Thursday, August 30, 2012

Assembly moves to repeal fire fee - SF Gate

The end of the legislative session is less than a week away and the chess game over getting bills passed is nearing its always-dramatic finish.
Earlier today, the Assembly inserted language into bill in order to repeal the $150 fire prevention fee for homeowners in state responsibility areas. You can read all about that fee here.
To cover the $90 million that would have been raised by the fee – which opponents call an illegal tax – a different bill is to be amended next week. That bill, AB1500, would fund a major reduction in tuition and fees at the University of California and California State University for middle class students. Read more about that here.
So what will happen is that out of the approximately $1 billion in revenue raised by AB1500– which comes through a change in how corporate taxes are calculated – $90 million will be set aside to cover for the loss of the fire fee.