HomeMy WebLinkAboutRES 2003-28RESOLUTION NO. 2003- 28
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF DIAMOND BAR
OPPOSING AS 1221 (STEINBERG AND CAMPBELL) —
CALIFORNIA BALANCED COMMUNITIES ACT
WHEREAS, AB 1221 enacts the California Balanced Communities Act of 2003; rec uces a
city's allocation of sales and use tax revenue; substitutes property tax revenue from the cc unty's
Educational Revenue Augmentation Funds (ERAF) to backfill the sales and use tax revers je lost by
the city; and provides for an additional allocation of 0.5% of sales and use tax to the state n order to
replace the lost ERAF money, and
WHEREAS, the intention of AB 1221 is to create a positive incentive for local govement to
address housing, it instead penalizes cities by depriving them of dependable sales tax rev nue, and
WHEREAS, AB 1221 proposes to give the State more control over the distributionlocal
sales tax revenues placing the delivery of public services and municipal fiscal integrity at ri k, and
WHEREAS, AS 1221 could, in effect, strip the City of Diamond Bar of its only local (located
tax revenue, and - _
WHEREAS, the future development of the City of Diamond Bar will be more retail commercial
based rather than residential according to the current general plan, and
WHEREAS, cities such as Diamond Bar are harmfully discriminated against by the se of a
single base year formula prescribed in AB 1221, having made longer term land use decisi ns based
on existing revenue sources which emphasize future retail commercial development, and
WHEREAS, the City of Diamond Bar will have a growing sales tax base anticipated to be more
than its property tax base, and
WHEREAS, the City of Diamond Bar realizes that the state budget crisis. needs to be solved
and the state tax revenue system must be completely overhauled.
THEREFORE, THE CITY COUNCIL OF THE CITY OF DIAMOND BAR DOES HEREBY
OPPOSE AB 1221 (Steinberg and Campbell) and RESOLVE:
SECTION 1. AS 1221 is not beneficial to the City of Diamond Bar since potential loss of
additional city revenues may lead to a reduction in essential public services.
SECTION 2, The City Council recommends that the state budget office and the stat
Ie.
legislature hold a series of town hall meetings with local elected officials around the state in order to
accumulate more localized ideas to reach an equitable resolution to the state budget crisis.
2003--28
1221.
SECTION 3. The City Council opposes AB 1221 and asks all elected officials to oppose AB
SECTION 4. The City Clerk shall certify to the adoption of the Resolution.
PASSED, APPROVED AND ADOPTED this 20th day of May, 2003.
�UCAxt�
CAROLHERRERA
Mayor
1, LYNDA BURGESS, City Clerk of the City of Diamond Bar, do hereby certify that the
foregoing Resolution was passed, approved and adopted at a regular meeting of the City council
of the City of Diamond Bar held on the 201h day of May, 2003, by the following Roll Call vote:
AYES: COUNCIL MEMBERS: Chang, O'Connor, zirbes ,
MPT/Huff, M/Herrera
NOES: COUNCIL MEMBERS: hone
ABSENT: COUNCIL MEMBERS: None
ABSTAIN: COUNCIL MEMBERS: None
Lynda Burgess, City Clerk
City of Diamond Bar
2003-28