City council supports continuing half-cent sales tax for road repairs

Measure E-12 was originally passed in 2012

– The Paso Robles City Council met on Tuesday for its regular meeting. After roll call and staff introductions, the following presentations were given:

• California Association of Local Economic Development 2024 Award of Merit Presentation
• Paso Robles Youth Commission report

After presentations and unanimous approval of the consent agenda items, the council moved forward a discussion item regarding the consideration of the continuation and/or increase of Measure E-12 to fund local road repair and maintenance.

The council ultimately voted four to one to pass support of a continuation of the half-cent sales tax that is currently in effect, with Councilmember Chris Bausch voting no.

The following 27 projects have been completed using E-12 funds:

• Professional studies
• 21st Street Green Update
• 13th Street Bridge Improvement
• Spring Street (16th to 24th)
• Country Club/Rolling Hills/So. River/Airport Rd
• Walnut/Jackson/Shannon Hill
• 12th Street (Spring to Fresno)
• Union Rd/Kleck/Montebello
• Scott St (Creston to Airport)
• Creston/Golden Hill/Oak Meadows
• Union Road (Golden Hill/Hwy 46E)
• Spring Street (1st to 15th)
• Sherwood/Creston/Linne
• Vine Street (1st to 36th)
• Various Slurry/Chip Seal13th Street Pedestrian Improvements
• East Side Street Light Rehabilitation
• Union Road (along BSP)
• Ramada Drive/Vendels Circle
• Spring Street (24th to 36th)
• Park/6th/9th/10th Streets
• Jardine Road
• Olive/16th/17th/18th/19th/20th Streets
• Dry Creek Road
• Rambouillet/Nicklaus-area
• Melody Dr/Patricia Ln
• Country Club-area

The following 15 projects are currently underway using general funds supported by E-12:

• Creston Road
• 24th Street Bridge Rehabilitation
• Appaloosa Dr
• Rolling Hills Estates
• 17th Street (Spring to Chestnut)
• Riverside (17th to 24th)
• Sherwood/Sierra Bonita/Turtle Creek
• Sunset/Panorama Neighborhood
• Oak Street, 2nd, 3rd, 26th Streets
• Arciero Ct/Mesa Rd
• Dallons/Tractor Rd
• Elm Ct/Capitol Hill/Palm Ct
• Golden Hill (Rolling Hills to Creston)
• Merry Hill/15th St/Terrace Hill
• Serenade/Holstein/Brahma
• Andrews Circle

Only two projects remain to be initiated and funds committed:

• 13th Street Bridge/Niblick Bridge Deck Resurface
• Melody Drive

The majority of streets needing repair are in residential areas.

With the expiration of Measure E-12 on March 31, 2025, the city’s general fund may not be able to support the street maintenance and repair.

According to the item’s staff report, The Pavement Condition Index (PCI) is the numerical index between 0 and 100, with 100 being best, used to indicate a pavement section’s general condition. Paso Robles, prior to investing in road repair and maintenance, averaged a PCI of under 50 city-wide. In the 11 years of E-12 funded projects, the city-wide PCI average has increased to 55 with westside streets averaging 47 and eastside streets averaging 61. Alleyways average a PCI of 45. California cities as a whole average a PCI of 62; San Luis Obispo County cities average 60; and the City of Atascadero average PCI is 48.

If placed on the ballot, a question like one of the options below will appear on ballots of voters within Paso Robles on November 5, 2024:

Paso Robles Essential Services Funding Continuation Measure

“Shall the measure to extend the voter-approved half-cent sales tax (2012), for general government use including to protect Paso Robles’ long-term fiscal stability, maintain essential services such as fixing damaged streets/roads/infrastructure, repairing potholes, synchronizing traffic signals, maintaining traffic/pedestrian safety, and improving emergency evacuation routes, providing approximately $5,500,000 annually until ended by voters, requiring independent audits, citizen oversight, public disclosure of all spending, all funds for Paso Robles be adopted?”

If the city council places this measure on the November ballot and voters approve it, the measure will continue to generate $6 to $12 million (1/2 cent to 1 cent) annually for the city to support the general fund as it continues to fund road repairs and other vital government services. If the measure is not placed on the ballot or voters do not approve of the measure, the city will lose $6 to $12 million annually or between $150 and $300 million over 25 years (no escalator applied). The loss of this revenue will greatly impact the city’s ability to fund general government services, and given city priorities, this means that funding for road repairs will decrease. The estimated cost to place the measure on the ballot is approximately $40,000.

During the discussion about the item, Councilmember Fred Strong explained that the city would become eligible for grants that would fund 80% of road repairs, but the city must have funding earmarked for road repairs to be eligible to apply for these grants.

A study found that the majority of voters would support the continuation of the half-cent measure, originally approved in 2012. Council’s vote of support of the half-cent sales tax measure will now start a multi-step process of getting it on the ballot.

After this discussion item, Strong was excused from the meeting as he needed to attend a meeting in Sacramento the following morning.

The next item was a review of the city’s general plan. California Government Code requires local jurisdictions to prepare an annual report on the status of the general plan and progress toward its implementation. This report will be submitted to the state at the end of the month.

Among other things, the housing element component of the plan must include an assessment of progress made toward meeting the city’s share of the Regional Housing Need Allocation, according to the staff report.

The council voted unanimously to approve the report, and direct staff to submit it to the state.

The council then revisited presentations and funding requests from the Paso Robles Downtown Main Street Association, Hispanic Business Association, Paso Robles Wine Country Alliance, and the Paso Robles & Templeton Chamber of Commerce.

The agencies were asked to present their budgets to the council before the council could consider approval of funding requests.

Three of the agencies, the Paso Robles Downtown Main Street Association, Paso Robles Wine Country Alliance, and Paso Robles & Templeton Chamber of Commerce, had their requests for funding approved by the council’s three-to-one vote. The discussion emphasized the importance of expanding fundraising for the different groups to meet their budget needs and help them continue to grow.

The council directed the Hispanic Business Association to work with city staff to develop a clear budget plan and re-organize the agency’s structure to include a board so that the city could then look at its exact requests again and provide approval given the right legal setup. Multiple members of the council acknowledged the importance of the HBA’s work. “We will help you, we will bring it back,” said Mayor Pro-Tem Steve Gregory.

Watch the full meeting below: