To: Board of Supervisors
From: Legislation Committee
Report Title: Adopt Support Positions on Propositions 4, 5 and 35
?Recommendation of the County Administrator ? Recommendation of Board Committee
RECOMMENDATIONS:
ADOPT a position of "Support" on Proposition 4, The Safe Drinking Water, Wildfire Prevention, Drought Preparedness, and Clean Air Bond Act of 2024 (the "Climate Bond").
ADOPT a position of "Support" on Proposition 5, Local government financing: affordable housing and public infrastructure: voter approval.
ADOPT a position of "Support" on Proposition 35, Provides Permanent Funding for Medi-Cal Health Care Services.
FISCAL IMPACT:
Proposition 4: According to the Legislative Analyst's Office (LAO), the estimated cost to repay the bond would be about $400 million annually over a 40-year period. Payments would be made from the state General Fund. This would be less than one-half of 1 percent of the state's total General Fund budget. Since the state has to pay interest on the money it borrows, the total cost of the bond would be about 10 percent more (after adjusting for inflation) than if the state paid up front.
The LAO predicts the climate bond would result in reduced local costs for natural resources and climate related activities. This is because local governments could receive funding for some essential facilities locals would otherwise need to fund themselves, such as for wastewater treatment. Alternatively, the LAO theorizes the availability of funding could encourage local governments to spend more money and build larger projects than they otherwise would, such as adding additional amenities to a local park. Additionally, investments made toward completing activities that reduce the risk or amount of damage from disasters could reduce state and local costs for responding to and recovering from those events. Overall, the LAO predicts net savings to local governments.
Proposition 5: According to the LAO, a lower voter approval requirement...
Click here for full text