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Santa Clarita Chamber Supports Prop 42

The Santa Clarita Valley Chamber of Commerce voted to support the Prop 42 loophole at their July board meeting.

Here's the official Chamber position: 

The Santa Clarita Valley Chamber of Commerce was an official supporter of Prop. 42 in 2002 when it passed with over 70% approval of Californians.  Prop. 42 was supposed to guarantee the dedication of the existing gasoline tax to fund transportation projects, such road repairs, relieving traffic congestion, etc.  However, there was a provision that allowed state lawmakers to divert the money to the General Fund in times of “fiscal emergencies.”  Unfortunately, two out of the past three years, this provision has been exercised by the Governor and Legislature and has diverted $2.5 billion away from the transportation fund to pay for “non-transportation” expenses.  Prop 1a would basically do two things:  prevent the Governor and Legislature from diverting funds generated from the gasoline tax to non-transportation expenses; require that the state reimburse the $2.5 billion that it has taken from the transportation fund-it will spread the repayment process over 10 years reducing severe deep fiscal impact.  By closing the Prop. 42 loophole, this measure would provide a stable funding source for state and local agencies responsible for transportation improvements in the state of California.