AgdaPkt 2003-08-11 - Laserfiche WebLink

Browse Search

9.A•4 CALTRANS from page 1 a • On Tuesday, July 22, 2003, the California Transportation Commission held a special meeting to hear from Caltrans officials, Department of Finance and Bureau of State Audits to outline a temporary financing plan that would allow transpor- tation projects currently under construction to proceed in spite of the fact that the State has no budget in place. The temporary plan involves sacrifices from contractors, cities, counties and self -help or sales tax counties. Contractors have been requested to continue work with a commitment for payment upon adoption of the budget and agreement to reduce late payment fees required by current law. Several self -help counties have agreed to provide a loan to Caltrans — most likely with no interest — to keep projects moving. Several cities and counties have agreed to advance funds for projects with the promise of reimbursement upon adoption of a budget. And finally, $370 million in local oblige - tional authority (OA) dedicated to cities and coun- ties for projects from several federal funding pots will be converted into cash — delaying any projects that would otherwise have been put forth. The department is immediately ceasing all new local obligations. Caltrans officials explained that these were all very temporary solutions, which may only solve the problem for a one to two month delay in adoption of a budget. While these actions will keep the hundreds of projects currently under construction on pace, the funding crisis facing transportation will delay the awarding of bids and preclude com- mencement of any new projects. The extent to which individual cities and coun- ties are impacted by these actions depends upon whether a jurisdiction has a current Traffic Conges- tion Relief Project or State Transportation Improve- ment Program project currently under construction or one awaiting commencement. These efforts only continue projects currently under construction, but overall this will benefit the transportation community as a whole, because increased costs of those projects due to delays would be a drain on transportation revenues as a whole. Local agen- cies should anticipate the ability to begin normal obligations upon passage of the State budget or as additional OA is provided in the next federal bud- get. INITIATIVE from page 1..... a • • • a a . . The board of directors also voted to seek the approval of the General Assembly of City Voting Delegates that will meet in connection with the League's Annual Conference in Sacramento, September 7 -10, 2003. Final decisions on the content of the ballot measure have not been made, but research suggests it should ask voters whether they should be consulted before the state government confiscates local tax funds to pay for state services. Decisions on the content of the initiative are expected by mid - September. John Russo, League President and City Attorney of Oakland, said: "This is really all about local democracy and voter control. Over the last 12 years more than $6 billion of city property tax funds have been taken by the state to balance its budget, and the legislature is poised to take other city funds in this year's budget. That's $6 billion less for local police, fire, EMS, park, library and street maintenance services. It is time to ask the voters whether they think the state should be able to keep doing this without their approval." The League board reviewed a tentative time- table for the campaign and estimated costs. Funding for the campaign will come from private sources - individuals and businesses. If all goes according to the preliminary plan presented to the board, the proposed initiative could be filed with the Attorney General in later September or early October of this year. Signature gathering could begin as early as November 2003. City officials will be kept abreast of develop- ments on this issue as further developments occur and are encouraged to consider becoming active advocates of this initiative as the details unfold. Our Mission Restore and protect local control for cities through education and advocacy to enhance the quality of life for all Californians. PAGE 4 /PRIORITY FOCUS Visit the League's Official Web Site -- www.cacities.org