AgdaPkt 2003-06-23 - Laserfiche WebLink

Browse Search

/0 ,q -/�_ BUDGET from page 1 • • • • • • • - Proposed Cut Equivalent to 56% Greater City Officials Make Their Voices Heard "ERAF" Shift Reportedly, the local government "contribution" – of $1.16 billion or some other approach — could be split as follows: cities (40 %), counties (40 %) and special districts (20 %). If this is the allocation, both cities and counties would shoulder about $466 million each, and special districts would lose about $228 million. Although the allocation method of the potential shift has not yet been determined, it is clear that a proposal costing California cities $466 million in FY 2003 -04 is equivalent to a 56% increase in the continuing city ERAF shift of $827 million. (See chart for illustration.) Put another way, cities' FY 2003 -04 ERAF shift of $827 million could grow by $466 million – draining a total of $1,293 billion from city services in FY 2003 -04. The potential ongoing nature of the shift would mean that cities' status as net donors to the state – providing more revenue from the ongoing shift — would grow by 50 %. League and City Officials Respond Quickly The League responded to this threat this week by vigorous lobbying efforts in the State Capitol, and by urging city officials to contact their legisla- tors immediately to tell them that this proposal is unacceptable. Specifically, the League urged city officials to say that: " These cuts are too high, and unfair to California communities. - No permanent cuts. Local governments can't afford another "ERAF" shift. Local govem- ments were not the cause of the state's crisis. They shouldn't shoulder a disproportionate share of the solution. • Maximum Flexibility. Local governments should have the discretion to draw on various local funds to absorb the impact of any possible budget cuts. City officials responded quickly, and many shared information with the League on the points they made to legislators. (See "City Officials Respond to Proposed State Raid ".) As the week ended, plans were underway for various LOCAL- and city- sponsored press confer- ences next week to emphasize the risk to local services posed by cuts of more than $1 billion. There were early signs that some legislators were "hearing" the local government messages. But with the June 15 deadline approaching for adoption of a new state budget, virtually no one expects that this year's budget impasse is close to resolution. Local services are on the state chopping block. It will take sustained efforts on the part of city officials and their LOCAL partners to make sure that legislators understand the importance of taking them off that table. How much would your city lose? Visit the State Budget page (www.cacities.org / budoet) to see city -by -city estimates, using a VLF allocation formula. See also an illustration of the proposed cuts compared to ERAF. ■ ■ ■ ■ ■■■ ■ ■■■ ■■■ ■ ■ ■ ■ ■ ■■ ■■ ■■■ ■ ■■ ■■ • REGISTER NOW! 2003 LEAGUE OF CALIFORNIA CITIES ANNUAL CONFERENCE September 7 —10, 2003 ; : Sacramento Convention Center ■ To register online and view a preliminary ; conference program visit: ■ www.cacities.org /ac or call 916 -658 -8291 ■ ■ ............................... Visit the League's Official Web Site- •www.cacities.org PRIORITY FOCUS /PAGE 5 ... . .. .. . ... ... ... ... . ... .. . ... ... ... .