20250SB__033396CHP INTRODUCED 2025-02-12 AMENDED_ASSEMBLY 2025-07-15 PASSED_ASSEMBLY 2025-09-09 PASSED_SENATE 2025-09-10 ENROLLED 2025-09-12 CHAPTERED 2025-10-13 APPROVED 2025-10-13 FILED 2025-10-13 2025 SB CHP CHP 0 Introduced by Senator Laird (Coauthor: Senator Limón) (Coauthors: Assembly Members Addis and Hart) LEAD_AUTHOR SENATE Laird COAUTHOR SENATE Limón COAUTHOR ASSEMBLY Addis COAUTHOR ASSEMBLY Hart

An act to add

Chapter 3.83 (commencing with

Section 7294.5) to

Part 1.7 of Division of the Revenue and Taxation Code, relating to taxation. taxation Transactions and use taxes: San Luis Obispo Council of Governments. Existing law authorizes various local governmental entities, subject to certain limitations and approval requirements, to levy a transactions and use tax for general or specific purposes, in accordance with the procedures and requirements set forth in the Transactions and Use Tax Law, including a requirement that the combined rate of all taxes that may be imposed in accordance with that law in any county not exceed 2%.

This bill would authorize the San Luis Obispo Council of Governments, by an ordinance adopted by the council, to levy a tax pursuant to the Transactions and Use Tax Law at a rate not to exceed 1%, for general and special purposes, subject to voter approval on or after January 1, 2026, and before January 1, 2032. The bill would authorize the board to exceed the 2% limit described above to impose the retail transactions and use tax. This bill would make legislative findings and declarations as to the necessity of a special statute for the County of San Luis Obispo.

MAJORITY NO NO NO NO NO NO NO NO NO NO The people of the State of California do enact as follows:

SECTION 1.

Chapter 3.83 (commencing with

Section 7294.5) is added to

Part 1.7 of Division of the Revenue and Taxation Code , to read: 3.83. San Luis Obispo Council of Governments Transactions and Use Tax 7294.5. (

a) Notwithstanding any other law, the San Luis Obispo Council of Governments, established pursuant to

Chapter 5 (commencing with

Section 6500) of Division of Title of the Government Code, may impose a transactions and use tax for general or specific purposes at a rate of no more than percent that would, in combination with all taxes imposed in accordance with

Part 1.6 (commencing with

Section 7251), exceed the limit established in

Section 7251.1, if all of the following requirements are met:

(1) The San Luis Obispo Council of Governments adopts an ordinance proposing the transactions and use tax by the applicable voting approval requirement.

(2) The ordinance proposing the transactions and use tax is submitted to the electorate and is approved by the voters voting on the ordinance by the applicable voting approval requirement in accordance with the California Constitution.

(3) The ordinance proposing the transactions and use tax is approved by the voters on or after January 1, 2026, and before January 1, 2032.

(4) The transactions and use tax conforms to the Transactions and Use Tax Law (Part 1.6 (commencing with

Section 7251)), other than

Section 7251.1. (

b) Notwithstanding

Section 7251.1, a transactions and use tax rate imposed pursuant to subdivision (

a) shall not be considered for purposes of the combined rate limitation established by

Section 7251.1.

SEC. 2. The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of

Section of

Article IV of the California Constitution because of the unique fiscal pressures in the County of San Luis Obispo.