The Sales Tax Ballot Measure Informational Presentation, held Wednesday, October 5, addressed the City Tax Initiative, which will be voted on November 8, 2011. City Manager Yvonne Quiring gave a presentation on where the City stands financially and what impact the tax increase will have if passed and what to expect if it doesn’t. About 15 people attended the meeting, many with questions for the Council.

The presentation began with explaining the sources of revenue used to supply the General Fund. Quiring gave a breakdown: Property Taxes ($1.9m), Sales Tax ($670k), Fees for Services $468k (approx. $200k development related), Franchise Fees ($331k) License and Permits ($147k), Grants ($99k), TOT ($65k), Fines and Forfeitures ($62,500).

Next was what services are provided by the General Fund: Police ($3.1m), Fire ($785k), Parks ($100-$150k), Recreation and Pool subsidy ($71 pool $29 rec.), Finance/City Attorney/City Manager/City Council, Community Development (Planning), Public Works (streets, trees, sidewalks).

Quiring explained that over the past couple of years the cost of housing has gone down and with that so have property taxes, cutting into some of the revenue the City once received. Adding to the problem are increases in the cost of both pension and Sheriffs services. Quiring remarked “We went into the year with literally nothing.” The city has cut $2.9 million in costs and used its reserves over the last two years to balance the budget which decreased the General Fund 40%.

On June 1, 2011 Fillmore cut a motorcycle officer and part time gang officer, laid off 12 city employees, cut 18.5% in salaries and benefits to remaining City employees and reduced some expenditures.

But the biggest hit was from the State of California asking for $100-$200 this year of the $2 million expected to be paid to the State to keep the City’s Redevelopment Agency. Adding to that the City has borrowed about $100 million (bonds) against the Redevelopment Agency and must first pay back its debt service.

There is litigation pending between California Redevelopment Association and League of Californian Cities vs. the State of California asking if the State can demand the money, but on May 4th Sacramento Superior Court found that the $2.05 billion the State wants of Redevelopment Funds Agencies throughout the state does not violate the State’s Constitution. Ten Southern California cities and their Redevelopment Agencies are continuing in court to challenging methods used by state lawmakers in the budget process and citing they violated various laws guiding legislative procedures. Cities have called the money a “ransom” payment due to the State threatening to close all Redevelopment Agencies that do not pay. The California Supreme Court intends to decide the case by January.

Fillmore also has a court case pending in the California Supreme Court with the California Board of Equalization; that if settled in the City’s favor could offer some relief, but no one knows how it will be decided or when. But in the mean time the City is trying to get the Board to release the City’s portion of the disputed funds. If not resolved in the City’s favor, the City may go into the FY 2013 with an estimated $1.4 deficit.

Quiring stated possible alternatives if the tax initiative doesn’t pass, such as contracting services with Santa Paula. But there will be fundamental changes in the City’s operations if revenue isn’t enough to meet the needs of the City. Those mentioned were; Cut non-self supporting recreation programs, Police, Fire, close parks, street repair, tree trimming, code enforcement, close the pool.

Of those that came to address the Council some were business owners with concerns that the increase in sales tax will have on their business. One was Charles Morris who owns a photography studio in town. He told the Council that he can not simply raise his prices to cover the added tax and that he must “eat the added cost.” Then asked if the tax would sunset if the State raises the State Tax. Mayor Gayle Washburn tried to answer his question and said that since the ballots had already been printed, that a change could not be made like the one Morris had asked about.

Another person reminded the Council that California has the highest taxes in the nation and another asked what the cities that are not having financial problems were doing that Fillmore wasn’t and added that she had moved here in the 90’s and stated “Let’s find out what works because Fillmore is stagnant.” The Council responded by saying those towns that were doing well, like Indian Springs, are retirement communities that do not have schools and such things as golf courses are private.

There was a discussion of the increase when buying large ticket items like a new car. To which Councilmember Patti Walker added that she had done the math and a $40,000 car purchase would come to an extra $500 in tax if the initiative were passed.

Doug Tucker, who recently resigned from the Planning Commission, asked the Council if the budget was available, and was told that it wasn’t by the City Manager. He then asked that when it is completed, there be more specific items on it.

Former Fire Chief Pat Askren reminded the Council that he has lived in Fillmore since 1946 and remembers when there was basically nothing downtown. The city, in order to attract tourism, implemented codes that require one third of the commercial business on Central be retail. Askren told the Council, “You may not want to change that….remember what the downtown was like in 1970.” The Council was also told that because men loiter around Central, some tourists will not walk through the downtown area. Askren went on to say that the town gave low cost bus fares out of town and those using them then buy everything out of town before returning, adding, “We have to think of some other way than taxing.” Askren reminded the Council that the volunteer Fire Department is needed and that the town cannot make it with just one fire engine.

The Fire Department budget is $781,237 which includes one Fire Chief and three Captains (full time), 22 volunteer Paramedics (stipends $275 per 24 hr shift) and 44 volunteer Firefighters (stipends $50 per 24 hr shift).

During January 2010 thru December 2010 the City’s Fire Dept responded to 1,048 calls. From January 2011 thru September 2011 they responded to 947 calls.

The County Fire Station (#27) on Old Telegraph Road has; 1 Captain, 1 Engineer and 1 Firefighter, services Toland Rd. to the west thru Cavin Rd to the east and Bardsdale, not including Fillmore. In 2011 this station serviced 180 calls and has a budget of $2.7 million.

The County Station (#28 Piru) has; 1 Captain, 1 Engineer and 1 Firefighter, responded to 120 calls in 2010, services everything from Cavin Rd west thru LA County line to the east, has a budget of $2.1 million.
There were some announcements. One was that on October 22nd at 7pm the Towne Theatre will be open for one day and showing the movie Grease. It was suggested women wear their Poodle Skirts.

Also this Saturday, October 8th starting at 5:30pm (boarding), the Fillmore Firefighters Foundation will be holding a fundraiser, Rescue 91 Express. This event starts with a train ride aboard the Fillmore and Western Railway to “Ichabog” a private pumpkin patch. Once there the evening festivities include a Western BBQ dinner (Tri-Tip,& chicken, chili beans, potato salad, garlic bread and lemonade) no host bar, dancing, light show, hayride, raffle and ladder truck display. The evening ends with a ride back to Fillmore at 10pm. The cost is $40 per person. To purchase tickets call (805) 732-1101 or visit the Fillmore City Fire Dept at 711 Sespe Place or info@Fillmore.org.