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Home My WebLink AboutRESO 10065 Resolution No. 10065 Resolution of the Council of the City of Palo Alto Calling an Election for November 8, 2022 for Submittal to the Qualified Electors of the City a Measure Affirming the City’s Natural Gas Utility General Fund Transfer R E C I T A L S A. Pursuant to the City of Palo Alto Charter, Article VII, Section 2 (Public Utilities Revenue) the City of Palo Alto has had a decades-long practice of annually transferring funds from the natural gas utility to the general fund to fund general city services. B. In 2021, in the case of Green v. City of Palo Alto, Santa Clara County Superior Court No. 16CV300760, the Superior Court determined that voter approval is required with respect to a portion of the transferred funds that are generated from retail natural gas rates. C. The natural gas utility transfer is an important part of funding for basic City services such as roads, parks, libraries, climate change reduction, and police, fire, emergency medical, and 9-1-1 response. Affirming the continuation of the City’s long-standing transfer practice does not raise natural gas rates above current levels. D. A proposed ordinance attached hereto and incorporated herein by reference as Attachment “A” (the “Ordinance”) would amend the Palo Alto Municipal Code to affirm Palo Alto’s existing and decades-old practice of annually transferring up to 18% of the gross revenues of the gas utility (generated by retail natural gas rates) to the general fund to support general city services. E. By its Resolution No. 10045 the City Council called a general municipal election for November 8, 2022 (“Election”). F. Pursuant to Government Code Section 53724 and Election s Code Section 9222, the City Council desires to submit the Ordinance to the voters of the City. The City Council of the City of Palo Alto RESOLVES as follows: SECTION 1. Findings. The City Council finds and determines that each of the findings set forth above are true and correct. SECTION 2. General Tax Election. The City Council proposes to impose the general tax set forth in the Ordinance and to present this proposal to the voters on November 8, 2022. SECTION 3. Measure. Pursuant to Elections Code Section 9222, the City Council hereby submits the Ordinance to the voters at the Election and orders the following question to be submitted to the voters at the Election: DocuSign Envelope ID: D2949F4E-4780-418C-A725-F4EFE525135C 2 Shall the measure affirming the City of Palo Alto’s existing and decades-old practice of annually transferring no more than 18% of the gross revenues from the City’s natural gas utility (generated by the City’s retail natural gas rates) to its general fund to support general city services such as roads; parks; libraries; climate change reduction; police, fire, emergency medical, and 9-1-1 response; providing approximately $7 million annually in existing revenues until ended by voters, be adopted? YES NO This question requires the approval of a majority of those casting votes. SECTION 4. Adoption of Measure. The measure to be submitted to the voters is attached to this Resolution as Attachment A and incorporated herein by this reference. SECTION 5. Notice of Election. Notice of the time and place of holding the Election is hereby given, and the City Clerk is authorized, instructed and directed to give further or additional notice of the Election, in time, form and manner as required by law. SECTION 6. Impartial Analysis. Pursuant to Elections Code Section 9280, the City Council hereby directs the City Clerk to transmit a copy of the measure to the City Attorney. The City Attorney shall prepare an impartial analysis of the measure, not to exceed 500 words in length, showing the effect of the measure on the existing law and the operation of the measure, and transmit such impartial analysis to the City Clerk on or before August 23, 2022. SECTION 7. Ballot Arguments. Pursuant to Elections Code Section 9286 et. seq., August 16, 2022 at 5:00 p.m. shall be the deadline for submission of arguments in favor of, and arguments against, any local measures on the ballot. If more than one argument for and/or against is received, the priorities established by Elections Code Section 9287 shall control . SECTION 8. Rebuttal Arguments. The provisions of Elections Code Section 9285 shall control the submission of any rebuttal arguments. The deadline for filing rebuttal arguments shall be August 23, 2022 at 5:00 p.m. SECTION 9. Consolidation Request. The Council of the City of Palo Alto requests the governing body of any other political subdivision, or any officers otherwise authorized by law, to partially or completely consolidate such elections and the City Council consents to such consolidation. The Council requests the Board of Supervisors of Santa Clara County to include on the ballots and sample ballots, all qualified measures submitted by the City Council to be ratified by the qualified electors of the City of Palo Alto. The Council acknowledges that the Election will be held and conducted according to procedures in the Elections Code, including Section 10418. SECTION 10. Request for County Services. Pursuant to Section 10002 of the Elections Code, the Council of the City of Palo Alto hereby requests the Board of Supervisors of Santa Clara County to permit the Registrar of Voters to render services to the City of Palo Alto relating to the DocuSign Envelope ID: D2949F4E-4780-418C-A725-F4EFE525135C 3 conduct of Palo Alto’s General Municipal and Special Elections which are called to b e held on Tuesday, November 8, 2022. The services shall be of the type normally performed by the Registrar of Voters in assisting the clerks of municipalities in the conduct of elections including, but not limited to, checking registrations, mailing ballot s, hiring election officers and arranging for polling places, receiving absentee voter ballot applications, mailing and receiving absent voter ballots and opening and counting same, providing and distributing election supplies, and furnishing voting machines. SECTION 11. Transmittal of Resolution. The City Clerk is hereby directed to submit forthwith a certified copy of this resolution to the Santa Clara County Board of Supervisors and to the Registrar of Voters. INTRODUCED AND PASSED: AUGUST 10, 2022 AYES: BURT, CORMACK, DUBOIS, FILSETH, KOU, STONE NOES: TANAKA ABSENT: ABSENTIONS: ATTEST: APPROVED: _____________________________ ______________________________ City Clerk Mayor ______________________________ APPROVED AS TO FORM: City Manager _____________________________ ______________________________ City Attorney Director of Administrative Services DocuSign Envelope ID: D2949F4E-4780-418C-A725-F4EFE525135C 4 Attachment A Ordinance No. _____ Ordinance of the Council of the City of Palo Alto Amending Chapter 2.28 (Fiscal Procedures) of Title 2 of the Palo Alto Municipal Code to Authorize the City Council to Continue to Annually Transfer from the Natural Gas Utility to the General Fund an Amount Equal to 18% of the Gross Revenues of the Natural Gas Utility, Generated by the City’s Retail Natural Gas Rates The People of the City of Palo Alto do ordain as follows: SECTION 1. Chapter 2.28 of the Palo Alto Municipal Code is hereby amended by adding Section 2.28.185 as follows: Chapter 2.28 FISCAL PROCEDURES 2.28.185 Natural Gas Utility Transfer Each fiscal year the City Council may transfer from the natural gas utility to the general fund an amount equal to 18% of the gross revenues of the gas utility received during the fiscal year two fiscal years before the fiscal year of the transfer. At its discretion, the City Council may decide to transfer a lesser amount. The projected cost of the transfer shall be included in the City’s retail natural gas rates as part of the cost of providing gas service. SECTION 2. General Tax. Proceeds of the tax imposed by this Ordinance shall be deposited in the general fund of the City and shall be available for any legal purpose. SECTION 3. Amendment or Repeal. The City Council may repeal Section 2.28.185 of the Palo Alto Municipal Code or amend that Section without a vote of the people except that any amendment to Section 2.28.185 that increases the amount or rate of tax due from any person beyond the amounts and rates authorized by this Ordinance may not take effect unless approved by a vote of the people. SECTION 4. Severability. If any section, subsection, sentence, clause, phrase, or portion of this Ordinance is for any reason held to be invalid or unenforceable by a court of competent jurisdiction, the remaining portions of this Ordinance shall nonet heless remain in full force and effect. The people hereby declare that they would have adopted each section, subsection, sentence, clause, phrase, or portion of this Ordinance, irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases, or portions of this Ordinance be declared invalid or unenforceable. SECTION 5. Effective Date. This ordinance shall be effective only if approved by a majority of the voters and shall go into effect immediately after the vote is declared by the City Council. DocuSign Envelope ID: D2949F4E-4780-418C-A725-F4EFE525135C 5 Attachment A SECTION 6. Execution. The Mayor is hereby authorized to attest to the adoption of this Ordinance by the voters of the City by signing where indicated below. I hereby certify that the foregoing Ordinance was PASSED, APPROVED and ADOPTED by the People of the City of Palo Alto voting on the 8th day of November, 2022. ATTEST: __________________________ ___________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED: ___________________________ ___________________________ City Attorney City Manager ___________________________ Director of Administrative Services DocuSign Envelope ID: D2949F4E-4780-418C-A725-F4EFE525135C Certificate Of Completion Envelope Id: D2949F4E4780418CA725F4EFE525135C Status: Completed Subject: Please DocuSign: RESO 10065 - Natural Gas Utility General Fund Transfer Source Envelope: Document Pages: 5 Signatures: 5 Envelope Originator: Certificate Pages: 2 Initials: 0 Vinhloc Nguyen AutoNav: Enabled EnvelopeId Stamping: Enabled Time Zone: (UTC-08:00) Pacific Time (US & Canada) 250 Hamilton Ave Palo Alto , CA 94301 Vinhloc.Nguyen@CityofPaloAlto.org IP Address: 199.33.32.254 Record Tracking Status: Original 8/11/2022 9:28:24 AM Holder: Vinhloc Nguyen Vinhloc.Nguyen@CityofPaloAlto.org Location: DocuSign Security Appliance Status: Connected Pool: StateLocal Storage Appliance Status: Connected Pool: City of Palo Alto Location: DocuSign Signer Events Signature Timestamp Molly Stump Molly.Stump@CityofPaloAlto.org City Attorney City of Palo Alto Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 174.194.133.36 Signed using mobile Sent: 8/11/2022 9:51:05 AM Viewed: 8/11/2022 11:40:51 AM Signed: 8/11/2022 11:48:27 AM Electronic Record and Signature Disclosure: Not Offered via DocuSign Kiely Nose Kiely.Nose@CityofPaloAlto.org Director, Administrative Services/CFO City of Palo Alto Security Level: Email, Account Authentication (None) Signature Adoption: Uploaded Signature Image Using IP Address: 174.194.209.11 Sent: 8/11/2022 11:48:28 AM Viewed: 8/11/2022 1:53:14 PM Signed: 8/11/2022 1:53:43 PM Electronic Record and Signature Disclosure: Not Offered via DocuSign Ed Shikada Ed.Shikada@CityofPaloAlto.org Ed Shikada, City Manager City of Palo Alto Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 199.33.32.254 Sent: 8/11/2022 1:53:44 PM Viewed: 8/11/2022 3:29:58 PM Signed: 8/11/2022 3:30:17 PM Electronic Record and Signature Disclosure: Not Offered via DocuSign Pat Burt pat@patburt.org Mr Security Level: Email, Account Authentication (None)Signature Adoption: Pre-selected Style Using IP Address: 98.37.159.0 Sent: 8/11/2022 3:30:18 PM Viewed: 8/11/2022 7:27:59 PM Signed: 8/11/2022 7:34:42 PM Electronic Record and Signature Disclosure: Not Offered via DocuSign Signer Events Signature Timestamp Lesley Milton Lesley.Milton@CityofPaloAlto.org City Clerk Security Level: Email, Account Authentication (None)Signature Adoption: Pre-selected Style Using IP Address: 199.33.32.254 Sent: 8/11/2022 7:34:43 PM Viewed: 8/12/2022 11:39:06 AM Signed: 8/12/2022 11:39:12 AM Electronic Record and Signature Disclosure: Not Offered via DocuSign In Person Signer Events Signature Timestamp Editor Delivery Events Status Timestamp Agent Delivery Events Status Timestamp Intermediary Delivery Events Status Timestamp Certified Delivery Events Status Timestamp Carbon Copy Events Status Timestamp Witness Events Signature Timestamp Notary Events Signature Timestamp Envelope Summary Events Status Timestamps Envelope Sent Hashed/Encrypted 8/11/2022 9:51:05 AM Certified Delivered Security Checked 8/12/2022 11:39:06 AM Signing Complete Security Checked 8/12/2022 11:39:12 AM Completed Security Checked 8/12/2022 11:39:12 AM Payment Events Status Timestamps