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Proposed sales tax measure headed to November ballot

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After approving three ballot measures in June, Burbank residents will have one more initiative to consider in November.

The Burbank City Council voted unanimously during a meeting on Tuesday to call for a special election on Nov. 6 to ask voters whether a local three-quarter-cent sales tax should be implemented in the city.

Arguments in favor or against the ballot measure must be submitted by July 31 and should be no longer than 300 words. Rebuttal arguments will be accepted until Aug. 10 and cannot exceed 250 words.

Burbank currently does not have a local sales tax but collects 1% of the state’s 7.25% sales tax, according to staff reports.

The proposed general-purpose local sales tax, which council members have discussed and considered for several months, is projected to generate about $20 million annually for Burbank, which city officials would like to use to help address the systemic budget deficit that is before them.

Cindy Giraldo, the city’s financial services director, said that although the city has taken many steps to address the issue — such as voters approving Measure T, which allows Burbank to continue moving no more than 7% of the electric sales — about $12.5 million for the upcoming 2018-19 fiscal year — from its city-owned utility to the General Fund, and implementing labor cost-saving initiatives — city officials would still not have enough money to address the projected funding shortfall of about $28 million by the 2022-23 fiscal year.

In late June, council members discussed several ways Burbank could generate revenue and ultimately decided that a proposed three-quarter-cent sales tax was the best option because they thought it would be fair to businesses, residents and nonresidents, as well as be a reliable source of income.

City officials also had some data provided by the research firm Fairbank, Maslin, Maullin, Metz and Associates, also known as FM3, which concluded Burbank residents would be inclined to support a sales tax measure.

Also on Tuesday, Richard Bernard, a partner with FM3, updated the City Council on the latest resident survey he and his research firm conducted with Burbank residents regarding such an initiative.

Out of 807 registered Burbank voters polled during a survey conducted between June 18 through 24, Bernard said about 69% would support a sales tax measure, which is more than the required 50%, plus 1, vote needed to approve a general-purpose ballot measure.

This was a slight improvement over the 64% of 2,635 registered Burbank voters surveyed from Nov. 28 through Dec. 3 who said they would support a local sales tax.

Bernard added that voters were more inclined to support the ballot measure if it guaranteed some kind of accountability requirements and if it was used locally.

Giraldo said that should voters approve the ballot measure in November, combined with the cost-saving measures already implemented,there is estimated to be an $11-million surplus that could be used to address infrastructure repairs.

anthonyclark.carpio@latimes.com

Twitter: @acocarpio

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