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HomeMy WebLinkAbout67-113 - Opposing Principle of Federal Tax SharingF.s JAO RESOLUTION NO. 67-113 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF COSTA DESA, CALIFORNIA, OPPOSING THE PRINCIPLE OF FEDERAL TAX SHARING. WHEREAS, in the division of governmental functions among state, local, and federal bodies in the United States, the exercise of powers at various levels is inseparably related to the distribution of taxing authority; and WHEREAS, the larger the percentage of total tax revenue collected at any one level, the greater will be the power of that government; and WHEREAS, today the federal government's share of total taxes far exceeds the total combined share for state and local governments; and WHEREAS, if present tax trends continue, local governments will not be able to meet public demands for more and better schools, highways, health facilities, police protection, and other similar services without severe strains upon their respective economies; and WHEREAS, the latest federal budget lists approximately 85 local grant- in-aid activities and, as a consequence, these programs are beginning to exceed the level of manageability; and WHEREAS, the dollar value of grant-in-aid programs has increased from a3.1 billion a decade ago to more than $15 billion this year, and the con- tinued growth of such programs makes state and local governments even more dependent upon the federal government; and WHEREAS, such programs often force the states to spend tax money excessively in certain areas in order to match the allocation of federal funds; and WHEREAS, it is vital and essential to strengthen state and local self-goveran ant; and WHEREAS, it is expensive and uneconomical for the federal government to collect taxes and to return part of them to the state and local government by the way of subventions; NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Costa Mesa, California, that this City Council endorses the basic principle of tax sharing in order to make additional revenues available to the state and local governments, but believes that the best system of tax sharing is for each level of the government to levy a reasonable and properly proportionate share of taxes to carry out its own functions, projects and duties, and that it is expensive and undesirable for the federal government to levy monies in excess of those needed to carry out its own functions and to then return some portion of the excess to the state and local governments; and BE IT FURTHER RESOLVED that the Congress of the United States is urged to enact a workable and realistic program of taxation whereby only such taxes as are reasonably necessary to carry out the functions, projects and duties of the federal government be levied by it, in order that the state and local governments may do likewise, and thus obviate the need for developing programs of sharing in the taxes levied by the federal government; and BE IT FURTHER RESOLVED that the City Clerk of the City of Costa Mesa, California, be and he hereby is authorized and directed to transmit copies of this Resolution to each Senator and the Representative from this district in the Congress of the United States. PASSED AND ADOPTED at a regular meeting of the City Council of the City of Costa Mesa, California, held on the 20th day of November, 1967. ATTEST: City Clerk of the City of Costa Mesa STATE OF CALIFORNIA ) COUNTY OF ORANGE ) SS. CITY OF COSTA MESA ) Mayor of th7e�Cit Costa Mesa I, C. K. PRIEST, City Clerk of the City of Costa Mesa and ex -officio Clerk of the City Council of the City of Costa Mesa, hereby certify that the above and foregoing Resolution No. 67-113 was duly and regularly passed and adopted by the City Council of the City of Costa Mesa at a regular meeting held on the 20th day of November, 1967. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Seal of the City of Costa Mesa this 21st day of November, 1967. City Clerk -and ex -officio Clerk of the City Council of the City of Costa Mesa j