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ARA1993-11RESOLUTION NO. ARA93-11 A JOINT RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM AND THE ANAHEIM REDEVELOPMENT AGENCY PROTESTING THE STATE LEGISLATURE'S SCHEME SET FORTH IN SENATE BILLS 617 AND 844 WHICH REDIRECTS LOCAL REDEVELOPMENT PROPERTY TAX INCREMENT TO FUND CONSTITUTIONALLY MANDATED OBLIGATIONS OF THE STATE AND DIRECTING THAT CERTAIN ACTIONS BE TAKEN WITH REGARD THERETO. WHEREAS, on September 3, 1992, the California State Legislature approved Senate Bills 617 and 844 as urgency statutes and, on September 14, 1992, the Governor approved Senate Bills 617 and 844; and WHEREAS, the purpose of Senate Bills 617 and 844 is to shift $1.3 billion in local property tax revenues from cities, counties, special districts, and redevelopment agencies to a newly created Educational Revenue Augmentation Fund ("ERAF") so that the State could meet its constitutionally imposed obligation to fund public education; and WHEREAS, Senate Bills 617 and 844 will reduce the property tax increment revenues available to California redevelopment agencies in 1992-93 by $205 million; and WHEREAS, with regard to the Anaheim Redevelopment Agency ("Agency"), Senate Bills 617 and 844 require the Agency to transfer to the Orange County ERAF $3,371,520.14 in local property tax increment revenue in 1992-93, which otherwise would have been available for purposes of local redevelopment activities within the community; and WHEREAS, the transfer of such amounts from the Agency to the ERAF will seriously damage, impair and delay the Agency's efforts in implementing the Redevelopment Plan(s) for the Alpha Project Area; and WHEREAS, Senate Bills 617 and 844 unfairly foist upon local government in general, and redevelopment agencies in particular, the State's constitutionally mandated obligation to fund public education in California; and WHEREAS, Senate Bill 617 and 844 are contrary to the California Constitution and the California Community Redevelopment Law (Government Code Section 33000 et seq.); and WHEREAS, the Board of Directors of the California Redevelopment Association recommends that California redevelopment agencies support litigation brought by the City of Alhambra and the Alhambra Redevelopment Agency contesting the legality of Senate Bills 617 and 844, and requests that California redevelopment agencies join in legal action and other efforts to overturn Senate Bills 617 and 844. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ANAHEIM ("City Council") AND THE ANAHEIM REDEVELOPMENT AGENCY DO HEREBY JOINTLY RESOLVE AS FOLLOWS: 1. The City Council and Agency laud and support the efforts of the California Redevelopment Association and the City of Alhambra and the Alhambra Redevelopment Agency in their pending and current legal challenges to Senate Bills 617 and 844. 2. The City Council and Agency hereby authorize the City Attorney, at his discretion and as appropriate, to file and/or join in other litigation filed or to be filed in challenging the legality of Senate Bills 617 and 844. 3. The City Council and Agency hereby direct staff to immediately contact county government and school district officials and ask that they join in legal action and other efforts to overturn Senate Bills 617 and 844. Money taken from local government and given to schools has not given extra money to the schools. Counties have likewise been hard hit by the State's shift of State budget problems to local government. The State must clean its own house and reduce its budget or increase its revenues. The State Legislature should not evade its responsibility to make these hard choices by taking money from schools and local government to solve a State budget problem. 4. The City Council and Agency further direct that any payment made by the Agency to the ERAF be made under protest and that the City and Agency reserve their right to litigate the legality of such payment. 5. The City Council directs the City Clerk to send a copy of this resolution to the Governor's Office, the President of the Senate, the Speaker of the Assembly and to all local legislators that represent the City of Anaheim. ADOPTED BY THE CITY COUNCIL OF THE CITY OF ANAHEIM this 15th day of 3une , 1993 . MAYO~ - ATTEST: City Clerk of the City of Anaheim ADOPTED BY THE ANAHEIM REDEVELOPMENT AGENCY this /~day of ~ , 1993. Secretary 2007.1\JWHITE\June 2, 1993 STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss. CITY OF ANAHEIM ) I, LEONORA N. SOHL, Secretary of the Anaheim Redevelopment Agency, do hereby certify that the foregoing Resolution No. ARA93-11 was passed and adopted at a regular meeting of the Anaheim Redevelopment Agency held on the 15th day of June, 1993, by the following vote of the members thereof: AYES: AGENCY MEMBERS: Feldhaus, Hunter, Pickler, Simpson, Daly NOES: AGENCY MEMBERS: None ABSENT: AGENCY MEMBERS: None AND I FURTHER CERTIFY that the Chairman of the Anaheim Redevelopment Agency signed said Resolution No. ARA93-11 on the 16th day of June, 1993. IN WITNESS WHEREOF, I have hereunto set my hand and seal this 16'th day of June, 1993. SECRETARY OF THE ANAHEIM REDEVELOPMENT AGENCY (SEAL)