Article XIIIB of the California State Constitution, more commonly referred to as the Gann Initiative or the Gann Appropriations Limit, and subsequent implementation legislation requires that the Town of Truckee limit each fiscal year's appropriations of the proceeds of taxes to the amount of such appropriations in Fiscal Year 1978-79, as adjusted by growth in California per capita income and the greater of the growth in City or County population.
Effective January 1, 2025, Assembly Bill 2854 (AB 2854) requires California local agencies, including cities, towns, counties, and special districts, to increase transparency around local tax revenue sharing agreements. These agreements involve any direct or indirect payment, transfer, diversion, or rebate of Bradley Burns local sales tax revenues. The law applies to all jurisdictions, regardless of whether they have such agreements.