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HomeMy WebLinkAbout6847JOINT RESOLUTION A JOINT RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDLANDS AND THE BOARD OF THE REDEVELOPMENT AGENCY OF THE CITY OF REDLANDS AUTHORIZING THE CITY ATTORNEY/AGENCY GENERAL COUNSEL, AND CITY AND AGENCY STAFF TO COOPERATE WITH THE LEAGUE OF CALIFORNIA CITIES, THE CALIFORNIA REDEVELOPMENT ASSOCIATION, AND OTHER CALIFORNIA CITIES, COUNTIES AND REDEVELOPMENT AGENCIES IN POTENTIAL LITIGATION CHALLENGING THE CONSTITUTIONALITY OF ANY SEIZURE BY STATE GOVERNMENT OF THE CITY'S STREET MAINTENANCE FUNDS AND ANY SEIZURE OF REDEVELOPMENT AGENCY TAX INCREMENT FUNDS WHEREAS, the current economic crisis has placed cities under incredible financial pressure and caused them to make painful budget cuts, including layoffs and furloughs of city workers, decreasing maintenance and operations of public facilities, and reductions in direct services to keep spending in line with declining revenues; and WHEREAS, since the early 1990s the state government of California has seized over $10 billion of city property tax revenues statewide, now amounting to over $900 million each year, to fund the state budget even after deducting public safety program payments to cities by the state; and WHEREAS, since the early 1990s the state goverment also has seized $ 1 04 billion of redevelopment tax increment statewide, and the Governor and Legislature are now considering seizing $350 million each year for three years, beginning in the current fiscal year; and WHEREAS, on April 30, 2009 in the case of CRA v Genesi the Sacramento Superior Court found similar efforts by the State to seize redevelopment tax increment for the state general fund to be in direct violation of Article XVI, Section 16 of the State Constitution, added by the voters in 1952 as Proposition 18, which requires that tax increment be used exclusively for the benefit of redevelopment project areas; and WHEREAS, in his proposed FY 2009-10 budget, the Governor has proposed transferring $1 billion of local gas taxes and weight fees to the state general fund to balance the state budget, and over $700 million in local gas taxes permanently in future years, potentially jeopardizing the ability of the City of Redlands (the `City") to maintain the City's streets, bridges, traffic signals, streetlights, sidewalks and related traffic safety facilities for the use of the motoring public; and I:\cclerk\Resolutions\Rt. 6800-6879Voint Reso Seizure by State of Maintenance and Tax Funds.doc 1 WHEREAS, the loss of almost all of the City's gas tax funds will seriously compromise the City's ability to perform critical traffic safety related street maintenance, including, but not limited to, drastically curtailing patching, resurfacing, street lighting/traffic signal maintenance, payment of electricity costs for street lights and signals, bridge maintenance and repair, sidewalk and curb ramp maintenance and repair and more; and WHEREAS, some cities report to the League of California Cities that they will be forced to eliminate part or all of their street maintenance operations while others will be forced to cut back in other areas (including public safety staffing levels) to use city general funds for basic street repair and maintenance; and WHEREAS, in both Proposition 5 in 1974 and Proposition 2 in 1998, the voters of our state overwhelmingly imposed restrictions on the state's ability to do what the Governor has proposed, and any effort to permanently divert the local share of the gas tax would violate the state constitution and the will of the voters; and WHEREAS, cities and counties maintain 81% of the state road network while the state directly maintains just 8%, and WHEREAS, ongoing street maintenance is a significant public safety concern. A city's failure to maintain its street pavement (potholes filling, sealing, overlays, etc.), traffic signals, signs, and street lights has a direct correlation to traffic accidents, injuries and deaths; and WHEREAS, according to a recent statewide needs assessment' on a scale of zero (failed) to 100 (excellent), the statewide average pavement condition index (PCI) is 68, or 'at risk. Local streets and roads will fall to `poor' condition (Score of 48) by 2033 based on existing funding levels available to cities and counties; NOW THEREFORE, BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF REDLANDS ("THIS CITY COUNCIL') AND THE BOARD OF THE REDEVELOPMENT AGENCY OF THE CITY OF REDLANDS ("THIS BOARD"), AS FOLLOWS. Section 1 This City Council/Board hereby directs the City Attorney/Agency General Counsel, and City and Agency staff, to take all necessary steps to cooperate with the League of California Cities, California Redevelopment Association, and other cities, counties and redevelopment agencies in supporting litigation against the state of California if the legislature enacts and the Governor signs into law legislation that unconstitutionally diverts the Agency's redevelopment tax increment and/or the City's California Statewide Local Streets and Roads Needs Assessment, Nichols Consulting Engineers, Chtd. (2008), sponsored by the League of California Cities, Califbrnia State Association of Counties and County Engineer Association of California. I:\cclerk\Resolutions\Res 6800-6879Uoint Reso Seizure by Statu of Maintenance and Tax Funds doe 2 share of funding from the Highway Users Tax Account (HUTA), also known as the "gas tax," to fund the State general fund Section 2 This City Council/Board further directs that the City Manager/Agency Executive Director and City Clerk/Agency Secretary shall cause this Resolution, with an accompanying letter from the Mayor/Chairman, to be sent to the Governor and the City's and Agency's local State legislators, informing them in the clearest of terms of the City's and Agency's adamant resolve to oppose any effort to frustrate the will of the electorate as expressed in Proposition 18 (1952), Proposition 5 (1974) and Proposition 2 (1998) concerning the proper use and allocation of the redevelopment tax increment and the gas tax Section 3 This City Council/Board further directs that the City Manager/Agency Executive Director and the City Clerk/Agency Secretary shall cause a copy of this Resolution to be sent to the League of California Cities, the California Redevelopment Association, the Redlands Chamber of Commerce, and other community groups whose members are affected by this proposal to create unsafe conditions on the streets of our City for pedestrians, bicyclists and motorists ADOPTED, SIGNED and APPROVED this 22nd day of June, 2009 ATTEST LolTle Oyler, Cl rk Cit lerk/Agency Se - ar Jon amson,"Mayor of the City of Redlands C aiiperson, Board of Directors, Redevelopment Agency of the City of Redlands I, Lome Poyzer, City Clerk/Agency Secretary of the City of Redlands, hereby certify that the foregoing resolution was adopted by the City Council/Board of the Redevelopment Agency at a regular meeting thereof held on the 22nd day of June, 2009 by the following vote AYES Councilmembers/Board Members Gilbreath, Gallagher, Aguilar, Bean, Mayor/Chairperson Hamson NOES None ABSENT None City Clefk!Agency (S 1 Icclerk\Resoluuons1Res 6800 68791Joint Reso Seizure by State of Maintenance and Tax Funds.doc 3