Resolution 2003-72
RESOLUTION NO. 2003-72
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GILROY
SUPPORTING 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 state government may appropriate local
tax funds to fund state government operations and responsibilities,
RESOLUTION NO, 2003-72
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NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF GILROY THAT the City hereby expresses its strong support for a statewide ballot initiative
to allow voters to decide whether local tax funds may be taken, confiscated, shifted, diverted or
otherwise used to fund state government operations and responsibilities; and
BE IT FURTHER RESOLVED 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 initative; and
BE IT FURTHER RESOLVED that the residents ofthe 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 FURTHER RESOLVED that the City Clerk is hereby directed to send a copy to
the Executive Director ofthe League of California Cities,
PASSED AND ADOPTED this 3rd day of November, 2003 by the following vote:
AYES:
COUNCIL:MEMBERS: ARELLANO, DILLON, GARTMAN, MORALES,
P~URO,VELASCO,SPRINGER
NOES:
COUNCILMEMBERS: NONE
ABSENT: COUNCIL:MEMBERS: NONE
APPROVED:
RESOLUTION NO, 2003-72
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I, RHONDA PELLIN, City Clerk ofthe City of Gilroy, do hereby certify that the attached
Resolution No. 2003-72 is an original resolution, or true and correct copy of a city resolution,
duly adopted by the Council of the City of Gilroy at a regular meeting of said Council held on the
3rd day of November, 2003, at which meeting a quorum was present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of
the City of Gilroy this 13th day of November, 2003,
Andlt ~--!~j
lerk of the City of Gilroy
(Seal)