The future city of Malibu could lose at least $1.5 million in property tax revenue because the County Board of Supervisors refused to apply for it on behalf of the city at its last board meeting of the year on Tuesday.
In a prepared statement issued Tuesday, Supervisor Dean Dana said, "Failure by the board to take action by Dec. 30 could delay property tax assessment funds for Malibu until 1992, (but) we are aware that the City Council-elect is seeking special legislation that would remedy the problem."
"There wouldn't be any problem if the board would do what it promised in March," insisted Councilman-elect Mike Caggiano, who chairs the future city's Finance Committee.
In its March vote setting Malibu's election date, the board also agreed to file the proper tax documents with the secretary of state "prior to Jan. 1, 1991, to assure city tax collection." Malibu is to become a city March 28, 1991, but must apply for property tax dollars by Dec. 31 to get them during the next fiscal year.
Legislation will be introduced in the state Senate in January to let Malibu incorporate immediately. "Now we'll have to amend the bill to try to get our tax money retroactively," Caggiano said.