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R 3714 RESOLUTION NO. 3714 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE SUPPORTIN(3 A STATEWIDE BALLOT INITIATIVE TO REQUIRE VOTER APPROVAL BEFORE STATE GOVERNMENT MAY TAKE LOCAL TAX FUNDS WHEREAS, state government annually seizes over $800 million in city property tax funds (ERAF) statewide, costing cities over $6.9 billion in lost revenues over the past 12 years and seriously reducing resources available for local public safety and other services; and WHEREAS, in adopting the state budget this year the Legislature and Governor appropriated local vehicle license fee backfill and redevelopment property tax funds that are needed to finance critical city services such as public safety, parks, street maintenance, housing and economic development; and WHEREAS, the deficit financing plan in the state budget depends on a local property and sales tax swap that leaves city services vulnerable if the state's economic condition fails to improve; and WHEREAS, the adopted state budget assumes an ongoing structural budget deficit of at least $8 billion, putting city resources and services at risk in future years to additional state revenue raids; and WHEREAS, it is abundantly clear that state leaders will continue to use local tax funds to balance the state budget unless the voters limit the power of the Legislature and Governor to do so; and WHEREAS, the voters of California are the best judges of whether local tax funds should be diverted, confiscated, shifted or otherwise taken to finance an ever-expanding state government; and WHEREAS, the General Assembly of Voting Delegates of the League of California Cities at its September 10, 2003 meeting, voted to sponsor a statewide ballot initiative to empower the voters to limit the ability of state government to confiscate local tax funds to fund state government; and WHEREAS, the League has requested that cities offer support for a November 2004 ballot initiative that will allow voters to decide whether local tax funds may be taken, confiscated, shifted, diverted or otherwise used to fund state government operations and responsibilities. , I RESOLUTION NO. 3714 PAGE 2 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE that the City hereby expresses its strong support for a statewide ballot initiative to allow voters to decide whether local fax funds may be taken, confiscated, shifted, diverted or otherwise used to fund state government operations and responsibilities; and BE IT RESOLVED FURTHER, that the City Council and staff are authorized to provide impartial informational materials on the initiative as may be lawfully provided by the City's representatives. No public funds shall be used to campaign for or against the initiative; and BE IT RESOLVED FURTHER, that the' residents of the City are encouraged to become well-informed on the initiative and its possible impacts on the critical local services on which they rely; and BE IT RESOLVED FURTHER, that the Director of Administrative Services/Deputy City Clerk is hereby directed to send. a copy to the Executive Director of the League of California Cities. On motion of Council Member Lubin, and seconded by Council Member Run~ls, by the following roll call vote, to wit: AYES: Council Members Lubin, Runels, Dickens and Mayor Ferrara NOES: None ABSENT: Council Member Costello the foregoing Resolution was passed and adopted this 14th day of October, 2003. RESOLUTION NO. 3714 PAGE 3 ATTEST: - . APPROVED AS TO CONTENT: , I ~.... . /~J STE ADAMS, CITY MANAGER APPROVED AS TO FORM: RESOLUTION NO. 3714 OFFICIAL CERTIFICATION I, KELLY WETMORE, Director of Administrative Services/Deputy City Clerk of the City of Arroyo Grande, County of San Luis Obispo, State of California, do hereby certify under penalty of perjury, that Resolution No. 3714 is a true, full, and correct copy of said Resolution passed and adopted at a regular meeting of the City Council of the City of Arroyo Grande on the 14th day of October, 2003. WITNESS my hand and the Seal of the City of Arroyo Grande affixed this 16th day of October, 2003. ?J-L- RE, DIRECTOR OF ADMINISTRATIVE SERVICESI DEPUTY CITY CLERK