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IN THE CITY COUNCIL, OF THE CITY OF SAN LEANDRO RESOLUTION NO.2008- RESOLUTION OPPOSING STATE BUDGET DECISIONS THAT WOULD "BORROW" LOCAL GOVERNMENT, REDEVELOPMENT AND TRANSPORTATION FUNDS WHEREAS, on July 1, 2008 the State Legislature missed its Constitutional budget deadline; and WHEREAS, both the Governor and the Legislative Budget Conference Committee have recommended balanced budgets without resorting to "loans" or seizures of local government properly tax, redevelopment tax increment and transportation sales tax funds; and WHEREAS, in 2004 by an $4% margin of approval the voters of California approved Proposition 1 A to end the practice of taking local government funds to fmance the state budget; and WHEREAS, in 2006 by a 77% margin of approval the voters of California also approved Proposition 1 A, providing similar protections to transportation funding for state and local transportation projects, including important street maintenance and public transit programs; and WHEREAS, both ballot measures allow the Governor to declare a "severe state of fiscal hardship" and "borrow" these funds if they are repaid in three years with interest. However, failure to reach a balanced budget is not a "severe state of fiscal hardship" and would not justify reductions in critical local services, community revitalization programs and infrastructure maintenance at a time when cities are struggling to balance their own budgets during this economic down turn; and WHEREAS, city investments in infrastructure, affordable housing and basic public safety and other community services will create needed jobs and speed our economic recovery; and WHEREAS, the Legislature should balance the state budget with state revenues and respect the overwhelming support of voters for not using local property taxes, redevelopment tax increment and transportation sales tax funds to fund the day-to-day operating cost of state programs. NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of San Leandro hereby opposes any and all efforts by state government to "borrow" or take local tax funds, redevelopment tax increment and transportation sales tax funds by the state government to finance state operations. RESOLVED FURTHER, that the City Clerk is hereby directed to send this resolution and communicate this Council's strong opposition on this matter to the Governor and our Legislators along with an expression of our continued appreciation for their steadfast opposition to further borrowing or seizure of these funds.