Hey, voters: Here's what you need to know about Oceano's proposed fire tax - Insurance News | InsuranceNewsNet

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February 4, 2020 Newswires
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Hey, voters: Here's what you need to know about Oceano's proposed fire tax

Tribune (San Luis Obispo, CA)

Feb. 4--Next month, Oceano voters will be asked to consider something few like to approve: a special tax.

Measure A-20 would pay for the community to continue receiving fire services from the Five Cities Fire Authority, of which it has been a member since 2010.

Over the years, costs have increased at the Five Cities Fire Authority, as the department tries to transition away from a reserve model into a full-time department. But the Oceano Community Services District, which has few significant sources of revenue, has been unable to keep up with those rising costs.

The measure is more than just an Oceano issue. The results of the vote will determine the future of all fire services in the Five Cities.

Here are answers to a few of the biggest questions surrounding the ballot measure to help you make up your mind before you cast your vote in the March 3 election:

How would Measure A-20 work?

In its first year, the tax would charge property owners $180 per parcel within the Oceano Community Services District, and could include increases of up to 2% per year thereafter.

This would potentially net the CSD about $422,000 in its first year, according to district officials.

The tax would continue until repealed by voters.

Measure A-20 requires a two-thirds majority to pass.

What's the deal with Five Cities Fire Authority?

When it was formed in 2010, the authority was meant to be a cost-saving measure for its three participating South County communities: Arroyo Grande, Grover Beach and Oceano.

At first, it was.

But the costs have gone up over time -- as the equipment brought into the agreement aged and needed to be replaced, and the department attempted to transition from volunteer firefighters to full-time firefighters.

In 2018, Arroyo Grande, Grover Beach and Oceano began working on a new funding formula for the department that would increase Oceano's share of the budget, while lowering Arroyo Grande and Grover Beach's.

It soon became clear, however, that Oceano likely couldn't afford an increased investment into the authority without pursuing additional revenue.

In 2019, the Oceano Community Services District received $987,362 in property tax revenue from the county. Of that, 97% went to fire operations, according to a previous Tribune report.

"It's not enough to fund our share of the costs," Oceano CSD General Manager Will Clemens said Jan. 25 at an informational meeting on the proposed measure.

The cities of Arroyo Grande and Grover Beach have both passed resolutions voicing their cities' support of Measure A-20.

"I really do think we are better together, and I hope we can continue in that direction," Arroyo Grande Councilman Keith Storton said at the Arroyo Grande City Council meeting on Jan. 14.

What happens if the measure doesn't pass?

If Measure A-20 doesn't pass, Oceano would leave the Five Cities Fire Authority on June 20, 2021, according to terms of a July 2019 joint powers agreement between the authority's participating cities.

At that point, the CSD could potentially choose to transfer responsibility of fire services over to the county.

If that were to occur, all or most of Oceano's property tax revenues would be permanently transferred to the county, according to the Oceano CSD. This could result in the loss of CSD office space, a transfer of the San Luis Obispo Sheriff's Office substation that is owned by the CSD, loss of street lighting and transfer of the CSD's garbage franchise to the county.

The community could also pursue establishing a stand-alone fire department, but Clemens warned that would not be easy.

"It comes down to really what mission does the community want to be involved with?" Clemens said during the Jan. 25 meeting. "Do they want to be part of the Five Cities Fire Authority mission, which is focused on 10 square miles, and has three fire stations one in Arroyo, one in Grover and one here in Oceano? Or does it want to be part of the county mission which encompasses 3,200 square miles and the closest secondary station would be Nipomo Mesa or Pismo Beach?"

"So that's really what it boils down to," he added. "Is $180 per year worth staying part of the Five Cities Fire Authority mission? Or do they want to go with the county?"

For more information on the measure, go to the Oceano Community Services District website, oceanocsd.org. The full text of the measure and its impartial analysis are available on the San Luis Obispo County Clerk Recorder's website, www.slocounty.ca.gov/Departments/Clerk-Recorder.

___

(c)2020 The Tribune (San Luis Obispo, Calif.)

Visit The Tribune (San Luis Obispo, Calif.) at www.sanluisobispo.com

Distributed by Tribune Content Agency, LLC.

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