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■ i � �� BUDGET TNLI(IAIG POINTS: — WHY THE LEAGUE OPPOSES THE GOVERNOR'S PROPOSED ERAF SHIfT They're shifting the state deficit to local enue to cities and counties. If a state tax increase would be 'the final nail in Cal'rfomia's economic coffin", government. as the Govemor said in his state-of-the-state speech on • 7he proposal shifts $1.3 billio; + of the state's Tuesday, why put pressure on local govemments to deficit to local govemmeMS. This simply forces �� xes7 cutbacks in local services and possibly fee and tax increases at the local level. Robbing iocal govemments is business as usual. • IYs 1.3 billion on top of $5.2 billion — the current One of the Govemor's promises was to end busi- ness as usual in the state capitol. He was supposed to year ERAF shift — about a 25% increase. And iYs be the Terminator of business as usual, not the Preda- ongoing. tor of local services. �t's a She�� 9ame . INITIATIVE UPDATE from page 1• ••••.. • IYs tricky and complicated but the bottom line is The reps and their LOCAL partners are identify- simple: the state is taking money away from local ing at least four high treffic areas in their divisions, services to balance fts own budget. IYs simply wrong. and contacting city, county and special district officials, union representatives, and others to • We appreciate the Govemor recognizing that volunteer for two-hour shifts. Each volunteer will be the state has a responsibility to backfill cities and asked to collect a minimum of 50 signatures. Local counties for vehicle license fees. But iYs not much news media outlets are being notified of the event as help if one hand is restoring funding while the other is well, raising the poten6al for news coverage of the picking our pockets. grassroots signature gathering effort. _ The propeRy tax shift is a rehash of failed With a number o` petitions for different initiatives policies. in circulation, the cost of paid signature gathering could increase quickly. Achieving the LOCAL • The Governor's proposal is a rehash of failed campaign's goal of 300,000 volunteer signatures policies of the early 1990's — taking money from local can save the campaign hundreds of thousands of investment to plug holes in the state's budget. dollars that will be needed for advertising purposes as the November election draws nearer. • Califomia has suffered the effects of this policy: housing shortages, increased fees for services, and "The 'Super Saturday' approach will be a fun, in many cases, significant cutbacks in services. easy and important way for local officials and staff California has been hurt by this approach. It was a members to get invoived in the LOCAL campaign," bad idea in 1990. IYs a bad idea now. said League Executive Director Ron Loveridge. "Our League regional staff are working hard on the IYs job-loss, job-loss, job-loss: a nail in the initiative, but we must have all our members involved coffin for local economic development and the to achieve aur goals. jobs it creates. "With our active involvement, I am confident we'll • The Govemor said in his state of the state that be successful." he wants to restore Califomia's business Gimate. He said iYs all about jobs, jobs, jobs". But taking money For information on how to participate, please away from redevelopment activities sVikes at the contact your League regional representative. Re- heart of Califomia's primary job creation engine. It member, promotion of ballot measures or participa- makes no sense. tion in ballot measure advocacy activities cannot occur on city time or using city facilities or equip- • The Governor's pledge for "no new taxes" rings ment. For more information on legal do's and holtow if he's merely shifting the need for new rev- don'ts, see www.cacities.ora/initiativ Visit the League's Official Web Site••www.cacities.org PRIORITY FOCUS/PAGE 5