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South Gate council hires consultant to study utility users tax after heated public comment

2558752 · March 12, 2025
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

Council approved a contract with Team Civex to study a possible utility users tax and community outreach; vote was 4–1 with one councilmember voting no after public speakers both for and against the measure voiced strong opinions.

The South Gate City Council voted 4–1 on March 11 to hire a consultant to evaluate a utility users tax (UUT) and to recommend structure and outreach steps, authorizing a contract for roughly $114,350 and appropriating the same amount from the general fund.

City Manager Rob Houston said staff conducted a public Request for Proposals and received four submittals; two met the scope. The recommended firm, Team Civex, proposed a package that includes a revenue analysis, public opinion research, bilingual outreach and, if the council later decides to place a measure on the ballot, procedural and administrative support. City staff said the contract would cover work through a possible November election; additional work would be required for later ballot schedules.

The proposal sparked extensive public comment both supporting and opposing the study. Speakers in favor argued South Gate has lower tax rates than nearby cities and needs additional revenue to maintain services and infrastructure; opponents warned of added burdens on low- and moderate-income residents, suggested the city should first trim waste and misuse existing funds, and questioned the timing of a tax study.

Council discussion stressed transparency, the need for more revenue tools and the difference between commissioning a study and placing a tax measure on a ballot. Councilmember Gustavo Avalos voted no, saying he opposed this step; Councilmembers Emil Hurtado, Jose Rios, Victor Baron and Mayor Maria Davila voted yes.

The contract was approved with the instruction that staff and the consultant conduct broad community outreach, include cost/impact modeling and return to council with findings before any decision to place a measure before voters.