AgdaPkt 2003-12-08 - Laserfiche WebLink

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i REPORT' December 8, 2003 ... ..::... To the Honorable Mayor and City Council From the ClAy Manager Subject Resolution supporting placement of the proposed "Local Taxpayers and Public Safety Protection Act" on the November 2, 2004 statewide ballot Recommendation Adopt a resolution supporting placement of the proposed "Local Taxpayers and Public Safety Protection Act," a measure sponsored by the League of California Cities, on the November 2, 2004 statewide ballot Background In recent years, the State legislature and the governor have approved laws that divert, use, or "shift" local tax revenues away from local governments or in some cases delay the payment of local tax revenues to local governments. The State's trend toward further confiscation of local tax revenues (that local governments use to provide essential services such as police and fire protection, emergency and public health care, roads, parks, libraries, and water delivery), extends back for more than a decade. Since 1991, the State has taken more than $30 billion of local property taxes from cities, counties, and special districts. In just the last fiscal year, cities lost $800 million of local funds in this manner, and nearly $7 billion over the last 12 years. Remarkably, even in years of a State budget surplus, the State has continued to take these funds and use them to finance its constitutional funding obligation to education, thus allowing it to increase State general fund spending for other State programs. Adding to the problem, in recent years the State has also shifted costs for State - sponsored programs and delayed constitutionally - required reimbursements to local governments for State - mandated programs and services. More specifically, in the last two years the State has "deferred" over $1 billion in such constitutionally - required reimbursements to local governments. It's abundantly clear that the State -local fiscal system is broken. With the lack of any effort bythe legislature to address this worsening problem, the League of California Cities joined with the California State Association of Counties (CSAC) and the California Special Districts Association (CSDA) to sponsor a ballot initiative entitled the "Local Taxpayers and Public Safety Protection Act." This measure has been filed with the State Attorney General's office, and now the League and its partners must gather sufficient signatures to place the measure on the November, 2004 ballot.