Counting the Costs of California's Prop. 26

In California, passage of Proposition 26 has raised the question of whether fees used for public services will be jeopardized at the local level. Some argue most fees will be unaffected, but others could take a hit.

"But veteran municipal lawyer Michael G. Colantuono said the proposition is likely to bring significant change in a handful of cases.

Colantuono, part of a League of California Cities task force analyzing Proposition 26, said the measure could affect fees charged by public power utilities, park districts and business improvement districts, to name a few.

Most at risk: fees collected and spent in a way that does not directly benefit only those who pay."

Discounts and other subsidies previously offered through power utilities, for example, could be cut.

Full Story: Tax or fee? Local governments hash out the consequences of Prop. 26


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