Requires two-thirds voter approval before local governments provide electricity service to new customers or establish a community choice electricity program using public funds or bonds.
Fiscal impact: Unknown net impact on state and local government costs and revenue – unlikely to be significant in the short run – due to the measure’s uncertain effects on public electricity providers and on electricity rates.
A YES vote on this measure means: Local governments would generally be required to receive two-thirds voter approval before they could start up electricity services or expand electricity service into a new territory.
A NO vote on this measure means: Local governments generally could continue to implement proposals involving the startup or expansion of electricity service either through approval by a majority of voters or actions by governing boards.
ARGUMENTS
Pro: Proposition 16 is the Taxpayers Right to Vote Act. It requires two-thirds voter approval before local governments can spend or borrow public money to enter the retail electricity business. In tough economic times like these, taxpayers should have the final say in how government spends our money.
Con: Proposition 16 does two things: First, it drastically limits your choices on who provides you with electricity. Second, it lets the for-profit utilities in California raise your electricity rates again and again, by protecting their monopoly and eliminating competition. For more choice and lower electric bills, NO on Proposition 16.
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