Monterey-Salinas Transit District: sales and special taxes.

Assembly Member Addis proposes modifying the Monterey-Salinas Transit District's taxing authority through legislation that would prohibit the district from submitting sales or special tax measures to voters after January 1, 2026, while creating a new pathway for implementing transportation-focused revenue measures.

The bill authorizes the district's board of directors, with a two-thirds vote, to place a transactions and use tax of up to 0.25% before district voters. This tax would be exempt from the standard 2% combined rate limit for local transaction taxes if approved by voters prior to January 1, 2035. The measure requires voter approval under Article XIII C of the California Constitution and must otherwise conform to state Transactions and Use Tax Law.

Under the legislation, the district would retain authority to impose and administer voter-approved fees and other funding sources for transportation system operations and improvements. The board of directors would also maintain its ability to set public transit fares through resolution or minute order. If no qualifying transactions and use tax receives voter approval by January 1, 2035, the new taxing authority provisions would be automatically repealed.