(Supreme Court of California) - Held that a city's practice of annually transferring funds from a city-operated electric utility to the city's general fund did not hurry afoul of the California structure,which prohibits local governments from imposing any tax without voter approval. A citizen association brought this suit arguing that the city was, in effect, and using utility rates to impose a tax without voter approval. Rejecting this contention,the California Supreme Court reversed the court of appeal.
Source: findlaw.com