AMENDED IN SENATE JANUARY 5, 2026
AMENDED IN SENATE MARCH 24, 2025
SENATE BILL No. 762
Introduced by Senator Arreguín
February 21, 2025
An act to amend Section 66647 of the Government Code, relating to conservation. add Chapter 3.13 (commencing with Section 7287.17) to Part 1.7 of Division 2 of the Re venue and Taxation Code, relating to taxation.
legislative counsel’s digest
SB 762, as amended, Arreguín. San Francisco Bay Conservation and Development Commission: funds. Transactions and use tax: City of Hercules.
Existing law authorizes cities and counties, subject to certain limitations and approval requirements, to levy a transactions and use tax for general or specific purposes in accordance with the procedures and r equirements set forth in the Transactions and Use Tax Law , including a requirement that the combined r ate of all taxes that may be imposed in accordance with that law in the jurisdiction not e xceed 2%.
This bill would authorize the City of Hercules to impose a transactions and use tax for general or specific purposes, at a rate of no more than 1%, that, in combination with other transactions and use taxes, would exceed the abo ve-described combined r ate limit of 2%, if certain requirements are met. The bill would provide that a tr ansactions and use tax r ate imposed pur suant to the bill will not be consider ed for purposes of the combined rate limit described above.
97 This bill would make legislative findings and declarations as to the necessity of a special statute for the City of Hercules.
Existing law sets forth a comprehensive plan for the conservation of the waters of the San Francisco Bay and the development of its shoreline and delegates to the San Francisco Bay Conservation and Development Commission authority to implement the plan. Existing law establishes in the State Treasury a Bay Fill Clean-Up and Abatement Fund and requires mone ys from specified sources to be paid into the fund, including all mone ys collected ci villy under specified proceedings.
Existing la w requires mone ys in the fund to be a vailable for the expenditure by the commission or the e xecutive director , when appropriated by the Le gislature, for specified purposes, including resource enhancement and remedial cleanup or abatement actions.
This bill would also require the money in the fund to be available for expenditure by the commission or the e xecutive director , when appropriated by the Le gislature, for the purpose of supporting enforcement activities. The bill would include funding of technology, services, programs, and personnel that directly support the above-described specified purposes as permissible expenditures.
Vote: majority. Appropriation: no. Fiscal committee: yes no. State-mandated local program: no.
The people of the State of California do enact as follows:
line 1 SECTION 1. Chapter 3.13 (commencing with Section 7287.17) line 2 is added to P art 1.7 of Division 2 of the Revenue and Taxation line 3 Code, to read:
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line 5 Chapter 3.13. City of Hercules Transactions and Use line 6 Tax
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line 8 7287.17. (a) Notwithstanding any other law , the City of line 9 Hercules, by or dinance or by citizens’ initiative, may impose a line 10 transactions and use tax for general or specific purposes at a rate line 11 of no more than 1 percent that would, in combination with all taxes line 12 imposed in accordance with Part 1.6 (commencing with Section line 13 7251), exceed the limit established in Section 7251.1, if all of the line 14 following requirements are met:
line 15 (1) The City Council of the City of Hercules adopts an ordinance line 16 proposing the tr ansactions and use tax by the applicable voting 97 — 2 — SB 762
line 1 approval requirement. This paragraph shall not apply to a tax line 2 imposed by citizens’ initiative.
line 3 (2) The ordinance proposing the tr ansactions and use tax is line 4 submitted to the elector ate and is appr oved by the voter s voting line 5 on the ordinance by the applicable voting appr oval requirement line 6 in accordance with the California Constitution.
line 7 (3) The transactions and use tax conforms to the Transactions line 8 and Use Tax Law (P art 1.6 (commencing with Section 7251)), line 9 other than Section 7251.1.
line 10 (b) Notwithstanding Section 7251.1, a transactions and use tax line 11 imposed pursuant to subdivision (a) shall not be consider ed for line 12 purposes of the combined r ate limitation established by Section line 13 7251.1.
line 14 SEC. 2. The Legislature finds and declares that a special statute line 15 is necessary and that a general statute cannot be made applicable line 16 within the meaning of Section 16 of Article IV of the California line 17 Constitution because of the unique fiscal needs of the City of line 18 Hercules.
line 19 SECTION 1. Section 66647 of the Government Code is line 20 amended to read:
line 21 66647. (a) There is in the State Treasury a Bay Fill Clean-up line 22 and Abatement Fund. All moneys from the following sources are line 23 to be paid into the fund:
line 24 (1) All moneys appropriated by the Legislature for the fund. line 25 (2) All moneys contributed to the fund by any person or entity line 26 and accepted by the commission.
line 27 (3) All moneys collected civilly under any proceeding brought line 28 pursuant to an y pro vision of this chapter or Di vision 19 line 29 (commencing with Section 29000) of the Public Resources Code. line 30 (b) All mone ys paid into the fund shall be a vailable for line 31 expenditure by the commission or the e xecutive director, when line 32 appropriated by the Legislature, for the purposes of removing fill, line 33 resource enhancement, enforcement, and performing an y other line 34 remedial cleanup or abatement actions within the commission’ s line 35 jurisdiction, and shall include funding of technology , services, line 36 programs, and personnel that directly support these purposes.
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