Agenda - Cornelius

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City of Cornelius Agenda Report To: Honorable Mayor and Members of the City Council From: Rob Drake, City Manager Date: July 16, 2012 Re: Work Session - Gas Tax Initiative Summary: The City Council approved a City Motor Vehicle Fuel Tax on August 10, 2009 and referred it to a public vote for the March 9, 2010 special election. Voters approved the new motor vehicle tax by a 55% yes vote. Background/Problem Discussion: After the voters approved the new tax, one of the fuel dealers, Cornelius Fast-Serv, challenged the enactment date of the fuel tax ordinance in Washington County Circuit Court and subsequently an appeal to the Oregon Court of Appeals. In both cases, the Courts have ruled in the favor of the City of Cornelius. A similar motor fuel tax enacted by the City of Sisters has been upheld by the Deschutes County Circuit Court and Oregon Court of Appeals. After the motor fuel tax was approved by Cornelius voters in March 2010, the motor fuel dealers in Cornelius initiated a petition to compel another election on the same motor fuel ordinance. The petition and signatures were not approved in time for the November 2010 General Election, so the City Council decided to place the motor fuel tax ordinance on the November 2012 General Election ballot. Alternatives/Financial Implications: The voters of Cornelius must decide the fate of the motor fuel tax at the November 2012 General Election. By placing the measure on the upcoming November 2012 General Election ballot, the City of Cornelius will not be required to pay extra charges to hold an election. Recommendation: Listen to the City Attorney’s explanation of the ballot measure and direct staff to place the approved initiative on the November 2012 General Election ballot. Exhibit: Copy of Initiative Ballot Title.
{00104810; 1 } CITY OF CORNELIUS INITIATIVE BALLOT TITLE FOR REPEAL OF CITY FUEL TAX CODE CHAPTER 3.15 CAPTION: Cornelius Motor Vehicle Fuel Tax Repeal by Initiative Petition QUESTION: Shall City of Cornelius repeal motor vehicle fuel tax approved by voters? SUMMARY: The City Council adopted Ordinance No. 910 on August 10, 2009. It imposed a $0.02 per gallon tax on motor vehicle fuel sold in the City. The ordinance also ended the $2.25 monthly streetlight fee. The streetlight fee will end after motor vehicle fuel tax net revenues reach $100,000. The ordinance requires use of fuel tax revenue for construction, financing, maintenance, design, repair, operation and use of City streets. Fuel tax revenue will be used to “match” state and federal grants. The City plans to use the revenue for specific street construction projects and annual repair of substandard streets. The fuel tax ordinance was referred to City voters by a referral petition. City voters approved the ordinance at the March 9, 2010 election. The ordinance took effect on April 1, 2010. Collection of the tax began on June 14, 2010. The fuel tax is City Code Chapter 3.15. If voters approve this measure, the fuel tax will be repealed. If voters reject this measure, the fuel tax will continue in effect.
Page 1 and 2: CITY OF CORNELIUS CORNELIUS CITY CO
Page 3 and 4: City of Cornelius Agenda Report To:
Page 5 and 6: City of Cornelius Resolution No.201
Page 7 and 8: ecommendations for policies, laws,
Page 9 and 10: City of Cornelius-Draft Public Work
Page 11 and 12: Participate in the preparation and
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Agenda - Cornelius

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