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HomeMy WebLinkAbout95-68 - Measure M Sales Tax Ordinance on Countywide Ballotand RESOLUTION NO. 95-68 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COSTA MESA, CALIFORNIA, DIRECTING CITY REPRESENTATIVES ON THE BOARD OF DIRECTORS OF THE ORANGE COUNTY TRANSPORTA- TION AUTHORITY TO PLACE THE MEASURE M SALES TAX ORDINANCE ON A COUNTYWIDE BALLOT FOR THE PURPOSE OF REPEAL OR MODIFICATION. WHEREAS, on December 6, 1994, the County of Orange declared bankruptcy; WHEREAS, the credit -worthiness of the County and all jurisdictions within are threatened by a potential default on hundreds of millions of dollars in debt payments due within 12 months; and WHEREAS, the Orange County Board of Supervisors is considering bankruptcy recovery options which include shifting the Bradley -Burns sales tax from cities to the County; and WHEREAS, the State Legislature previously passed, and is likely to consider again, legislation that proposes to shift as much as 16 percent of property tax revenues for up to 20 years from cities to the County of Orange; and WHEREAS, a shift of sales tax or property tax revenues will have a serious negative impact on the general funds of all Orange County cities, putting at risk provision of services such as public safety, parks and recreation, and street maintenance; and WHEREAS, the voters rejected Measure R, the "bankruptcy recovery" sales tax increase on June 27, 1995; and WHEREAS, the California Supreme Court has conclusively ruled, in March of 1995, that taxes may be repealed prospectively by voter mandate; and WHEREAS, there is currently imposed a half -cent sales tax within Orange County, approved by the voters in 1990 as Measure M, for a duration of 20 years, expected to result in revenues exceeding three billion dollars; and WHEREAS, the Orange County Transportation Authority (OCTA) Board has the authority, according to legal opinions of both the County Counsel and OCTA attorneys, to place the real or modification of Measure M before the voters; and WHEREAS, the OCTA Board of Directors includes six city delegates representing all the cities of Orange County; and WHEREAS, the six city members constitute a majority of votes on the 11 -member OCTA Board of Directors; and WHEREAS, redirection of Measure M revenues to the County would provide a dedicated revenue stream to assist in the County bankruptcy recovery plans; and WHEREAS, redirection of Measure M revenues to the County will avoid the necessity for proposed shifts of revenues from cities to the County, or any tax increases on the public; NOW, THEREFORE, BE IT RESOLVED that the Orange County Division, League of California Cities, directs the City representatives on the OCTA Board to take action to place Measure M on a countywide ballot as soon as is practicable, to the extent consistent with State law, to allow voters a chance to reallocate up to $350 million in Measure M funds for bankruptcy recovery purposes. BE IT FURTHER RESOLVED that the City representatives report back to the Division General Meeting in September and October of 1995 as to their actions to implement this resolution. BE IT FINALLY RESOLVED that a copy of this resolution be transmitted to all City representatives on the OCTA Board of Directors, all other members of the OCTA Board of Directors, all Orange County cities, and local media representatives. PASSED AND ADOPTED this 9th day of August, 1995. ATTEST: I. Deputy City1 rk of the City of Costa Mesa STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss CITY OF COSTA MESA ) 'L_ /00"� -�' May r of the City of Costa Mesa APPROVED AS TO FORM YqkA?�_V43�J I_- I J - q'�' CITY ATTORNEY I, MARY T. ELLIOTT, Deputy City Clerk and ex -officio Clerk of the City Council of the City of Costa Mesa, hereby certify that the above and foregoing Resolution No. 95-68 was duly and regularly passed and adopted by the City Council at a joint Costa Mesa Redevelopment Agency/adjourned City Council meeting held on the 9th day of August, 1995. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Seal of the City of Costa Mesa this 14th day of August, 1995. 10 0 If I D"CityCo erk and ex -officio Clerk of thil of the City of Costa Mesa