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<br />/d-~ <br /> <br />or one-half cent sales tax increases. However, there is no general provision for <br />counties - or cities - to impose a one-eight cent sales tax, other than for the purposes <br />of funding libraries. <br /> <br />SB 203 was introduced to provide San Mateo County with this authority. It received <br />bipartisan support from the legislature and was signed by the Governor. While this law <br />now gives San Mateo County the authority to place a measure on a ballot in 2006, if <br />deemed appropriate, the authority is not limited to 2006 and carries over to future <br />years. The authority in this law is limited to placing a measure on the ballot that raises <br />funds for parks. <br /> <br />Has a Governance Board been chosen? <br />While the intention is to minimize bureaucracy by utilizing an existing board for <br />governance responsibilities such as distribution of funds, auditing and reporting <br />functions, no specific entity has been chosen. Many have mentioned CCAG as the <br />appropriate body. <br /> <br />How can the revenue be spent? <br />The revenue would be dedicated to supporting functions relating to the parks and <br />recreation departments of the cities, county, and special districts. Revenues from the <br />sales tax are flexible so it can be spent on operations, maintenance and recreation <br />activities and programs, although local jurisdictions would have latitude to spend the <br />funds on capital improvements and acquisition. The poll found the voters placed a high <br />value on funding operations and maintenance. <br /> <br />How will the sales tax revenues be distributed? <br /> <br />Through a negotiated process that involved the representatives from the City Managers' <br />group, the County and the San Mateo County Parks and Recreation Foundation, a <br />distribution formula was determined. The table below assumes that administration is <br />taken off the top. Note that the State Board of Equalization charges 5% to administer <br />the tax and the amount for the governing agency's activities has not been determined. <br /> <br />Recipient Amount of Annual Allocation Percentaae <br />Total Revenue (ã2 1/8 cent $16,074,486 100% <br />Estimated Administrative 964,469 6% <br />Costs <br />Total Distribution $15,110,017 100% for City, County and <br /> Special District Allocation <br />Cities $7,857,209 52% <br />County 6,346,207 42% <br />Special Districts 906,601 6% <br />Only Cities and special districts will benefit from annual sales tax growth in <br /> excess of 4%. <br /> <br />The large percentage share proposed for the County is based on the fact that they <br />provide regional parks that serve a different function than municipal parks and are for <br />the benefit of all County residents. <br /> <br />The distribution amount for Redwood City based on the proposed formula would be <br />$805,169 per year. A chart reviewing the allocation amounts for all participating <br />entities is included as Attachment I of this report. <br /> <br />2005 City Agenda format <br />