At the regular City Council meeting of July 15, 2009, the
Atherton City Council approved an Ordinance calling for a
special municipal election to submit to the voters:
1. An ordinance authorizing the renewal of the parcel tax at the
same level for an additional four years (Measure S),
2. An ordinance to permit spending the proceeds of the parcel
tax for the same period (Measure T).
Measures S & T will be on the November 3, 2009 ballot
The full text of Ordinance 581 including the complete list
of tax rates can be found on the Town’s Special Election web
page at www.ci.atherton.ca.us, under Announcements. Click
on “November 3, 2009 Election,” then “Ordinance 581.”
Measure S represents the ordinance “authorizing the renewal
of a special tax to continue to provide funding for Town police and
emergency services, including maintaining neighborhood police
patrols and the Town’s ability to respond to emergencies, repair
and maintain streets, and repair and construct storm drains for four
years.” Measure “S” requires a two-thirds majority to pass.
Measure T is the technical part of the parcel tax which allows
the Town to use the tax by, “increasing the appropriation limit for
four years to permit spending of the proceeds of a voter-approved
parcel tax.” Measure “T” requires a simple majority to pass.
The current parcel tax, approved June 2005, was for a five-
year term and will expire June 2010. It currently represents
approximately 17% of the Town’s annual budget, by providing
$1.86 million per fiscal year. 100% of the parcel tax revenue goes
into the Town’s budget; whereas, only 14% of the property tax
revenue collected flows to the Town for its use.
The Town of Atherton’s primary source of revenue is from
property tax. When Prop 13 was passed in 1978, the Town went
to its residents with the first parcel tax in 1980. Over the past
30 years the parcel tax has been a vital source of revenue to
fund public safety programs such as the disaster preparedness
program, police services, drainage system projects, and other
public works projects.
For the majority of properties of ½ acre to 2 acres in size with a
dwelling, the annual tax amount is $750. There is a range of rates
in 11 categories of the tax, each based on parcel size, whether the
property is improved or unimproved, along with special categories
for schools and other private property.
If the parcel tax is renewed at its current rate level for the
next four years, the Town will continue to use its revenues
for public safety, police services, street repairs, and drainage
improvements.