Stanson, supra,
Indeed, upon reflection, it is apparent that in many circumstances a public entity inevitably will “take sides” on a ballot measure and not be “neutral” with respect to its adoption. For example, when a city council or county board of supervisors votes to place a bond or tax measure before the voters, it generally is quite apparent that the governmental entity supports the measure and believes it should be adopted by the electorate. Similarly, when a city council is presented with a local initiative petition that has been signed by the requisite number of voters and declines to enact the measure into law itself but instead places the matter on the ballot, in at least most cases a reasonable observer would infer that a majority of the council does not support adoption of the measure. Thus, the mere circumstance that a public entity may be understood to have an opinion or position regarding the merits of a ballot measure is not improper. (See also, e.g., Elec. Code, § 9282 [authorizing local legislative body to author a ballot pamphlet argument for or against any city measure].)
The potential danger to the democratic electoral process to which our court adverted in Stanson, supra,
In the present case, the city council, faced with the possibility of a substantial reduction in revenue in the middle of the 2002-2003 fiscal year should Measure O be approved by the voters at the November 2002 election, had the authority to decide, in advance of the election, which services would be cut should the measure be adopted, and then to inform the City’s residents of the council’s decision. In posting on the City’s Web site the detailed minutes of all the city council meetings relating to the council’s action, along with the detailed and analytical reports prepared by the various municipal departments and presented by department officials at city council meetings, the City engaged in permissible informational rather than campaign activity, simply making this material available to members of the public who chose to visit the City’s Web site. Because the proponents of Measure O spoke and made presentations at a number of city council meetings, summaries of the proponents’ positions were included in the minutes of those meetings, were posted on the Web site, and thus were available to persons who visited the Web site, but the City had no obligation to provide the proponents of Measure O with special access to enable them to post material of their own choosing on the City’s official Web site. The declarations submitted in the trial court establish that this Web site is not a public forum on which the City permits members of the public to freely post items or exchange views; the City retains the authority to decide what material is posted on its official Web site.
Similarly, the City did not engage in campaign activity in producing the one-page document listing the service and program reductions that the city council had voted to implement should Measure O be adopted (see appen. A), or in making copies of the document available to the public at the city clerk’s
Finally, we also conclude the City did not engage in impermissible campaign activity by mailing to city residents the fall 2002 “City Round-up” newsletter containing a number of articles describing the proposed reductions in city services that the city council had voted to implement, should-Measure O be adopted. (See appen. B.) Although under some circumstances the mailing of material relating to a ballot measure to a large number of potential voters shortly before an upcoming election unquestionably would constitute campaign activity that may not properly be paid for by public funds, a number of factors support the conclusion that the City’s mailing of the newsletter here at issue constituted informational rather than campaign activity. . •
First, it is significant that this particular newsletter was a regular edition of the City’s quarterly newsletter that as a general practice was mailed to all city residents, rather than a special edition created and sent to would-be voters, specifically because of the upcoming election regarding Measure O. In this respect, the newsletter in question is clearly distinguishable , from the special edition newsletter that was before the United States Supreme Court in FEC v. Massachusetts Citizens for Life, Inc. (1986)
Second, the city council’s July 16, 2002 resolution—identifying a significant number of current city services and programs that would be reduced or eliminated, should Measure O be adopted—quite clearly was an obvious and natural subject to be reported upon in a city’s regular quarterly newsletter, and the style and tenor of the publication in question were entirely consistent
Further, the article setting forth answers to frequently asked questions about the utility users tax provided city residents with important information about the tax—including the annual cost of the tax to the average resident—in an objective and nonpartisan manner. The content of this newsletter clearly distinguishes it from the kind of blatantly partisan, publicly financed agency newsletter that the New York Court of Appeals held improper in Schulz v. State of New York (1995)
Furthermore, we emphasize that the principles that we have applied in this setting are equally applicable without regard to the content of whatever particular ballot measure may be before the voters—whether it be a tax-cutting proposal such as that involved in this case, a “slow-growth” zoning measure restricting the pace of development, a school bond issue providing additional revenue for education, or any other of the diverse local ballot measures that have been considered in California municipalities in recent years. (See, e.g., Cal. Elections Data Archive, Cal. County, City and School District Election Outcomes: 2004 Elections: City Offices and Ballot Measures, City Report, table 1.2, pp. 21-43 <http://www.csus.edu/isr/isr3.html> [as of Apr. 20, 2009].) In any of these contexts, a municipality’s expenditure of public funds must be consistent with the standard set forth in Stanson, supra,
In the present case, we conclude, on the basis of the facts established by the materials submitted in support of and in opposition to the motion to strike, that all of the activities of the City that are challenged by plaintiffs constitute permissible informational activities—and not inappropriate campaign activities.
D
For the reasons discussed above, we conclude that the City and the other defendants established that the communications that gave rise to plaintiffs’ action fall within the scope of the anti-SLAPP statute, and that plaintiffs failed to meet their resultant burden of establishing a prima facie case that defendants’ actions were unlawful. Thus, the trial court properly granted defendants’ motion to strike plaintiffs’ action under the anti-SLAPP statute.
As explained above, although we conclude that the Court of Appeal applied an incorrect standard in evaluating the validity of the City’s conduct, we nonetheless conclude that the appellate court reached the correct result in upholding the trial court’s order granting defendants’ motion to strike the supplemental complaint. Accordingly, the judgment of the Court of Appeal is affirmed.
Kennard, J., Baxter, J., Werdegar, J., Chin, J., Moreno, J., and Corrigan, J., concurred.
Notes
SLAPP is an acronym for “strategic lawsuit against public participation.” (Equilon Enterprises v. Consumer Cause, Inc. (2002)
Measure O proposed to reduce the UUT from 6 percent to 3 percent upon passage of the initiative, to further reduce the tax to 1 percent on January 1, 2004, and to repeal it entirely on January 1, 2005.
A copy of the English version of the one-page document is set forth in appendix A.
Although a declaration of one of the plaintiffs filed early in the litigation in support of a request for a temporary restraining order asserted that “[i]t is apparent that [the newsletter in question] is not the usual quarterly issue of the newsletter because the issue and year, which are stamped in the upper comer of the regular quarterly newsletter is absent,” the city manager immediately filed a responsive declaration stating explicitly that “[c]ontrary to the allegations by the Plaintiffs, the City Round-Up Newsletter was not a special issue.” In a declaration filed in support of the motion to strike the complaint under section 425.16, the city manager reiterated that the newsletter in question was “[t]he City of Salinas’ Fall 2002 edition of the ‘Round-Up’ Newsletter, Volume 3.” In their opposition to the motion to strike, plaintiffs did not contest the city manager’s description of the newsletter as a regular quarterly issue of the City’s newsletter.
A copy of the newsletter is set forth in appendix B.
In December 2003, plaintiffs sought permission to amend their complaint, noting that the City recently had proposed the enactment of a new special tax (Measure P) that would be placed before the voters of Salinas in March 2004, and urging the court to presume that the City would engage in improper campaign activities with respect to Measure P. Following a hearing in January 2004, die trial court permitted plaintiffs to supplement their complaint, and in early March 2004 plaintiffs filed a supplemental complaint that reiterated plaintiffs’ challenge to the City’s actions with regard to Measure O, and additionally alleged, on information and belief, that the City was “preparing campaign material to disseminate to
In its subsequent motion to strike the complaint, filed in April 2004, the City noted that, with respect to Measure P, plaintiffs had not identified any conduct or documents supporting the contention that the City illegally spent funds to campaign for Measure P. Plaintiffs’ opposition to the motion to strike failed to challenge any activity taken by the City with regard to Measure P. Accordingly, at this stage of the proceeding, the only actions of the City that are challenged by plaintiffs are those taken by the City with regard to Measure O.
The regulation in question provides in relevant part: “A communication ‘expressly advocates’ the nomination, election or defeat of a candidate or the qualification, passage or defeat of a measure if it contains express words of advocacy such as ‘vote for,’ ‘elect,’ ‘support,’ ‘cast your ballot,’ ‘vote against,’ ‘defeat,’ ‘reject,’ ‘sign petitions for’ or otherwise refers to a clearly identified candidate or measure so that the communication, taken as a whole, unambiguously urges a particular result in an election.” (Cal. Code Regs., tit. 2, § 18225, subd. (b)(2); see also Federal Election Com’n v. Furgatch (9th Cir. 1987)
The Court of Appeal also rejected plaintiffs’ related argument that the City’s official Web site and newsletter constituted “public forums” from which the proponents of Measure O had been improperly excluded in violation of their free speech rights. The court held that because the City had not permitted private individuals or groups to post material on its Web site or to
Section 425.16 was first enacted in 1992. In 1997, in response to several Court of Appeal decisions that had narrowly construed the scope of the statute, the Legislature amended the measure to clarify its intent that the provisions of the statute are to be interpreted broadly. (Stats. 1997, ch. 271, §1 [amending §425.16, subd. (a)].) A legislative analysis of this amendment approvingly quoted a passage from a then recent law review article that identified as “a typical SLAPP suit scenario” a situation in which an abusive lawsuit is brought against both public officials and private individuals. (Assem. Com. on Judiciary, Analysis of Sen. Bill No. 1296 (1997-1998 Reg. Sess.) as amended June 23, 1997, p. 2, quoting Sills, SLAPPS: How Can the Legal System Eliminate Their Appeal? (1993) 25 Conn. L.Rev. 547 (Sills article); see also Sills article, supra, 25 Conn. L.Rev. 547, 550 [“Just as SLAPPs filed against individuals have a ‘chilling’ effect on their participation in government decision making, SLAPPs filed against public officials, who often serve for little or no compensation, may likely have a similarly ‘chilling’ effect on their willingness to participate in governmental processes.”].)
Supporters of Measure O in fact advanced this position in an argument published in the county voter information pamphlet that was sent to voters in advance of the November 2002 election. The “Rebuttal to Argument Against Measure O” contained in the ballot pamphlet (which was signed by a number of the named plaintiffs in this action, among others) stated in part: “The pro-tax advocates have threatened to cut services—but there are other choices. Q] The problem is, the mayor and city council have refused to consider options like: [ID Reducing undisciplined spending, ending ineffective programs, and audits to expose waste [<f] Cutting top-heavy administration. Top 40 bureaucrats average cost is $148,466 each. [][] Other areas that should be trimmed: [1] Average city employee cost $87,195, over 30% more than an average county worker. Overtime averages four times as much for a city employee as for a county worker. These figures are based on general fund spending, [f] Health club/cash benefits for most city employees. [ID Several generous retirement plans, and up to 10 weeks of paid time-off for city bureaucrats, [f] Millions can be saved with these cost saving ideas, and more at: [f] www.cityofsalinas.com.” (County of Monterey, Sample Ballot & Voter Information Pamp., Gen. Elec. (Nov. 5, 2002) rebuttal to argument against Measure O, p. 27-529, original underscoring & boldface.)
The ballot pamphlet quoted in this footnote is not included in the record on appeal, but, as an official government document, is a proper subject of judicial notice. (Evid. Code, § 452, subd. (c).) Prior to oral argument, we notified the parties that the court was considering taking judicial notice of this document and afforded them an opportunity to object. (See Evid. Code, §§ 459, subd. (c), 455, subd. (a).) No objection has been raised, and we take judicial notice of the ballot pamphlet.
Two seats on the Salinas City Council, including that of the mayor, were to be filled at the November 2002 election. (See County of Monterey, Sample Ballot & Voter Information Pamp., Gen. Elec. (Nov. 5, 2002) sample ballot for City of Salinas offices, p. 27-SB724.)
In a footnote at this point, the court in Stanson reviewed the circumstances involved in one of the cited opinions of the California Attorney General. (
“Local agency” for purposes of section 54964 is defined to include, among other entities, a county, city (whether general law or chartered), city and county, and town, or any board, commission, or agency of such entities, but to exclude a county superintendent of schools, an elementary, high, or unified school district, or a community college district. (See Gov. Code, §§ 54964, subd. (b)(4), 54951.) The latter educational entities are subject to comparable restrictions under the terms of Education Code section 7054.
Section 54964 reads in full: “(a) An officer, employee, or consultant of a local agency may not expend or authorize the expenditure of any of the funds of the local agency to support or oppose the approval or rejection of a ballot measure, or the election or defeat of a candidate, by the voters.
“(b) As used in this section the following terms have the following meanings:
“(1) ‘Ballot measure’ means an initiative, referendum, or recall measure certified to appear on a regular or special election ballot of the local agency, or other measure submitted to the voters by the governing body at a regular or special election of the local agency.
“(2) ‘Candidate’ means an individual who has qualified to have his or her name listed on the ballot, or who has qualified to have write-in votes on his or her behalf counted by elections officials, for nomination or election to an elective office at any regular or special primary or general election of the local agency, and includes any officeholder who is the subject of a recall election.
“(3) ‘Expenditure’ means a payment of local agency funds that is used for communications that expressly advocate the approval or rejection of a clearly identified ballot measure, or the election or defeat of a clearly identified candidate, by the voters. ‘Expenditure’ shall not include membership dues paid by the local agency to a professional association.
“(4) ‘Local agency’ has the same meaning as defined in Section 54951, but does not include a county superintendent of schools, an elementary, high, or unified school district, or a community college district.
“(c) This section does not prohibit the expenditure of local agency funds to provide information to the public about the possible effects of a ballot measure on the activities, operations, or policies of the local agency, if both of the following conditions are met:
“(1) The informational activities are not otherwise prohibited by the Constitution or laws of this state.
“(2) The information provided constitutes an accurate, fair, and impartial presentation of relevant facts to aid the voters in reaching an informed judgment regarding the ballot measure.
“(d) This section does not apply to the political activities of school officers and employees of a county superintendent of schools, an elementary, high, or unified school district, or a
For example, a “floor alert” letter to legislators from the Planning and Conservation League—sent just prior to the vote that removed the “by implication” language from the pending legislation—stated in this regard: “While agencies are already prohibited from using public funds for campaigning (a goal with which we strongly agree), this bill goes much further. Only a court will be able to determine whether an agency ‘expressly or by implication’ advocated a ballot measure, and agencies will be told by their counsel that they should not even take a position on a ballot measure, let alone inform their voters what the measure actually does. ...[][] Later the bill allows ‘information’ dissemination, but it will be impossible for an agency to avoid the ‘or by implication’ prohibition . . ., so they will simply do nothing, and default on their responsibility to inform the voters about the actual impact of the measure on their lives.”
The United States Supreme Court first articulated the “express advocacy” standard in Buckley v. Valeo (1976)
The hypothetical message just discussed neither contains “express words of advocacy” nor “unambiguously urges a particular result,” inasmuch as some voters might believe that the identified public facilities are unnecessary or that public funds would be better spent for other purposes.
In addition to the hypothetical example discussed above, the facts presented in one relatively recent out-of-state decision provide a concrete illustration of why the express-advocacy standard is inadequate to restrain a municipality’s improper use of public funds for campaign activities.
In Dollar v. Town of Cary (2002)
If a municipality’s election-related expenditures were constrained only by an express-advocacy standard, as urged here by the City and held by the Court of Appeal, títere would be no restriction upon a public entity’s expenditure of public funds in the manner described in the Dollar decision, even when the disbursements are made during a local election campaign and for such traditional campaign activities as newspaper, radio, and television advertisements.
Although plaintiffs contend the City’s official Web site constitutes a public forum for constitutional purposes, to which equal access must be provided to all competing factions, the governing authorities do not support this assertion, because the City has not opened its Web site to permit others to post material of their choice. (See, e.g., United States v. American Library Assn., Inc. (2003)
In Massachusetts Citizens for Life, supra,
In Schulz, the court considered a newsletter that had been published and mailed by the New York Governor’s Office of Economic Development in advance of the 1992 presidential election and that discussed welfare reform, an issue of primary interest in the presidential campaign. In describing the newsletter, the court in Schulz observed: “Although the newsletter contained a substantial amount of factual information which would have been of assistance to the electorate in making an educated decision on whose position to support on that issue, the paper [ijndisputably ‘ “convey[ed] . . . partisanship, partiality . . . [and] disapproval by a State agency of [an] issue” ’ [citation]. Thus, the newsletter states: [ft] ‘Led by the Bush Administration, Republicans in New York and across the nation are seeking to slash assistance to the needy. [’] ‘The Republicans appear to have devised a strategy of using distortions and half-truths about Medicaid and welfare to divide the people in a key election year.’ ” (Schulz, supra,
At the request of amici curiae California Chamber of Commerce and other organizations, we have taken judicial notice of two brochures that were mailed to voters by the Solano Transportation Improvement Authority in relation to a local transportation measure (Measure M) that was before the voters in the November 2006 election.
In addition to maintaining that the distribution of the fall 2002 “City Round-up” newsletter constituted campaign activity, plaintiffs also argue, as they have with regard to the City’s official Web site, that the city newsletter constitutes a public forum and that the City had an obligation to offer the proponents of Measure O the opportunity to include in the newsletter their objections to the city council’s action. As with the City’s official Web site, however, the
Concurrence Opinion
I agree with the majority that the “express advocacy” standard does not fully capture the limitations on the public funding of communication in connection with political campaigns. I also agree with the majority that the City of Salinas’s expenditures in the present case were lawful. I write to further analyze the relationship between the relevant statute and case law. I also write to explain why the majority’s holding, based on Stanson v. Mott (1976)
As suggested by the majority, and by the court in Stanson, there are broadly speaking two types of limitations on public funding of government communications in connection with ballot initiative campaigns: (1) limitations on the content of communications that government agencies may fund; and (2) limitations on the means used by local governments to disseminate their communications.
Government Code section 54964 (section 54964) is concerned with the first type of limitation—the contents of the communication. Section 54964, subdivisions (a) and (b) prohibit the “payment of local agency funds that is used for communications that expressly advocate the approval or rejection of a clearly identified ballot measure, or the election or defeat of a clearly identified candidate, by the voters.” (§ 54964, subd. (b)(3), italics added.) Section 54964, subdivision (c), provides that “[t]his section does not prohibit the expenditure of local agency funds to provide information to the public about the possible effects of a ballot measure on the activities, operations, or policies of the local agency, if both of the following conditions are met: [][] (1) The informational activities are not otherwise prohibited by the Constitution or laws of this state, [f] (2) The information provided constitutes an accurate,
As an initial matter, I note that plaintiffs would interpret section 54964 to require that the government limit itself to “undisputed factual information” and not weigh in on “debatable questions.” But section 54964, subdivision (c) does not say that the government is obliged to inform the public regarding all sides of the debate about a given ballot measure, or that it must view all sides with equal favor. Rather, it is authorized to inform the public about the “possible effects of a ballot measure on the activities, operations, or policies of the local agency.” A government agency’s analysis and discussion of that topic may be controversial or not universally agreed upon, and it cannot be the case that section 54964, subdivision (c) would for that reason prohibit it. “[Ajccurate, fair, and impartial” implies a certain kind of objective and factual approach, not necessarily a noncontroversial outcome, rather like a judicial opinion that is firmly grounded in the facts and the law and established methods of legal reasoning, but which may be contested by a dissent similarly grounded. On the other hand, the “undisputed factual information” standard would mean that the government could not communicate any information unless there was complete agreement about its truth, no matter how unreasonable the contrary position is—a virtually impossible standard and doubtless not what the Legislature intended. I therefore agree with the majority’s implicit rejection of plaintiffs’ interpretation of section 54964, subdivision (c).
Although section 54964 regulates the contents of the communications a government agency may fund in the course of a political campaign, it does not address the second prong discussed above, the means by which such communication can be disseminated. This topic is covered substantially in Stanson. Indeed, in its pivotal distinction between “improper ‘campaign’ expenditures” and “proper ‘informational’ activities” (Stanson, supra,
I agree with the majority that the fact that section 54964 addressed only the permissible content of government-funded communications about ballot measures does not mean that it was intended to supersede Stanson’s statements circumscribing the means of disseminating the communications. Such a repudiation or modification of Stanson is neither evident in the language of the statute nor, as the majority points out, in the legislative history. (Maj. opn., ante, at p. 30.) Thus, in addition to the legislative command pursuant to section 54964 that local government agencies not engage in “express advocacy” and that they fund only those communications about ballot measures that are informational in nature, such communications must also pass the Stanson test of not using methods that constitute campaign activity.
With respect to those methods, it is noteworthy that today’s decision makes clear, in a way that Stanson did not, that a government agency’s informational activities with respect to ballot measures are not limited to responses to citizen requests, but can also entail proactive measures to inform citizenry about the probable effects of a ballot measure. Municipalities are statutorily authorized to gather information about the impacts of proposed ballot measures (Elec. Code, § 9212) and are often uniquely well positioned to disseminate such information. Nor do I understand the various methods used by the city in the present case, which the majority correctly concludes are lawfhl, to necessarily represent the outer limits of permissible publicly funded communications. Precisely where such outer limits are to be drawn awaits other cases.
It also remains to be seen whether the concept of prohibited “campaign activity” set forth in Stanson, and reaffirmed by the majority meets the current needs of governance. Since Stanson was decided over 30 years ago, local government finance in California has undergone a sea change. One aspect of that transformation is that after the passage of Proposition 13 in 1978 and subsequent measures, the power to raise local revenues has shifted from the local legislatures—the city councils, boards of supervisors, school boards and boards of directors of special agencies—to the electorate, which now must approve all revenue increases and increases in bonded indebtedness at the ballot box, usually by a supermajority vote. (See Cal. Const., arts. XIIIA, XIIIC.) In other words, the local government legislative power to finance government projects and services no longer resides with the local
In this context, local and regional agencies sometimes have been specially charged with the task of sponsoring ballot propositions to raise revenue to fund various infrastructure improvements and services that are deemed necessary. The critical role of local governments in such sponsorship is illustrated by the recent case of Santa Barbara County Coalition Against Automobile Subsidies v. Santa Barbara County Assn. of Governments (2008)
SBCAG proposed a ballot proposition, Measure A, for the November 2008 ballot seeking to extend the 0.5 percent countywide sales tax to fund various transportation projects and services. (Santa Barbara County, supra,
Although the court’s decision rested on the fact that SBCAG’s activity preceded placement on the ballot, the case highlights the tension between on the one hand statutorily authorizing government agencies to propose revenue raising ballot initiatives (see also Elec. Code, §§ 9140, 9222 [authorizing boards of supervisors and city councils to submit ballot questions to voters]), and on the other hand forbidding them from campaigning for those initiatives. Under these circumstances, it would seem a government agency has a special role to play in informing the electorate about the reasons for enacting the measure it has proposed. That information must be, to be sure, “an accurate, fair, and impartial presentation of relevant facts” (§ 54964, subd. (c)(2)), but it necessarily will involve some degree of advocacy, since the agency is itself sponsoring the ballot measure based on its assessment of local needs.
The extent to which the funding of an active informational campaign to promote or defend a lawfully government-sponsored ballot measure would fit within Stanson’s and the majority’s informational/campaign activity dichotomy is not entirely clear. Yet as the majority reaffirms, courts are not necessarily the final word on the matter. Stanson’s and the majority’s holdings are limited to situations in which there is no “clear and unmistakable [legislative] language specifically authorizing a public entity to expend public funds for campaign activities or materials.” (Maj. opn., ante, at p. 24; see also Stanson, supra, 17 Cal.3d at pp. 219-220.) Indeed, one of the strengths of the majority opinion, and of Stanson, is that they leave room for the possibility of legislative innovation in this area to respond to new or unique circumstances.
With these provisos in mind, I concur in the majority opinion.
Werdegar, L, concurred.
Appellants’ petition for a rehearing was denied June 17, 2009.
REPEAL OF THE UTILITY USERS TAX
0008^8
On November 5, 2002 Salinas’ voters will determine whether to-continue or elimiriate the City’s Utility Users Tax and the services provided by the tax. The Utility Users Tax was instituted in 1969 to provide police, fire library, parks, recreation and capital improvements for Salinas’ residents. This year, the City expects $8,060,000 in General Fund revenue or 1'3% of the City’s total General Fund budget from the Utility Users Tax.' On July 16, 2002, the Salinas City Council unanimously identified the services- that would be eliminated or reduced if the Utility Users Tax is repealed. These services would have to be eliminated or reduced in order to balance tbe City’s budget if the Utility Users Tax is repealed. If the Utility Users Tax is repealed, these program and service reductions will be completed by March 31,2003.
Facilities To Be Closed
Ereadbox Recreation Center El Dorado Park Recreation Center Hebbron Heights Recreation Center El Gabilan Library Cesar Chavez Library
Ooster Park Recreation Center Central Park Recreation Center Firehouse Recreation Center Municipal Pool
Programs / Services To Be Eliminated
Volunteer Services' School Crossing Guards Paramedic Seivices Graffiti Abatement Narcotics & Vice Unit
Neighborhood Services Hazardous Materials Control Water Conservation Planning Literacy Services
Community Funding To Be Eliminated
Rodeo Kiddie Kapers Parade Suicide Prevention / Crisis Center Oidfown Maintenance Cultivating Peace Initiative Community Human Services Project Sister City Association
Carnival California International Airshow ' Arts Council Second Chance Youth Program Sunrise Honse Chamber of Commerce Youth Commission
Programs / Services To Be Reduced
School Resource Officers Fire Prevention Park Maintenance Animal Control Services
Code Enforcement Facilities Maintenance Street Tree Maintenance
Detailed information about the elimination and/or reduction of these programs and services is contained to the June 24,2002 Report on the Impact of the Utility Users Tax Repeal Initiative. The report is available in City Hall and in all City libraries.- The report is also available on the City’s web site at www.ci.salinas.ca.us.
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UTILITY USERS TAX
ANSWERS TO FREQUENTLY ASKED QUESTIONS
Listed below ara frequently asked questions about the Utility Users Tax. Residente who would like more detailed information in regards to these questions can visit the City's web slfe at www.cl.salinas.ca.us or request a copy of the Utility Users Tax report from City Hall or any of the Clly libraries.
What is the Utility Users Tax? . The Utility Users Tax Is a 6% tax on the following utility charges: gas, electricity, cable television, water and telephone. The Utility Users Tax is the only one of the four major General Fund revenue sources that the Clly receives 100% of the tax collected. Al! Utility User Tax dollars stay in the community and are spent entirely for the benefit of City residents. The Utility Users Tax, unlike Ihe other three major General Fund revenue sources: sales tax, property taxes and vehicle license fees are not shared with Ihe state of California, other municipalities or special districts.
IV?ten did the City first begin collecting (he Utility Users Tax? The City began collecting the Utility Users tax fn 1069. The original tax rate v/as 5%. The lax was Increased to 6% In 1394.
Were Citizens ever given an opportunity to vote for the implementation of the Utility Users Tax? No, however, Ihe Salinas City Charter allows for Ihe repeal of any adopted ordinance by a majority of the voters. The residente of Salinas and their elected representatives on the City Council could have considered the repeal of this tax anytime during the last thirty-three years.
How much revenue is generated by the Utility Users Tax? This year, the Clly expects approximately $8 million In General Fund revenue or 13% at the City's total General Fund budget from the Utility Users Tax.
Ilow much does the average resident pay annually in Utility Users Taxes? It Is estimated that the average Salinas Household pays approximately $124.00 each year in Utility User Taxes. This is approximately .34 cents a day.
What docs the City do with the money collected from the Utility Users Tax? The Utility Users Tax dollars are deposited in Ihe City’s General Fund budget and it is used to provide funding for important government services Including Police, Fire, recreation programming, library services and park maintenance as well as the City's General Fund Capital Improvement Program. •
Do residents currently have a voice in how the Utility Users Tax revenue is spent? Yes, the Utility Users Tax is considered General Fund Revenue, Unlike revenue received from the federal or state government, the Satinas community determines how this money is spent each year. Residents are encouraged to participate in the annual budget process to determine what services are provided for the benefit of the community.
Is there any fixed income exemptions for the. Utility Users Tax? No, however, the City encourages low-income residents to apply for a variety of programs sponsored by utility companies that reduce utility bills. Examples of these programs Include: PQ&E's CARE Program, which provides low-income households a 20% discount on monthly energy bills; and Pacific Bell’s Universal Lifeline Telephone Service that provides discounted residential telephone service to Its customers who meet certain requirements.
Do Other Cities Collect a Utility Users Tax? Yes. .Many other cities in Monterey and Santa Cruz Counties as well as throughout the state have a utility users tax. Cities vritii utility users taxes Include Ihe City of Monterey, City of Santa Cruz, King City, Gonzales, Pacific Grove and Walsonville.
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• CUTS TO POLICE SERVICES EXPECTED . ; IF MEASURE Ó ÍS APPROVED BY VOTERS ; .
I lie magnitude of budget reductions resulting from the potential passage of Measure O, the Initiative to repeal the Utility Users Tax, would force the City to cut programs arid services in the Police Department totaling $1.7 million. The $1.7 million in proposed service cuts include: elimination of the School Crossing Guard Program, reductions in Support Services, such as removal of abandoned vehicles from public sheets, elimination of the Narcotics and Woe Unit, reductions to the School Resource Officer Program, and reductions In the Animal Services Program. According to Police Chief Daniel Ortega, each of the programs to be eliminated or reduced significantly Impact Salinas' “community policing philosophy* and the Department's ability to tailor services to meet specific community needs.
The chart Illustrates the fiscal.impacts of the proposed cuts.
PROGRAM IMPACT DEBUDGET CUTS BUDGET REDUCTION School Crossing Guards Elimination of Program $163,000 Support Services Reduction in Services Such as VehtcleAbatement $109,000 Narcotics and Vice Elimination of Program $768,000 School Resource Officers Reduction In Number of Schools Served $565,100 Animal Control Reduction In Animal Shelter Services $11.1,200 - ■ TOTAL $1,737,300 Residents Interested in learning more about the potential Impacts to Police Services can visit the City's V&b Sito at mw.cteetinas.ca.us or pick up a copy of the City Manager's Utility Users Vox report atihá City Hall or at any of the three City tibiarles
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Methaaphetamins lab. The proposed eMnatfon oí the Narcotics and Vice Unit v/ill hamper Police Department's ability to promote the City Council's fit goal of maintaining a safe and peaceful community.
benefit of superdsed street crossing as a result 0fg,s ren6aj 0fp,s um usere Tax-
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REPEAL OF 'ÜUT IMPACTS ON FIRE SERVICES
The Fire Department's budget, if ivisasure 0, ihe Utility Users tax Is repealed, will result In an annual budget reducán ol $1,036,000 ($1.036 million). This cut of approximately 10% of Ihe Department's $9.9 million budget will result In the elimination or reduction of Ihe fallowing programs.
PROGRAM V IMPACT OF BUOGET'GUTS BUDGET REDUCTION Paramedic Services " Elmlnation of Prograriri/Co.nysrsion of 21 :.....\ParamedraFlrefighterstoFfrefigh'teronlyposiuons $414,500 Paramedic Rescue Squad *■';v * Elimination of Pragrarn/Slowei:response tíme'-'*' • '..'y . ... • for emergency medical response call .. '..z $439,500 - .Hazanfous Materials Cqnholf • ] . Elimination of Prograni/Ellmlnates a Response , ' "./.ft first line defense against' Bfó/Cherplca! terrorism . ■ $69,100 Firo Prevention Slower construction pfen approval process/ Elimination of.' . * ' lire prevention school presentations forever 15,000 studentsjaiinually '$[12,900 .7 . " TOTAíry^i-y;; ..y . 'j-'$1,036:000 A detailed report of the potential impacts of Measure O en the City's Fire Qepaijrtient budget reductions are available ón line ai the City's Wab Site (mY/.dsolinas.cs. us). .Paper copies of the City Manpga/s Utifity Üsers Tax Beport are available at City Hall or at any of the. % three City Stories. ’ • • . ' •-: .<„ . - 7.. . ... i \
FINANCIAL IMPACTS; ELIMINATION OFIH'IÜTYUSERS TAX ON RECREATION-PARK SERVICES . " ,
The Mission of the Cl ty's Recreation-Park Department Is to enhance life through high quality recreation, educational, social and cultural programs, events and leisure activities which are responsive to a diverse population. The potential Impacts of the proposed repeal of the Utility Users Tax will make it difficult for the Recreation-Park Department to successfully carry out this mission.
.The Department's approved operating budget for fiscal yaar 2002-2003 lhat began July 1st is $3,791,700. The proposed Utility Users Tax repeal will result in budget cuts totaling $1,153,700,or 30% of the Department's total operating budget. The impacts of these cuts will result in Ihe closure ol the following facilities: Breadbox Recreation Center, Closter Park Recreation Center, Central Park Recreation Center, El Dorado recreation Center, Firehouse Recreation Center, Hebbran Heights Recreation Center and the Municipal Svrimming Pool,
More than 600,000 uses for Reereallon-Park programming and sendees are recorded annually, if the Utility Users Tax is repeated, the following programs will be eliminated:
* Senior Program at the Firehouse Recreation
* Tiny Tots Day Program for 3 to 5 years olds eliminated at Central Park, Closter Park and El Dorado Park •
■ Closure ol the City's Skateboard and BMX Facilities
* Elimination of drop-in programs at the Breadbox, Closter Park, Centraf.Parfq the Firehouse and Habbron Heights
■ Elimination of cultural, arts and athletic programs at all facilities scheduled for closure
* Closure of the City's only year round public swimming pool
A detailed report of the potential Impacts of Measure O on Recreation-Park is available by visiting the City's Web Site at VAVwcl.s3lines.ca. us or by picking up a copy of the City Managers UtlSiy Users Tax Report at City Hall or at any of ihe three •hity libraries.
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Qj)0864
• - City CouñcilPromoieB Strong Neighborho od. Initiative.
The Salinas City Council In Its efforts to promote strong neighborhoods has developed the Neighborhood Problem Solver. The Neighborhood Problem Solver is a 70-page step-by-step ‘how to" guide that Is designed to assist residents in improving their neighborhood’s overall quality of life.
The Idea for the Neighborhood Problem Solver was developed by City Council at meetings held with concerned residents. City Council acknowledged that the City could not solve every resident’s concern through a telephone call to City Hall. However, City Council did promise residents that It would seek out new “tools" and resources to provide residents assistance in solving problems that extended beyond the City’s Jurisdiction or available resources,
City Council, as a result of these meetings, requested that the City Administration Identify new “tools" and resources that would assist residents:
* Experiencing a problem or series of problems lhat requires significant resources and time to resolve;
* Unable to determine where to find assistance in resolving a community problem; and
* Already involved In active neighborhood organizations but are In need of technical assistance.
The Neighborhood Problem Solver does Ibis and more. The Neighborhood Problem Solver and the optional technical training provided by the Neighborhood Services Coordinator are designed lo assist residente In creating solutions Siat meet specific community needs. The Neighborhood Problem Solver Is widen in English and Spanish
offering assistance in:
* Problem identification
■ Organizing and rallying the community around " a problem or set ot Issues
■ Conducting effective meetings
E Assistance in finding meeting room space
* Organizing a neighborhood cleanup
E Identifying community resources
E Dealing effectively with the media
The Neighborhood Problem Solver is not a “magic potion" or panacea for ending problems In Salinas. However, City Council Is confident that this new "tool" Is empowering and will assist Salinas residents In improving the quality of lile of their neighborhoods. The Neighborhood Problem Solver Is available on-line at www.cl.salinas.ca.us or at the reference counter of the City's three libraries. Salinas’ residents interested in learning more about the Neighborhood Problpm Solver and its related training can contact Anna Velazquez, Neighborhood Services Coordinator at 758-7229.
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Safes Kids House organized a community planting event on Ssiber Street- .
Jsdyn and Talda are grafillli abatement volunteers
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000865
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