Resolution 14257CITY OF ALAMEDA RESOLUTION NO.14257
OPPOSING FISCALLY IRRESPONSIBLE STATE BUDGET DECISIONS THAT
WOULD DIVERT LOCAL GOVERNMENT, REDEVELOPMENT, AND
TRANSPORTATION FUNDS
WHEREAS, on July 1, 2008, the State Legislature missed its
Constitutional budget deadline; and
WHEREAS, both the Governor and the Legislative Budget Conference
Committee have recommended balanced budgets without resorting to "loans" or
seizures of local government property tax, redevelopment tax increment, and
transportation sales tax funds; and
WHEREAS, in 1952 the voters of California approved Article XVI,
Section 16 of the California Constitution, providing for tax increment financing
for community revitalization, not balancing the State budget, and the voters
never authorized the Legislature to take or divert community redevelopment
funds for State programs; and
WHEREAS, in 2004 by an 84% margin of approval the voters of
California approved Proposition 1A and sent a loud and unambiguous message
to State leaders that they should stop the destructive and irresponsible practice
of taking local government funds to finance the State budget and paper over the
State deficit; and
WHEREAS, in 2006 by a 77% margin of approval the voters of California
also approved Proposition 1A, providing similar protections to transportation
funding, including important street maintenance and public transit programs;
and
WHEREAS, both ballot measures allow the Governor to declare a
"severe state of fiscal hardship" and divert these funds if they are repaid in three
years with interest, but the Governor believes it would be irresponsible to divert
such funds because it would deepen the State's structural deficit and cripple
local government and transportation services; and
WHEREAS, refusal by the Legislature to fulfill its constitutional obligation
to compromise on a balanced budget is not a "severe fiscal hardship" and
would not justify reductions in critical local services, community revitalization
programs, and infrastructure maintenance at a time when cities are struggling to
balance their own budgets during this economic down turn; and
WHEREAS, city investments in infrastructure, affordable housing, and
basic public safety and other community services will create needed jobs and
speed economic recovery; and
WHEREAS, the Legislature should balance the State budget with State
revenues and respect the overwhelming support of voters for not using local
property taxes, redevelopment tax increment, and transportation sales tax funds
to fund the day-to-day operating cost of state programs; and
WHEREAS, it would be the height of fiscal irresponsibility to paper over
the State's structural deficit with more diversion of local revenues, and
Californians deserve leaders who will tell them honestly what needs to be done
to produce a balanced budget; and
WHEREAS, it is time for the State of California to cut up its local
government credit cards and deal with the budget deficit in a straightforward
way.
NOW, THEREFORE BE IT RESOLVED, that the City of Alameda
opposes any and all efforts by the State of California to divert or seize local tax
funds, redevelopment tax increment, and transportation sales tax funds to
finance State operations. Such a move would be fiscally irresponsible and
hamper effective local services and infrastructure investments.
I, the undersigned, hereby certify that the foregoing Resolution was duly and
regularly adopted and passed by the Council of the City of Alameda during the Regular
Meeting of the City Council on the 5" day of August, 2008, by the following vote to wit:
AYES: Councilmembers deHaan, Matarrese, Tam
and Mayor Johnson - 4.
NOES: None.
ABSENT: Councilmember Gilmore -
ABSTENTIONS: None.
IN WITNESS, WHEREOF, I have hereunto set my hand and affixed the official seal of
said City this 6th
day of August, 2008.
; r
Lara Weisiger, Cit lerk
City of Alameda