COUNTY OF SAN MATEO

Inter-Departmental Correspondence

County Manager’s Office

Date:

June 15, 2005

BOARD MEETING DATE:

June 28, 2005

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

TO:

Honorable Board of Supervisors

FROM:

Paul T. Scannell, Assistant County Manager

SUBJECT:

Property Tax Exchange – City of San Carlos

RECOMMENDATION:

Approve a resolution authorizing a property tax exchange between San Mateo County and the City of San Carlos for the proposed annexation of the Lands of Dobel, Cameron and Grove.

VISION ALIGNMENT:

We believe this recommendation is consistent with the Shared Vision Commitments to be a responsive, effective and collaborative government.

BACKGROUND:

In anticipation of an application for the proposed annexation of the Lands of Dobel, Cameron and Grove to the City of San Carlos, it has been requested that the County of San Mateo Board of Supervisors adopt a property tax exchange resolution between the County Board of Supervisors and the City of San Carlos pursuant to Revenue and Taxation Code 99. The annexation application may not be processed until the County and the City agree to the amount of property tax that will be transferred.

An agreement has been reached with the City and a resolution is presented for your approval. The agreement is in accordance with the Board’s policy of granting a city an amount of property tax that approximates the current average share of property tax of the city of the proposed annexation. The annexation includes the transfer of fire responsibility to the City from the County.

FISCAL IMPACT:

The total amount of taxes available for exchange before the ERAF shift between the two agencies is $141. The City will receive approximately $41 and the County will retain approximately $100.