8.
City Council Work Session
- Meeting Date:
- 06/14/2016
- From:
- Stephanie Smith, Assistant to City Manager
- Department:
Co-Submitter:
TITLE:
Transit Tax Renewal
DESIRED OUTCOME:
Information and discussion
EXECUTIVE SUMMARY:
The Northern Arizona Intergovernmental Public Transportation Authority (NAIPTA) is the transit agency in northern Arizona operating the Mountain Line, Mountain Lift and Mountain Link systems in Flagstaff. NAIPTA also coordinates with Campus Shuttle Service at Northern Arizona University. Established in 2001, NAIPTA has grown into a system that employs more than 75 people and transports nearly 2 million riders a year.
The purpose of this work session discussion is to discuss feedback received on the proposed renewal of the local transaction privilege tax revenues dedicated for public transportation ("transit tax") and review draft ballot language renewing the dedicated sales tax. The Flagstaff City Council has authority to ask City voters whether the transit tax should be renewed. Attached to this staff summary is a memo from NAIPTA General Manager/CEO, Jeff Meilbeck. The memo requests the City Council send a question to voters this November regarding the renewal of the existing transit tax. At the June 14th Work Session, Mr. Meilbeck will present feedback received through the NAIPTA Citizen Review Committee and a recent survey of likely voters.
The purpose of this work session discussion is to discuss feedback received on the proposed renewal of the local transaction privilege tax revenues dedicated for public transportation ("transit tax") and review draft ballot language renewing the dedicated sales tax. The Flagstaff City Council has authority to ask City voters whether the transit tax should be renewed. Attached to this staff summary is a memo from NAIPTA General Manager/CEO, Jeff Meilbeck. The memo requests the City Council send a question to voters this November regarding the renewal of the existing transit tax. At the June 14th Work Session, Mr. Meilbeck will present feedback received through the NAIPTA Citizen Review Committee and a recent survey of likely voters.
INFORMATION:
Tax Authority and Background
The City Charter Article V, Section 2 provides that the City Council shall have the power to levy a transaction privilege tax (also referred to as a sales tax) subject to approval by a majority of the qualified electors voting in the regularly scheduled general election. The City base local transaction privilege tax rate is 2.051% of gross revenues from a taxable activity (with an additional 2% rate on bar/restaurant/lodging businesses). The transit tax was approved by the City electorate via five separate propositions, totals as a .295% rate,and is part of the base rate of 2.051%. The approved propositions dedicate the transit tax revenues for specific public transportation purposes, and impose a "sunset" or expiration date for such tax of June 30, 2020. The applicable propositions are referenced in the City Code, Section 3-05-008-0800.A.5,7,8,9,10.
COUNCIL GOALS:
3) Provide sustainable and equitable public facilities, services, and infrastructure systems in an efficient and effective manner to serve all population areas and demographics
6) Provide a well-managed transportation system
7) Continue to implement the Flagstaff Regional Plan and focus efforts on specific plans
8) Improve effectiveness of notification, communication, and engagement with residents, neighborhoods and businesses and about City services, programs, policies, projects and developments
10) Support and assist the most vulnerable
11) Ensure that we are as prepared as possible for extreme weather events
REGIONAL PLAN:
Goal LU.7. Provide for public services and infrastructure
Goal LU.12. Accommodate pedestrians, bicyclists, transit riders, and private cars to supplement downtown's status as the best-served and most accessible location in the region.
Goal T.1. Improve mobility and access throughout the region.
Goal T.2. Improve transportation safety and efficiency for all modes.
Goal T.7. Provide a high-quality, safe, convenient, accessible public transportation system, where feasible, to serve as an attractive alternative to single-occupant vehicles.
The City Charter Article V, Section 2 provides that the City Council shall have the power to levy a transaction privilege tax (also referred to as a sales tax) subject to approval by a majority of the qualified electors voting in the regularly scheduled general election. The City base local transaction privilege tax rate is 2.051% of gross revenues from a taxable activity (with an additional 2% rate on bar/restaurant/lodging businesses). The transit tax was approved by the City electorate via five separate propositions, totals as a .295% rate,and is part of the base rate of 2.051%. The approved propositions dedicate the transit tax revenues for specific public transportation purposes, and impose a "sunset" or expiration date for such tax of June 30, 2020. The applicable propositions are referenced in the City Code, Section 3-05-008-0800.A.5,7,8,9,10.
COUNCIL GOALS:
3) Provide sustainable and equitable public facilities, services, and infrastructure systems in an efficient and effective manner to serve all population areas and demographics
6) Provide a well-managed transportation system
7) Continue to implement the Flagstaff Regional Plan and focus efforts on specific plans
8) Improve effectiveness of notification, communication, and engagement with residents, neighborhoods and businesses and about City services, programs, policies, projects and developments
10) Support and assist the most vulnerable
11) Ensure that we are as prepared as possible for extreme weather events
REGIONAL PLAN:
Goal LU.7. Provide for public services and infrastructure
Goal LU.12. Accommodate pedestrians, bicyclists, transit riders, and private cars to supplement downtown's status as the best-served and most accessible location in the region.
Goal T.1. Improve mobility and access throughout the region.
Goal T.2. Improve transportation safety and efficiency for all modes.
Goal T.7. Provide a high-quality, safe, convenient, accessible public transportation system, where feasible, to serve as an attractive alternative to single-occupant vehicles.