2130 / 56.1% Yes votes ...... 1665 / 43.8% No votes

See Also: Index of all Measures

MEASURE Z

A YES vote on this measure is a vote in favor of increasing existing transient occupancy tax levied on occupancy of tourist accommodations within the City, and in favor of increasing existing business and professions tax levied on businesses and professions which transact business in the City of South Lake Tahoe.

A NO vote on this measure is a vote against increasing tax paid by tourist from its present rates of 10% - 12%, and against increasing the business and professions tax rates paid for doing business in the City of South Lake Tahoe.

If enacted, the increase in existing transient occupancy tax would be paid by persons occupying accommodations within the City on a transient basis as defined by existing City ordinance. All tourist accommodations within the City would collect an additional $1.00 per occupied room night for 4 years only. Under certain conditions, up to $1.50 per occupied room night could be collected. Tourist accommodations presently collect a tax of 10% of the room rate outside the Redevelopment Area, and 12% on newly constructed, or rehabilitated properties within the Redevelopment area. It is projected, based upon 2000-2001 collections that approximately $900,000 per year would be raised at the $1.00 per occupied room night rate. It is further estimated, based upon 2000-2001 collections that up to approximately $450,000 would be raised if the additional charge of up to 50¢ per occupied room night is assessed. Up to an additional 50¢ per occupied room night may be assessed by resolution of the City Council if, after holding a public hearing, the City Council finds that the additional tax is needed as a result of events which result in revenue losses or expenses to the City caused by circumstances such as natural or man-made disasters, or state funding cuts in any fiscal year exceeding $200,000. The additional occupied room night taxes shall be of no further force and effect after October 31, 2006.

If enacted, businesses classified within the following schedules will pay business license fees per $1,000 of gross receipts as follows:

Schedule A: 1.04 Schedule B: 1.56 Schedule C: 2.08 Schedule D: 2.60 Schedule E: 3.12

Business taxes (license fees) imposed by this measure and administrative fees will not exceed in total the sum of $3,000 for any business location in any calendar year. Penalties and interest will be in addition to business license fees and administrative fees. The business license fee rates, administrative fees and maximum rates specified in Measure Z will increase annually on July 1st by an amount equal to the lesser of 3% or the change in the San Francisco/Oakland All Urban Consumer Price Index published by the U.S. Bureau of Labor Statistics, or any successor to that index, between the previous April and March of the year in which the calculation is performed.

If enacted, the increase in the existing business and professions tax would be paid by those transacting business in the City of South Lake Tahoe, as defined by existing City ordinance. In fiscal year 2000-2001, more than 3,300 business licenses were active in the City of South Lake Tahoe. Based on 2000-2001 reported gross revenues, it is estimated that nearly 70% of business license holders would pay an additional Fifty Dollars ($50) or less. It is projected, based upon 2000-2001 collections that approximately $430,000 would be raised the first year the measure is enacted. Thereafter, the amount raised would be subject to a cost of living adjustment not to exceed 3% each year.

If a majority of the qualified electors voting on the measure vote YES, the increases in transient occupancy tax and business and professions tax may take effect immediately. If a majority of the qualified electors vote NO, the proposed increases will not be levied.

This measure is a general tax, the proceeds of which are under the control and direction of the locally elected members of the City Council. The use of the proceeds in not specifically limited, but the uses must be consistent with law and for a public purpose.

This impartial analysis is submitted to the voters as required by Section 9280 of the Elections Code.

The above statement is an impartial analysis of Measure Z with accompanying ordinance changes. If you desire a copy of the measure, please call the Election Official?s office at (530) 621-7480 or the City Clerk at (530) 542-6004 and a copy will be mailed to you at no cost.

Tahoe Tribune

• Big bucks in council race 10/29/02
• Measure Z opponents organize 10/22/02
• City counting on Measure Z 10/4/02
• Veterans would be benefactors of county measure 10/8/02

Measure Z is backed by a grass roots coalition of local organizations and individuals. Here's why.

In 1993 the State took 2 million dollars in yearly raxes from South Lake Tahoe. The City has survived by short-term actions such as delaying street repairs, not hiring needed employees, and paying low wages resulting in high employee turnover.

The present situation is that further cost cutting must come from essential services. Since the Fire and Police Departments make up most of the budget, any further cuts will have to come from those areas, as well as from snow removal and even senior programs. Your yes vote is necessary to maintain City services that we all need.

A coalition worked for months on a plan to keep the City solvent while we finish redevelopment, grow and diversify the local economy and revenue base. The coalition includes the South Lake Chamber of Commerce, Board of Realtors, Senior citizens, Lodging Association, Police and Fire Chiefs, and SLT Police Officers and Fireman's Associations. They all urge your yes vote.

This measure isn't directed at local residents. It places the burden on tourism and businesses. The $1 per night occupancy fee has the support of the Lodging Association. The tourists will pay this fee for the services needs they generate. The sunset clause will have it go away in 4 years, so it is not a permanent fee. The business license fee will affect 69% of the businesses by $50 or less. The increased cap will have businesses with the highest gross revenues pay their fair share. The Chamber finds all of these changes reasonable.

In the wake of 9/11 and high fire danger here, we need to at least maintain current levels of police and fire protection. Your yes vote will make that happen.

s/ Molly Blann, President SLT Chamber of Commerce

s/ Candice Sylva/President SLT Police Officer's Association

s/ Charles White, President SLT Senior Citizen's Association

s/ Eric Eymann, Vice-President SLT Lodging Association

s/ Russ Dow, President South Lake Tahoe Fireman's Association

(No arguments against Measure Z were submitted)