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HomeMy WebLinkAboutRESOLUTION NO. 1-14-92 Resolution No .W.�l` � � i i i .RESOLUTION OPPOSING THE PROPOSAL OF THE GOVERNOR:' S COMMITTEE ON GOVERNMENT SPENDING REFORM TO ADDRESS IOWA' S STATE BUDGET 'DEFICIT BY RE-ALLOCATING $50, 000, 000 . 00 FROM MOTOR 'VEHICLE USE TAX REVENUES TO THE STATE GENERAL FUND. WHEREAS , the Governor ' s Committee On Government Spending Reform has issued its final report which proposes to reallocate $50 million of use tax revenues annually for four. years to retire the GAAP deficit and to start building an emergency reserve fund ; and WHEREAS , it is estimated the annual costs of this proposal to municipal governments will range from $4 . 71 per capita to $9 . 65 per capita; and WHEREAS , If Is estimated that the city FAIRFAX will lose between $8 ,673 . 80 and $7 , 527 . 00 annually in revenue from the use tax; and WHEREAS , as a result of the Surface Transportation Efficiency Act of 1991. , municipal governments ' share of federally-financed transportation programs has increased from 10 percent to 20 percent of project costs ; and WHEREAS , numerous existing annual diversions from the Road Use T'ax Fund (RUTF) , such as funding of the Iowa Highway Patrol , reduces municipal governments ' share of RUTF revenues ; and WHEREAS , any loss of road funds by municipal governments will result directly in property tax increases or servicereductions to municipal residents ; and WHEREAS , the FAIRFAX City Council is opposed to any diversion of funds from the RUTF to finance state budget deficits ; and WHEREAS , the FAIRFAX City Council_ desires to publicly declare its opposition to the diversion proposal and wishes its position be communicated to the Governor and the Iowa Legislature . NOW, THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF'' FAIRFAX, IOWA, that the City Council is opposed to any proposal which reduces municipal governments ' share of state revenues to , the Road U.se Tax Fund . Passed and approved this1 - day of 4,f/i h A ^^_, 1992 R ssell D. Na ing , Mayor ATTEST, City Clerk