Automobile Club of Southern California Announces Support for Prop. 22

For Immediate Release:

August 30, 2010

Contact: Kathy Fairbanks, Yes on 22
(916) 443-0872

Prop. 22 Stops State Raids of Local Government and Transportation Funds and Protects Local Public Safety, Emergency Response, Transportation, Transit and Other Vital Local Services

Sacramento, CA – The Yes on 22 campaign, Californians to Protect Local Taxpayers and Vital Services, announced today that the Automobile Club of Southern California has endorsed Prop. 22 on the November ballot.  The Auto Club is the nation’s largest AAA affiliate with over six million members.

Proposition 22 is supported by more than 200 public safety, local government, transportation, business, labor, taxpayer and public transit leaders. Click here for a complete list of supporters.  Prop. 22 would prevent the State from taking, diverting or borrowing local government, transportation and public transit funds.

“People who are tired sitting in traffic and driving over potholes should vote Yes on 22,” said Steve Finnegan, government affairs manager, Automobile Club of Southern California. “Voters have repeatedly said that gas taxes paid at the pump should be used to improve our roads, to relieve traffic congestion and to fix transportation infrastructure. Prop. 22 would close loopholes to ensure our gas taxes are used for transportation improvements.”

California voters have overwhelmingly passed measures in previous elections to restrict state raids of local government funds, as well as to dedicate gasoline taxes to transportation and public transit improvements and services.  Despite this, State politicians have exploited loopholes in the law and used questionable tactics to borrow and raid approximately $5 billion in local government, transit and redevelopment funds in the 2009/10 budget cycle and billions more in past years. Coupled with the downturn in the economy, state raids and borrowing of local funds are contributing to severe cutbacks in local police and fire, parks, libraries, street and road repair, public transit and other local services.

If passed, Prop. 22 will:

• Prohibit the state from borrowing local government property tax funds which are vital for public safety and other local services.
   
• Prohibit the state from taking or borrowing taxes paid on gasoline, which currently funds city, county and state road, highway, transit and other transportation improvements and services.
   
• Prevent the State from redirecting or diverting locally levied taxes, including: parcel taxes; sales taxes; utility user taxes; Transit Occupancy Taxes which include taxes on hotel/motel rooms and rental cars; and other locally imposed taxes that are currently passed by local governments and/or local voters and dedicated to cities, counties and special districts.
   
• Prohibit the State from taking, borrowing or redirecting Public Transportation Account (PTA) revenues dedicated to public transit.
   
• Add additional constitutional protections to prevent the state from raiding redevelopment funds or shifting redevelopment funds to other state purposes.