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Measure A, the half-cent sales tax increase

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WHAT:

A special election Tuesday will determine whether Laguna Beach residents are willing to temporarily pay a half-cent more in sales tax to supplement the city’s general fund, depleted by mandatory repairs to infrastructure damaged in the June 1 landslide in Bluebird Canyon.

The increase would mean about 25 cents tacked onto a $50 dinner check.

Measure A will be the only item on the ballot. No arguments against the increase will be on the ballot because none were submitted.

Repairs to the damaged Bluebird Canyon infrastructure will be made whether or not the measure passes. It is other projects and programs that will suffer, city officials said.

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The argument in favor of the increase reads in part: “The City of Laguna Beach is required to replace over $15 million [subsequently estimated to be as much as $18 million] of streets, sewers and storm drains lost in the Bluebird Canyon slide. The City Council has carefully examined the city budget to find areas to cut. By drastically cutting projects and instituting a hiring freeze, $7 million has been found.

“If we do not pass this tax, we will not be able to fill vacant police, fire and lifeguard positions [nor the recently vacated Marine Protection Officer position], and we will delay critical projects.”

WHAT’S BEHIND IT:

The Federal Emergency Management Agency has agreed to compensate the city for about one-third of estimated costs to repair the damage to public facilities, reversing an earlier decision.

“We still have to pass Measure A to cover our costs and to develop the emergency disaster contingency fund,” Mayor Elizabeth Pearson-Schneider said.

The council determined in September that a sales tax increase was a better way to raise the necessary funds than increasing property taxes or floating bonds.

None of the money raised by the tax increase will be used for rebuilding homes damaged or destroyed in the landslide.

Due to state election rules, the council has not stipulated a precise use for the funds raised by the tax increase. Only a bare majority -- 50% plus one -- is needed to pass the increase, because the funds are not restricted to a specific purpose. A two-thirds majority vote would have been needed to pass the increase if funds were specifically earmarked.

But the council can and did state its intention to use the first $6 million -- give or take -- to fund city programs or projects that would otherwise be reduced, delayed or eliminated altogether because of the funds funneled to the emergency and permanent repairs in Bluebird Canyon.

The Laguna Beach Taxpayers Assn. and the Laguna Beach Firefighters Assn. support the tax increase.

Among the projects and cost estimates are the following: Corporate Yard relocation ($4.9 million), Canyon Acres/Atlantic Way storm drain ($1.9 million), Mountain Road to Nyes Place and Cleo Street to Nyes Place street resurfacing ($1.5 million), Upper Bluebird Canyon street repairs ($1.02 million), South Coast Highway storm drains ($440,000), Main Beach boardwalk and stair replacement ($415,000), Diamond Street Beach stair replacement ($250,000), Cerritos Drive retaining wall ($200,000), Circle Way stairs and storm drain ($180,000), Fire Station 4 door enlargement, to allow new equipment to get inside ($140,000) and Brooks Street stair replacement ($110,000).

The term of the proposed tax is six years. If the target amount is reached earlier, the tax can be canceled by the council, but it cannot be extended without another vote of the people.

WHAT NOW:

City Manager Ken Frank recently learned from Assemblyman Chuch DeVore’s office that no bill has been introduced calling for a state landslide insurance program. Initial response from state staff is that landslide insurance might not be viable because there may not be enough people to spread the insurance risk.

WHAT’S SAID:

“I urge everyone to support Measure A,” said former Mayor Kathleen Blackburn. “When I was mayor, we had three landslides, a devastating fire, a major landslide that took two lives and a house slid down a hill. That all happened in eight years.

“A yes vote on Measure A would create a disaster fund, and visitors will share in the funding.”

WHAT’S NEXT:

Election Day. Polling places for Tuesday’s election will be the same as for the past three elections, except for the Laguna Beach Unified School District board room, which will not be available. Voters in that precinct have been reassigned to City Hall. Five parking meters will be bagged in front of City Hall for use by voters. For more information, call the city clerk’s office, (949) 497-0705.

-- By Barbara Diamond

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