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11,4 / V6 � t lit January 31, 2003 l u - Issue #4- 2003 on* aollorlwft I ad updm M lep . «td poiry "*Bea f ouortti. bin ASSEMBLY PASSES VLF BILL (AB 4X — WESSON) SENATE AND ASSEMBLY PASS BUDGET CUTS On Tuesday, January 28, the Assembly passed a package of budget cuts totaling $8.6 billion over the next 17 months. The cuts apply to a number of state programs. None of the cuts directly affect cities. The Senate also completed its own version of a cut package that totals $3.2 billion for the current (2002- 03) budget year. Again, none of the cuts directly affect cities. Also on January 28, the Assembly passed AB4X by Assembly Speaker Herb Wesson on a 45 -34 vote. (See related article: How Did Your Assembly Member Vote on AB 4X ?) The bill clarifies that the Department of Finance has the authority to assess the condition of the general fund, with the help of the Controller, and to "pull a trigger" to increase the vehicle license fee tax (VLF) when there are insufficient revenues in the state general fund to "backfill" cities and counties for revenues lost by reduced vehicle license fees. For more, see page 2. ....................... CALIFORNIA BIG -CITY MAYORS MAKE THEIR VOICES HEARD Mayors from seven of California's biggest cities visited the Capitol on January 29 to call for restoration of the vehicle license fee (VLF) and protection of local redevelopment funding. The mayors began their day with a press conference on the Capitol's North steps. Mayor Jim Hahn of Los Angeles spoke first, saying," I am deeply concerned about the impact of Governor Davis's budget on local governments." Referring to the Governor's proposal to eliminate half of the current year's VLF payments to cities, and the entire backfill to cities in FY 2003 -04, Hahn continued, "Cities are on the front line, and budget cuts this deep mean fewer police and firefighters. Large cities are already facing budget deficits caused by lower- than - anticipated revenues. State budget cuts will only widen cities' budget short- falls." For more, see page 3. ....................... LOCAL COALITION PARTNERS MAKE THEIR VOICES HEARD Cities, counties, special districts and other organizations comprising the LOCAL coalition (Leave Our Community Assets Local) are doing a terrific job of contacting their legislators about the impacts of pro- posed budget cuts, and in passing resolutions to formally oppose specific cuts. For more, see page 3. Page 3 • Elected City Officials Urged to Participate in Survey