Vote Smart's Synopsis:

Vote to pass a bill that authorizes counties with a population of 1.5 million or more to retain the 2 percent hotel/motel tax, 1 percent rental car tax, and 0.5 percent restaurant tax, originally authorized to pay off general obligation bonds for the construction of stadium facilities, and directs the revenue for such taxes to be deposited into a special fund to be used for regional centers, museums, heritage and preservation programs, the arts, low-income housing, community development, and human services.

Highlights:

-Requires the revenue collected by the 2 percent hotel/motel tax to be allocated as follows (Sec. 1):

-For revenue in excess of $5.3 million collected from January 1, 2001 through December 31, 2012, 70 percent for museums, heritage and preservation programs, and the arts, and 30 percent for stadium purposes (unchanged); -For all revenue collected from January 1, 2013 through December 31, 2015:
-Existing law: Enough to retire the debt on the stadium and the remaining revenue shall be used for museums, heritage and preservation programs, and the arts; and -New law: Enough to retire the debt on the stadium and the remaining revenue shall be deposited into the stadium and exhibition center account, which is used for the payment of principal of and interest on the bonds, and the remaining funds shall be deposited into the youth athletic facility account for the purposes of grants or loans to cities, counties, and qualified nonprofit organizations for community outdoor athletic facilities;
-For all revenue collected from January 1, 2016 through December 31, 2020, all revenue shall be deposited in the stadium and exhibition center account (unchanged); and -For all revenue collected on and after January 1, 2021:
-Existing law: at least 37.5 percent of revenue shall be used for museums, heritage and preservation programs, and the arts; and -New law: all revenue shall be deposited into the special county arts, regional center, low-income housing, and community development fund established by this Act.

-Specifies that at least 75 percent of the revenue collected by the 1 percent rental car tax shall be deposited into the Special County Arts, Regional Center, Low-Income Housing, and Community Development Fund established by this Act after the debt on the stadium has been fully retired (Sec. 2). -Specifies that all of the revenue collected by the 0.5 percent restaurant tax shall be deposited into the Special County Arts, Regional Center, Low-Income Housing, and Community Development Fund established by this Act after the debt on the stadium has been fully retired (Sec. 3). -Prohibits counties from imposing the 0.5 percent restaurant tax beginning January 1, 2016 (Sec. 3). -Establishes the Special County Arts, Regional Center, Low-Income Housing, and Community Development Fund for the revenue collected by the 2 percent hotel/motel tax, 1 percent rental car tax, and 0.5 percent restaurant tax according to the schedules specified in the above highlights. Counties are required to allocate the funds in the account as follows (Sec. 4):

-For the years 2012 through 2015:
-8 percent for museums, heritage and preservation programs, and the arts; -2.5 percent for regional centers in the unincorporated area and cities with populations of less than 400,000; -For deposit into a reserve account, 20 percent in 2013, 28 percent in 2014, and 35 percent in 2015; -For deposit into the community preservation and development authority account for residents, property owners, employees, or business owners of an impacted community to form community preservation and development authorities: $1 million in 2012, $2 million in 2013, and $3 million in 2014 and 2015; -$8 million per year to nonprofit organizations or public housing authorities for affordable workforce housing near or at transit stations; and -The remainder for human services;
-For the years 2016 through 2020:
-33 percent for museums, heritage and preservation programs, and the arts; -10 percent for regional centers in the unincorporated area and cities with populations of less than 400,000; -$3 million per year to the community preservation and development authority account; and -$8 million per year to nonprofit organizations or public housing authorities for affordable workforce housing near or at transit stations;
-For 2021 and each year thereafter:
-22 percent for museums, heritage and preservation programs, and the arts; -25 percent for regional centers in the unincorporated area and cities with populations of less than 400,000; -$3 million per year to the community preservation and development authority account; and -The remainder to nonprofit organizations or public housing authorities for affordable workforce housing near or at transit stations.

-This is a substitute bill sponsored by the House Committee on Finance.

Full Bill Text