Mayor and Council Thank Assemblywoman Eloise Reyes for Assembly Bill that Seeks to Return Nearly $1M to City

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Fontana California

FOR IMMEDIATE RELEASE

March 28, 2018

Mayor Warren and City Council Thank Assemblywoman Eloise Reyes for Introducing Bill to Return Funding to Cities


Assemblywoman Eloise Reyes and Mayor Acquanetta Warren
Assemblywoman Eloise Reyes and Mayor Acquanetta Warren


Fontana, Calif.-  Assemblywoman Eloise Reyes plans to correct a previous bill that unintentionally cut Vehicle License Fee (VLF) revenue that funded public safety services in the City of Fontana's annexed areas, among other cities across California. If passed, the proposed bill will return approximately $900,000 annually to Fontana.

In February 2018, Eloise Reyes introduced Assembly Bill 2268 in response to Senate Bill (SB) 89. "The intent of the shift was to protect public safety funding, but SB 89 had the unintended consequences of actually cutting public safety services within newly incorporated cities as well as cities that had annexed inhabited areas," states Mayor Acquanetta Warren. "I appreciate Assemblywoman Reyes' efforts to ensure the City of Fontana receives its fair and equitable share of the VLF revenues."

Every year, Californians pay a Vehicle License Fee (VLF) with vehicle registrations. Before passing SB 89 in 2011, a portion of the VLF revenue was transferred to California's Local Revenue Fund that paid for health and welfare services, with another portion going to the Department of Motor Vehicles. The remaining revenue was allocated to newly incorporated cities, annexations and cities' general funds on a per-capita basis.  

Without a public hearing, SB 89 was passed. The remaining revenue that once went to general funds and newly annexed and incorporated areas was then reallocated to State Law Enforcement Grants. Within the first year, Fontana lost nearly $760,000. According to an article in Western City, 140 annexing cities lost revenue including:

  • Chico - $471,461
  • Temecula - $428,745
  • Santa Clarita - $390,916
  • San Jose - $339,648

For more information about Assembly Bill 2268 visit legislature.ca.gov.

 

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