Loading...
HomeMy WebLinkAboutSB 88 (Oppose)Ron Everett Mayor Carol Herrera Mayor Pro Tern Wen P. Chang Council Member Jack Tanaka Council Member Steve Tye Council Member Recyded paper OfdPU-JI i wer 8, 2009 21825 Copley Drive - Diamond Bar, CA 91765-4178 (909) 839-7000 - Fax (909) 861-3117 www.CityofDiamondBar.com The Honorable Senator DeSaulnier State Senator, 7th District State Capitol, Room 2054 Sacramento, CA 95814 Fax: 916-445-2527 Dear Senator DeSaulnier: The City Council of Diamond Bar respectfully opposes SB 88, which places unwarranted and excessive State requirements on local government contemplating bankruptcy. The City of Diamond Bar strongly objects to this legislation because of the additional burden placed on the City's authority to manage its own fiscal affairs. Since incorporation in 1989, the Diamond Bar City Council has consistently valued and practiced fiscal responsibility. Additionally, since the adoption of Chapter 9 of the state Bankruptcy Code in 1949, only two cities have petitioned for its use. Requiring cities to obtain state approval and guidance before filing for bankruptcy places municipalities in a greater financially subordinate role to the State and does nothing to resolve the real issue affecting local government revenues and the onus of bankruptcy, which is the State's continued siphoning of billions of dollars in local government revenue to fix the State's ongoing structural budget deficit. The City of Diamond Bar values transparency and reform especially with regard to financial matters. However, local financial decisions are best left to the locally elected City Councils and the residents they represent, not State officials. For these reasons, the City of Diamond Bar is opposed to SB 88. Sincerely, Ron Everett Mayor, City of Diamond Bar CC: League of California Cities Joe A. Gonsalves & Son