Today's Law As Amended

PDF |Add To My Favorites | print page

SB-789 Sale of water by local public entities: excise tax.(2015-2016)



SECTION 1.

 Chapter 3.1 (commencing with Section 7287.20) is added to Part 1.7 of Division 2 of the Revenue and Taxation Code, to read:

CHAPTER  3.1. Excise Water Tax
7287.20.
 (a) A local public entity that supplies water at retail or wholesale for the benefit of persons within the service area or area of jurisdiction of that public entity may impose, by ordinance, an excise tax on an excessive user of water, at a rate not to exceed 300 percent of the purchase price of the water, if both of the following conditions are met:
(1) The ordinance proposing that tax is approved by two-thirds of the electors voting on the measure pursuant to Article XIII C of the California Constitution.
(2) The revenue from the tax is equally distributed between the public entity and the State Water Resources Control Board for local water conservation efforts within the jurisdiction of that public entity. The local water conservation efforts may have cobenefits with other regions in the state.
(b) A tax imposed pursuant to this section may be in addition to any other tax authorized by this division.