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HomeMy WebLinkAbout19E - LOCAL TAXPAYER PUBLIC SAFETY AND TRANSPORTATION PROTECTION ACT REQUEST FOR , COUNCIL ACTION CITY COUNCIL MEETING DATE: CLERK OF COUNCIL USE ONLY: MARCH 1, 2010 TITLE: APPROVED ? As Recommended SUPPORT THE "LOCAL TAXPAYER, ? As Amended s PUBLIC SAFETY AND TRANSPORTATION ? ordinance on ~ Reading ? Ordinance on 2"d Reading PROTECTION ACT" ? Implementing Resolution ? Set Public Hearing For ~ CONTINUED TO 0 ~r l t ~ ~~~~zi-----~ FILE NUMBER CITY MANAGER RECOMMENDED ACTION Authorize the Mayor to send a letter to the League of California Cities in support of the "Local Taxpayer, Public Safety and Transportation Protection Act." DISCUSSION For the past multiple years the state has balanced its budget shortfalls with revenue from local governments. These actions have resulted in a loss of millions of dollars to the City of Santa Ana and its residents. To protect city funds, the League of California Cities is working to qualify an initiative for the November 2010 ballot. The "Local Taxpayer, Public Safety and Transportation Protection Act" is a constitutional amendment that would stop the State from raiding or borrowing funding from local public safety, transportation, transit and other essential local government services. Specifically, the measure would close loopholes to prevent the taking of funds currently dedicated to cities, counties, special districts and redevelopment agencies. It would also end the State's practice of borrowing local government property tax funds. Additionally, the measure would prevent the State from borrowing or redirecting the state sales tax on gasoline (Prop 42 funds) and Highway User Tax on gasoline (HUTA) funds that voters have dedicated to transportation maintenance and improvements. The initiative is currently being circulated for signature and must qualify by April 15, 2010 to be placed on the November 2010 ballot. If on the ballot it would take a 50% plus one vote threshold to be successful. FISCAL IMPACT There is no fiscal impact associated with this item. 19E-1 19E-2