HomeMy WebLinkAbout08-174 - Resolutions RESOLUTION NO. 08-174
A RESOLUTION OPPOSING FISCALLY IRRESPONSIBLE
STATE BUDGET DECISIONS THAT WOULD "BORROW"
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 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"borrow" 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 for state and
local transportation projects, 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 "borrow" these funds if they are repaid in three years with interest, but the
Governor believes it would be irresponsible to "borrow" 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 carry out its constitutional obligation to
compromise on a balanced budget is not a "severe state of 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 downturn, and
WHEREAS, city investments in infrastructure, affordable housing and basic
public safety and other community services will create needed fobs and speed our 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
Resolution No 08-174
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WHEREAS, it would be the height of fiscal irresponsibility to paper over the state
structural deficit with more borrowing, and Californians deserve state 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 Balance the state budget
with state funds
NOW, THEREFORE, BE IT RESOLVED, that the City of Rancho Cucamonga
hereby opposes any and all efforts by state government to "borrow" or seize local tax funds,
redevelopment tax increment and transportation sales tax funds by the state government to
finance state operations Such a move would be fiscally irresponsible for the state and hamper
effective local services and infrastructure investments
RESOLVED FURTHER, that the City of Rancho Cucamonga will hereby
continue to communicate its strong and unswerving opposition on this matter to its Legislators
and the Governor along with an expression of our continued appreciation for the Governor's and
any supportive legislators' steadfast opposition to further borrowing or seizure of these funds
Please see the following page
for formal adoption,certification and signatures
Resolution No 08-174
Page 3 of 3
PASSED, APPROVED, AND ADOPTED this 6th day of August 2008
AYES- Gutierrez, Kurth, Michael, Spagnolo, Williams
NOES: None
ABSENT: None
ABSTAINED: None
Donald J Kurth, M , Mayor
ATTEST:
Kathryn L SActing City Clerk
I, KATHRYN L. SCOTT, ACTING CITY CLERK of the City of Rancho
Cucamonga, California, do hereby certify that the foregoing Resolution was duly passed,
approved and adopted by the City Council of the City of Rancho Cucamonga, California, at a
Regular Meeting of said City Council held on the 6th day of August 2008
Executed this 7`h day of August 2008, at Rancho Cucamonga, California
Ia4ullULZ\ d(-14 —
Kathryn L Sitott, CMC, Acting City Clerk