CITY OF HOMER
HOMER, ALASKA
Fenske/City Manager/Finance
RESOLUTION 03-41
A RESOLUTION OF THE CITY COUNCIL OF HOMER, ALASKA URGING THE LEGISLATURE TO FUND
REVENUE SHARING AND SAFE COMMUNITIES FUNDING AT THE SAME LEVEL AS FY 2003.
WHEREAS, No increased taxes was the Governor's message, by cutting Revenue Sharing this will cause local
governments to raise local taxes; and
WHEREAS, A. $170,000.00 cut is equal to 2 1/2% of Homer's General Operating Budget or equal to 1/2 mill property tax;
and
WHEREAS, Due to the large increase in insurance the last two years the City is already looking at asking the City Council
to raise the property tax from 5 mills to 6 mills, the approved voter tax cap; and
WHEREAS, Over the last few years it has been getting harder to balance the budget as fixed costs continue to rise,
demand for City services rise, and the City has had to keep the variable cost to near zero increases, which with inflation is
truly a negative increase in the operation budget; and
WHEREAS, A $170,000.00 hit to the Homer's General Fund would be hard to absorb; and
WHEREAS, The Safe Communities' Funding is an integral part of Homer's Road Maintenance Budget for 39.237 miles of
public road; and
WHEREAS, The Safe Communities' Funding to Homer contains pass through funding to eight facilities: Kachemak Bay
Family Planning, Council on Alcoholism, Community Mental Health Program, South Peninsula Women's Services,
Hospice of Homer, Homer Friendship Center, Homer Senior Center and Seldovia Village Tribe Health Center
NOW, THEREFORE, BE IT RESOLVED that the Homer City Council hereby urges the Legislature to Fund Revenue
Sharing and Safe Communities' Funding at same level as FY 2003.
PASSED AND ADOPTED by the Homer City Council this 10th day of March, 2003.
CITY OF HOMER
____________________________
ATTEST: JACK CUSHING, MAYOR
_____________________________________
MARY L. CALHOUN, CMC, CITY CLERK
Fiscal Note: Revenue reduction impact.
/mlc
CITY OF HOMER
HOMER, ALASKA
Fenske/City Manager/Finance
RESOLUTION 03-41(S)
A RESOLUTION OF THE CITY COUNCIL OF HOMER, ALASKA URGING THE LEGISLATURE TO FUND THE REVENUE SHARING AND SAFE COMMUNITIES PROGRAM AT THE FY 2003 LEVEL AND TO WORK TOWARD A LONG RANGE FISCAL PLAN.
WHEREAS, Governor Murkowski has proposed cutting the Revenue Sharing and Safe Communities Program by 25 percent; a continuation of the trend toward eventual elimination of the program, and
WHEREAS, Every state shares revenues with its municipalities in order to equalize resources and maintain lower taxes, and
WHEREAS, Alaskan statehood was based in large part upon an equitable distribution of revenues from natural resources because it was recognized that adequate public services could not be affordable through local taxes alone, and
WHEREAS, During the election campaign, the Governor stated that he had no intention of raising taxes however, the impacts of cuts to the Revenue Sharing Program may in fact lead to increased municipal taxes and reductions in basic public services, and
WHEREAS, Many municipalities, including Homer, are already close to or are operating at their tax cap limits, and
WHEREAS, A 25% cut represents a $44,123.00 reduction to the Homer Operating Budget and is the equivalent of .14 mills in property tax, and
WHEREAS, Over the past few years it has become increasingly difficult for the Homer City Council to balance the Operating Budget due to inflation, increases in insurance premiums, and increases in population and the demand for city services,
WHEREAS, Revenue Sharing and Safe Communities Funding is used to provide basic and essential public services in Homer including road maintenance and support for eight different public health facilities, and
WHEREAS, The Governor has proposed a variety of measures to raise new revenues for the State but has not indicated that those revenues would be shared with municipalities; subdivisions of the State which provide the most basic public services, and
Page Two
Resolution 03-41(S)
City of Homer
WHEREAS, The municipalities have a vital stake in working toward a long range fiscal plan for the State and would very much like to have the opportunity to be included and make a positive contribution to the deliberations on achieving that goal.
NOW THEREFORE BE IT RESOLVED, that the Homer City Council hereby urges the Legislature to maintain funding for the Revenue Sharing and Safe Communities Program at the FY 2003 level, and
BE IT FURTHER RESOLVED, that the Council urges the Governor and the Legislature to develop a long range fiscal plan and include municipalities in the process to the maximum extent possible.
PASSED AND ADOPTED by the City Council of Homer, Alaska this 24th day of March, 2003.
CITY OF HOMER
_____________________________
JACK CUSHING, MAYOR
ATTEST:
___________________________
MARY L. CALHOUN, CITY CLERK
Fiscal Note: NA