1997-16 Appropriation for Municipal Revenue SharingIntroduced by:
Requested by:
Drafted:
Introduced:
Adopted:
KODIAK ISLAND BOROUGH
RESOLUTION NO. 97 -16
Assemblymember Heinrichs
Alaska Municipal League
Alaska Municipal League
03/20/97
03/20/97
A RESOLUTION URGING THE ALASKA STATE LEGISLATURE
TO STABILIZE THE APPROPRIATION FOR MUNICIPAL REVENUE SHARING
PROGRAMS AND URGING THE ADOPTION OF SB 29,
THE "SAFE COMMUNITIES' PROGRAM
WHEREAS, over the past ten years, the State has steadily caused local property
taxes to be raised by as much as 300% by disproportionately reducing municipal
government's share of Alaska's oil wealth and mandating state service responsibilities
to municipal governments; and
WHEREAS, the Local Boundary Commission has stated that the state has "penalized"
cities and boroughs for incorporating because the state has withdrawn revenues and
services "promised" as a condition of incorporation; and
WHEREAS, the Municipal Assistance and Revenue Sharing Programs have been cut
far more than any other major state program. They have been cut by nearly 70% in
the past ten year and 15% in the last two years. Due to past cuts, municipal
taxpayers are already contributing over $80 million per year to balance the state's
budget; and
WHEREAS, according to state leaders, the proposed $60 million reduction in state
spending this year will "NOT include new taxes or revenues ". Cuts to Municipal
Assistance and Revenue Sharing Programs simply pass higher taxes on the local
taxpayers. Therefore, reductions to municipal revenue sharing should not be
considered as part of the $60 million budget cuts; and
WHEREAS, reductions to the Municipal Assistance and Revenue Sharing Programs
will ensure that there will be more dissolutions of small rural municipalities, loss of
basic public services, and may lead to a breakdown of municipal government in rural
areas; and
WHEREAS, accelerating local sales and property taxes caused by cuts in municipal
revenue sharing, and reduced funding for maintenance of public facilities (like roads,
harbors, and schools), are already discouraging long -term business investments in
Alaska's communities and local economies; and
WHEREAS, the four "legs" of the "Safe Communities" SB 29 are:
1. Requires the funds received under this program (formerly Municipal
Kodiak Island Borough, Alaska Resolution No. 97 -16
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Assistance Program) be used primarily for basic public safety /health
services and changes the name of the program to "Safe Communities ".
2. Creates a $40,000 minimum payment for small incorporated
municipalities. All large municipalities support this provision to reduce
dissolutions of small municipalities.
3. Creates equity among municipalities if there are further reductions in
funding by: removing the "hold harmless" clause of the current Municipal
Assistance Program (the "hold harmless" provision creates wide
variations among funding for communities and is no longer relevant),
and by allowing all municipalities to equally share reductions on a pro -
rata basis (including the $40,000 minimum entitlement communities but
only down to approximately fiscal year 1997 funding levels).
4. Advances the payment date for municipal assistance from February 1 to
July 31, which is the same date revenue sharing payments are made.
This provision creates the internal equity in the bill that allows support
from all municipalities; and
WHEREAS, during the last legislative session, the "Safe Communities" bill received
58 affirmative votes in the legislature but failed because it was not brought up for a
concurrence vote in the final hour of the session;
NOW, THEREFORE, BE IT RESOLVED BY THE ASSEMBLY OF THE KODIAK ISLAND
BOROUGH that the Alaska State Legislature and the Governor of the State of Alaska
are urged to adopt SB 29, the "Safe Communities" bill.
NOW, THEREFORE, BE IT FURTHER RESOLVED BY THE ASSEMBLY OF THE KODIAK
ISLAND BOROUGH that the Alaska State Legislature and the Governor of the State
of Alaska are urged to maintain the fiscal year 1997 funding level for Municipal
Assistance and Revenue Sharing Programs in light of the impact any cuts would have
on local property taxpayers and communities.
ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH
THIS TWENTIETH DAY OF MARCH, 1997
KODIAK ISLAND BOROUGH
Jbdome M. Selby, Boro
or
ATTEST: Robin Heinrichs, Presiding Officer
/?/ vt fl
Donna F. Smith, CMC /AAE, Borough Clerk
Kodiak Island Borough, Alaska Resolution No. 97 -16
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