HomeMy WebLinkAboutCC RESO 10,361RESOLUTION NO. 10,361
RESOLUTION OPPOSING. SENATE BILL 427
WHEREAS, Senate Bill 427 poses the threat of
making on -schedule completion of the State Water Project
impossible and could place upon the General Fund the obli-
gation for meeting interest and principal obligations on
more than one billion dollars of general obligation bonds
which were sold to pay for project construction, and
WHEREAS, provisions in Senate Bill 427. could
result in elimination of all annual flows of State. Tide-
land Oil and Gas Revenues to. the. State. Water Project., ex-
cept for five million dollars continuing annual appropriation
for payment of recreation and fish and wildlife enhancement
costs, and
WHEREAS, such flows of revenue, under 1968 legis-
lation, now amount to 25 million dollars annually and, through
1985, will provide 350 million dollars which normally would pay
for State Water Project construction, and
WHEREAS, without these funds, not only would the
State. Department of Water Resources be unable to complete.
initial facilities of the State Water Project, but it would
be unable to meet its water delivery commitments under its
water service contracts, and
WHEREAS, water service contractors could default
on their repayment obligations and the General Fund would
be called upon for payment of approximately one billion
dollars in General Obligation Bonds, and
WHEREAS, Senate Bill 427 is contrary to representa-
tions made to the public when the Burns -Porter Act was ap-
proved, authorizing the State Water Project, to the' effect
that tidelands oil and gas revenues would be used to supple-
ment bond revenues for project construction;
NOW, THEREFORE, BE IT RESOLVED that the City Council
of the City of National City opposes Senate Bill 427 and urges
opposition by members of the .legislature to this destructive
legislation.
PASSED AND ADOPTED this '8th day of June,
1971.
ATTEST
CITY CLERK