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City of San Antonio - Proposition B

Ready to Work SA workforce program for job training and scholarships, a reallocation of an existing sales and use tax resulting in no net tax increase. "For the purpose of financing authorized programs related to job training and the awarding of scholarships of the San Antonio Early Childhood Education Municipal Development Corporation, an increase of one-eighth of one percent of sales and use tax not to extend beyond December 31, 2025 and commencing upon the full collection of the sales and use tax previously authorized by the voters for the Edwards Aquifer Protection Venue Project and the Parks Development And Expansion Venue Project. "This is a reallocation of an existing sales and use tax resulting in no net tax increase.Current Distribution of 1% Sales and Use TaxVoters decide how 1% of the sales and use tax is used. Pre-K 4 SA receives 12.5% (1/8th) to support full-day prekindergarten for over 2,000 four-year-old children, teacher training, and grants to expand the programs citywide.VIA receives 50% (1/2) to support public transportation. This permanent use is already approved by voters.Advanced Transportation District (ATD) receives 25% (1/4th) to support transportation improvement projects carried out by VIA, City of SA, and Texas Department of Transportation (TxDOT). Half of these funds go to VIA. This permanent use is already approved by voters.BackgroundSince 2000, 12.5% (1/8th) of the sales and use tax has been dedicated to the Edwards Aquifer Protection Plan (EAPP) and Greenway Trails programs. Voters reauthorized continued funding for these programs in 2005, 2010, and 2015. The funding cap of $100 million authorized by voters in 2015 is estimated to be reached in 2021. In San Antonio - Proposition B, the City of San Antonio is asking voters to approve the redirection of 12.5% (1/8th) of the sales and use tax away from funding Edwards Aquifer Protection Plan and Greenway Trails programs toward funding job training programs to improve the skills of the San Antonio workforce. The tax dollars would be collected by the municipal corporation that manages Pre-K 4 SA, and the funds would be managed and distributed by the City of San Antonio. The amount of money raised for the job training programs does not include a cap. Rather, the program will use whatever dollars are collected through the sales and use tax until December 31, 2025. In ATD - Proposition A, the 12.5% (1/8th) of the sales and use tax would be appropriated permanently to the Advanced Transportation District, beginning January 1, 2026. This would be in addition to the 25% (1/4th) of the sales tax that is already permanently allocated to ATD to fund transportation improvement projects carried out by VIA, the City of San Antonio, and the Texas Department of Transportation.VIA receives half of the ATD revenues. This is in addition to 50% (1/2) of the San Antonio sales and use tax permanently allocated to VIA.On September 17, 2020, the City Council approved a 10-year, $100 million funding plan for the Edwards Aquifer, retaining the same objective and processes of the Edwards Aquifer Protection Plan (EAPP). The funding mechanism includes the sale of municipal bonds secured by a portion of SAWS’ payment to the city as well as other funding alternatives, such as cash and grants. A future City Council may adjust the annual amount based on EAPP needs or the future financial capacity of the city or other budget needs. Proposed Use of 1% Sales and Use TaxRequiring Voter ApprovalWork Force Development(San Antonio - Proposition B) would redirect 12.5% (1/8th) from Edwards Aquifer and Greenways Trail programs to fund programs to improve the skills of San Antonio workforce. Use of these tax dollars would end 12/31/2025.Advanced Transportation District(ATD – Proposition A) would permanently redirect 12.5% (1/8th) that currently funds the Edwards Aquifer and Greenways Trail programs to continue to support transportation improvement projects carried out by VIA, City of SA, and TxDOT. Use of these tax dollars would begin 1/1/2026. This is in addition to the existing 25% (1/4th) permanently allocated to the ATD. Half of the redirected 12.5% will go to VIA.Pre-K 4 SA(San Antonio – Proposition A) reauthorizes the use of 12.5% (1/8th) to support full-day, prekindergarten for over 2,000 four-year-old children, teacher training, and grants to expand the programs citywide. The reauthorization is for 8 yearsPermanent Use Already Approved by VotersVIA receives 50% (1/2) to support public transportation. This permanent use was approved by voters.Advanced Transportation District (ATD) receives 25% (1/4th) to support transportation improvement projects carried out by VIA, City of SA, and TxDOT. Half of these funds go to VIA. This permanent use was approved by voters.Impact on Taxes City of San Antonio - Proposition B & Advanced Transportation District - Proposition A - Both Not ApprovedThe existing sales and use tax would be reduced by 12.5% or one eighth of one percent (1/8 of 1¢). In May 2022, there would be an opportunity to consider another ballot measure. City of San Antonio - Proposition B Approved, Advanced Transportation District Proposition A Not ApprovedThe existing sales and use tax would be reduced by 12.5% or one eighth of one percent (1/8 of 1¢), beginning January 1, 2026. In May 2022, there would be an opportunity to consider another ballot measure. City of San Antonio Proposition B Not Approved, Advanced Transportation District Proposition A ApprovedThe existing sales and use tax would be reduced by 12.5% or one eighth of one percent (1/8 of 1¢) through December 31, 2025. On January 1, 2026 the sales and use tax would increase by 12.5% or one eighth of one percent (1/8 of 1¢) and be redirected permanently to VIA Metropolitan Transit to provide an improved transportation service.

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