2003 AGN OCT 07 I04 - Laserfiche WebLink

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CITY OF COLTON AGENDA REPORT FOR COUNCIL MEETING OF October 7, 2003 TO: Honorable Mayor and City Council FROM: Daryl Parrish, City Manager SUBJECT: Consideration Approval of a Resolution, Supporting a Statewide Ballot Initiative to Require Voter Approval Before State Government May Take Local Tax Funds. DATE: October 1, 2003 Item #4 BACKGROUND: Staff is recommending Council consider approval of a resolution supporting a Statewide ballot initiative to require voter approval before State Government may take local tax funds. DISCUSSION/ANALYSIS: As Council is aware, the League of California Cities, and all its member cities through their local Divisions, have been working the past several years to craft a ballot initiative that would serve to protect local tax revenues from being diverted for State spending programs. The League has also been working in concert with the County Supervisor's Association of California and the California Association of Special Districts. The time has arrived for final action and the General Assembly of the League met this past week and unanimously approved proceeding with such a ballot initiative. Since 1991, when the State Legislature began seeking ways to divert local tax funds from cities and counties to State control and use, cities have lost more than $6.9 billion. Counties have lost even more. City of Colton has lost more than $10 million during this period and continues to lose more than $1.08 million each year, and growing. Such local revenues are spent for basic local services such as police, fire, street maintenance, park maintenance and community recreation. The continued loss of local tax funds is jeopardizing the ability of local governments to provide a level of local services that our citizens expect and deserve. The cause is undisciplined and unrestrained spending by the State Government without sufficient or prudent reserves for unforeseen emergencies to deal with the fluctuations of the economy and the needs of the State. The intent of this ballot initiative is not to completely prevent the State from diverting local tax funds under certain circumstances, but rather to constrain such diversion by requiring the State Legislature to make the compelling case for urgency for such funding and to seek the approval of voters to make such a diversion of local tax funds. FINANCIAL IMPACT: None. ENVIROMENTAL IMPACT: None.