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Resolution 123830 CITY OF ALAMEDA RESOLUTION NO. 12383 SUPPORTING THE ASSOCIATION OF BAY AREA GOVERNMENTS CAMPAIGN IN OPPOSITION TO PROPOSED CUTS IN LOCAL FUNDS BY THE STATE LEGISLATURE WHEREAS, the State of California failed to recognize the depth of the recession; and WHEREAS, the State of California for the past several years has overestimated income and sales tax revenues; and WHEREAS, the State of California continued to pass legislation assigning programs to local governments without regard to costs in a faltering economy; and WHEREAS, the State of California is trying to correct a serious budget deficit through Draconian cuts in funds allocated to local governments; and WHEREAS, cities and counties provide essential services, ui including police and fire protection to citizens of the State of California; and WHEREAS, cities and counties throughout California are suffering severe financial distress, and several are on the brink of bankruptcy; and WHEREAS, cities and counties are required to provide State-mandated services without adequate funding; and WHEREAS, cities have been contributing more than $240 million a year in local dollars to the State General Fund through cigarette taxes, trial court funding, and other fees levied in the last two years; and WHEREAS, property taxes and vehicle license fees represent a substantial component of the funding base of cities, allowing them to continue providing essential services, including police and fire protection; and WHEREAS, property tax monies were dedicated to local governments after the passage of Proposition 13 as the permanent, stable and long-term solution to local finance; and WHEREAS, the State of California has bridged its budgetary deficits in previous years by raiding local funds, such as liquor license fees, highway carriers uniform business taxes, business inventory property tax relief, cigarette taxes, drinking water regulation fees, booking fees, and property tax administration charges and fines and forfeitures; and WHEREAS, raids by the State Legislature on local funds this summer would gut support for police and fire protection with no immediate source of fiscal relief, thereby compromising public safety; and WHEREAS, the Executive Board of the Association of Bay Area Governments on June 18, 1992 expressed opposition to such practices by the Governor and Legislature; and WHEREAS, there is a need for a long -term budgetary and constitutional reform at the State level; and WHEREAS, the General Assembly of the Association of Bay Area Governments adopted a resolution endorsing unity for fiscal reform on March 15, 1991; and WHEREAS, the Executive Board, in cooperation with school districts, subsequently adopted on June 13, 1991, a declaration of fiscal interdependency and statement of guiding principles for reform at the State and local level; NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Alameda hereby supports the Association of Bay Area Governments' call upon the Governor and State Legislature to refrain from raiding local funds in an effort to bridge the budgetary gap in the short term and calls upon legislators to develop responsible, long -term fiscal and constitutional reforms; and BE IT FURTHER RESOLVED that the State, in response to its own budget crisis, should not use local funds to support State activities but should cut State spending, close tax loopholes and raise its own revenues and continue the current 1/2 cent sales tax; and BE IT FURTHER RESOLVED that the Governor of the State. Legislature should support a simple majority on bond issues and taxes where the law requires such a vote, make specific revisions to the tax system to better meet the needs of the California economy in the future; and BE IT FURTHER RESOLVED that all unfunded State mandates should be suspended. BE IT FURTHER RESOLVED that the City Clerk is hereby directed to forward a certified copy of this resolution to the Governor, State Assemblywoman Barbara Lee, Alameda County Board of Supervisors, Association of Bay Area Governments and League of California Cities. I, the undersigned, hereby certify that the foregoing Resolution was duly and regularly adopted and passed by the Council of the City of Alameda in regular meeting assembled on the 20th day of April , 1993, by the following vote to wit: AYES: Councilmembers Appezzato, Arnerich, Lucas, Roth and President Withrow - 5. NOES: None. ABSENT: None. ABSTENTIONS: None. IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the official seal of said City this 21st day of April , 1993. o Diane BY Felsch, City Clerk City of Alameda