12-A
TO: Honorable Mayor and Members of the City Council
ATTENTION: Ryan Smoot, City Manager
FROM: Brian McNerney, Director of Public Safety
SUBJECT: Consideration and possible action to conduct the annual public hearing to consider whether the 5% Utility Users’ Tax (“UUT”) should continue in effect or be modified or repealed.
DATE: December 8, 2025
EXECUTIVE SUMMARY
Ordinance No. 818 requires the City Council to hold an annual public hearing in December regarding whether the Utility Users’ Tax (“UUT”) should continue in effect or be modified or repealed.
RECOMMENDATION TO CITY COUNCIL
1) Open the public hearing; take testimonial and documentary evidence; and after considering the evidence, approve the continuance of the UUT and fund the Community Policing Program with revenues generated from the UUT; or
2) Alternatively, discuss and take other action related to this item.
FISCAL IMPACT
The City projects that the UUT revenue will be approximately $4,000,000 for fiscal year 2025-2026.
PUBLIC NOTICE
On Friday, November 28, 2025, a Public Hearing Notice was published in the Los Cerritos Community News newspaper.
DISCUSSION
In 1993, voters approved a utility users tax equal to five percent (5%) of the gross charges made to each service user in the City for telephone (including cell phones), electricity, and natural gas.
1: BELLF
{‘4 0 L0 W51?
0 9~ ROWDVG 1-0013n
m Staft'eport
Staff Report – Annual Public Hearing Re: Utility Users’ Tax December 8, 2025
DISCUSSION – Continued
Section 4 of Ordinance No. 818 requires the City Council to conduct a public hearing each December to consider whether to continue, amend, or repeal the UUT.
The current projection of UUT for fiscal year 2025-2026 is $4,000,000 ($1,800,000 below the estimated CPI-adjusted revenue and $3,000,000 below the combined estimated CPI and population-adjusted revenue). UUT revenue assists with funding the City’s public safety program which includes the Los Angeles County Sheriff contract. At its November 18th meeting, the Public Safety Commission unanimously recommended that the City Council continue collecting the UUT without any changes.
ATTACHMENTS
Chart – UUT Revenues ................................................................................................... 3 Chart – Part 1 Crime Rate 1994 – October 2025 ............................................................ 4
Utility Users Tax Revenues
(FY 1994-95 to FY 2024-25)
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
$7,000,000
CPI &
Population
CPI
Actual
https://bellflowergcc.sharepoint.com/sites/fin/Shared Documents/AA/UUT_TUUTOB/Staff Reports/ SR - Public Hearing for UUT 12-08-25 - Attachment
r
A
:
Bellflower Part 1 Crime Rate 1994 – October 2025
Part 1 Crime includes homicide, forcible rape, robbery, aggravated assault, residential and non-residential burglary, vehicle burglary, larceny and theft, grand theft automobile, and arson.
200
250
300
350
400
450
500
550
600
650
700
750
800
94 95 96 97 98 99 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25