Laws, Regulations & Annotations

Property Taxes Law Guide – Revision 2013
 

Government Code Provisions

Provisions Relating to Municipal Taxation

TITLE 4. GOVERNMENT OF CITIES

DIVISION 4. FINANCIAL PROVISIONS

Chapter 1. Property Tax Assessment, Levy, and Collection*

Article 1. General

Section 43073

43073. Increase in city rate to pay district taxes. (a) The legislative body of any city which is encompassed entirely within the territory of a special district may elect to pay the district an amount equal to the amount the district would derive from its share of property tax allocations applicable to all property within the incorporated limits of the city.

(b) If a legislative body makes an election pursuant to subdivision (a), the county auditor shall reallocate property taxes due to the special district within the incorporated limits of the city to the city.

The county auditor shall report to the State Controller the amount of property taxes reallocated to a city pursuant to this subdivision, as well as the total amount of property taxes allocated to the city pursuant to Chapter 6 (commencing with Section 95) of Part 0.5 of Division 1 of the Revenue and Taxation Code. No reallocation made pursuant to this subdivision shall affect any allocations of property tax revenues to the city or special district in subsequent fiscal years pursuant to Chapter 6 (commencing with Section 95) of Part 0.5 of Division 1 of the Revenue and Taxation Code.

(c) If a city legislative body makes an election pursuant to subdivision (a), and upon apportionment of taxes by the county, the reallocated amounts shall be paid by the city or transferred by the county auditor to the district.

(d) If the legislative body of a city makes an election pursuant to subdivision (a), the legislative body shall notify the county auditor by no later than the first day of September of the fiscal year in which the election becomes effective.

(e) For purposes of this section, "special district" means any special district where the county board of supervisors act as, or has appointed, the governing body of the districts providing fire or library services to one or more cities or any county library service established under Chapter 2 (commencing with Section 27151) of Division 20 of the Education Code provided for one or more cities, if all property within the city is taxed to support the service.

(f) This section does not apply in any case in which a city is making the payments described in this section to a district on the effective date of this section.

(g) If any additional costs are incurred by a county as a result of an election under this act by a city, the county may collect the costs from the city.

(h) This section shall apply only to cities which are in counties which have a population of 6,000,000 or more.

History.—Added Stats. 1973, Ch. 358, p. 779, in effect August 31, 1973. Stats. 1980, Ch. 1220, in effect September 29, 1980, substituted "the" for "such" after "pay", after "amount" and before the last "city" in subdivision (a), before the second "election" in subdivision (d), after "support" in subdivision (e) and before the second "county" in subdivision (g); substituted "share of property tax allocations applicable to" for "tax on" before "all property" in subdivision (a); substituted the balance of the first sentence after "(a)," in the first paragraph of and added the second paragraph to subdivision (b); substituted the balance of the first sentence after "(a)," in subdivision (c); and, deleted "county assessor, and county tax collector" after "auditor" and deleted the balance of the sentence after "effective" in subdivision (d). Stats. 1981, Ch. 714, in effect January 1, 1982, substituted "the" for "such" before "district" in subdivision (e), and substituted "does" for "shall" in subdivision (f).

Note.—Section 8 of Stats. 1980, Ch. 1220, provided no payment by state to local governments because of this act; however, a local agency or school district may pursue other remedies to obtain reimbursement.

* The provisions of this chapter, except as otherwise noted, were added by Stats. 1949, p. 222, effective October 1, 1949.