Council Votes 9-0 (Motion By Austin) To Put General ("Blank Check") Sales Tax Hike To Raise LB Tax to 10% On June Ballot (Signal Hill & L.A. At 9%, Most OC Cities At 8%); Two More Council Votes Required In Next Two Weeks

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Council Votes 9-0 (Motion By Austin) To Put General ("Blank Check") Sales Tax Hike To Raise LB Tax to 10% On June Ballot (Signal Hill, Lakewood & L.A. At 9%, Most OC Cities At 8%); Two More Council Votes Required In Next Two Weeks

No Councilmember Adds Legal Guarantees To Use Revenue For Police, Fire Or Infrastructure; Mungo Proposes & Supernaw Applauds Adding Five Person Citizen Oversight Committee Without Legal Guarantees

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(Feb. 17, 2016) -- As seen LIVE on Feb. 16, the City Council voted 9-0 (motion by Councilman Al Austin) to direct the City Attorney to draft a proposed general sales tax increase ("blank check" type) measure for the June 2016 ballot that, if approved by 50%+1 of LB voters, would raise LB's sales tax on nearly all Long Beach purchases to 10% (with adjoining Signal Hill, Lakewood & L.A. at 9% and most OC cities are 8%.)

Mayor Garcia and several Councilmembers said they would use the new revenue for police, fire and infrastructure, but none made a motion to provide taxpayers with legal guarantees of those uses by specifying them in the tax measure itself, a step allowed under taxpayer protective Prop 218 with a 2/3 vote of the people.

Instead, Councilwoman Stacy Mungo (who on previous occasions said she was working to prevent sales tax "leakage" to surrounding cities) proposed adding a five-person "citizen advisory committee" that could make findings and issue recommendations [but would have no legal power to change how current and future Councils actually spend the money.] She was immediately supported by Councilman Daryl Supernaw.

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Mayor Garcia said if the tax increase passes, his upcoming budget would "focus" on public safety and infrastructure [no commitment in numerical or verbal terms.]

As proposed, the tax increase would be halved in six years [when nearly all Council incumbents would either be gone or nearly exiting] the Council and would "sunset" (end) in ten years. [No Councilmembers explained how city government costs would decrease in six years or ten years and how items funded by the 10% tax could continue without voters extending the tax.]

Several Councilmembers used terminology saying their proposed general sales tax increase would give voters a "choice."

Public testimony was unanimously opposed, including Gary Shelton (noted sales tax is regressive, has greatest impact on poor and urged considering different taxes), realtor Joe Sopo (noted illusory six year reduction/ten year sunset), Larry Boland (said Council hadn't explored cost reductions and cited some) and John Deats (called tax an attack on seniors and those on fixed incomes, and wasn't business friendly, could send consumers to neighboring cities and OC.) No representative of LB's organized business community (some of whom spoke just weeks ago against a Council-imposed minimum wage beyond state levels) opposed the Council proposed consumer-paid tax increase.

Two more Council votes -- one likely at a specially scheduled Jan. 23 Council meeting and another a week thereafter -- are required to put the item on the ballot.