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San Mateo, Mono and Alpine press Legislature for vehicle license‑fee backfill after ERAF shortfall
Summary
San Mateo County and several of its cities asked the Assembly Budget Subcommittee 5 to fund a vehicle license fee (VLF) 'in‑lieu' backfill for 2023‑24 that the administration did not include in the May revision; county and city officials said the enacted 2004 VLF swap design leaves a structural shortfall in counties with few non‑basic‑aid school
Local officials from San Mateo County and several cities told the Assembly Budget Subcommittee 5 that a structural quirk in the 2004 VLF ('vehicle license fee') backfill arrangement leaves some counties—San Mateo, Mono and Alpine—without sufficient Educational Revenue Augmentation Fund (ERAF) or non‑basic‑aid school district property taxes to cover the state's in‑lieu VLF backfill obligation.
Assemblymember Emily Papan outlined the history: in 2004 the state reduced the VLF rate and agreed to "hold local governments harmless" by…
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