HomeMy Public PortalAbout2010.243 (11-16-10) RESOLUTION NO. 2010.243
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD TO UTILIZE
AVAILABLE FUNDS IN OUR GENERAL CHECKING ACCOUNT TO SUPPORT CITY
OPERATIONS THAT RELY ON HUTA REVENUES WHICH WILL BE DEFERRED
FOR FY 11; PROVIDED THAT THE CITY'S GENERAL ACCOUNT WILL BE
REPLENISHED BY DEFERRED HUTA REVENUES ONCE RECEIVED.
WHEREAS, Cities receive monthly Highway Users Tax Account (HUTA)
revenues from the State, which is a sales tax on all gasoline purchases within the State
and are distributed to cities under a formula-based allocation system; and
WHEREAS, UTA revenues received by cities are solely dedicated for local
transportation operations, needs and projects; and
WHEREAS, Section 6 of Article XIX of the State Constitution allows the State to
borrow Highway Users Tax revenues for general State purposes from cities if the
amount borrowed is repaid within the same fiscal year or within 30 days after the
adoption of a state budget for the following fiscal year; and
WHEREAS, back in March of 2010, the California State Legislature passed
trailer bill ABx8 5 which authorizes the State to withhold and defer a portion of cities'
monthly HUTA allocations for the first nine months (July 2010 — March 2011) of
FY 201-0-11 to be paid no later than April 28, 2011; and
WHEREAS, ABx8 5 authorizes the State to borrow up to $50 million monthly
from all cities, which is estimated to be approximately 60% of each cities' monthly HUTA
allocation; and
WHEREAS, the City relies on HUTA revenues to support our Traffic Safety
Fund, which subsidizes our street maintenance, traffic signal operations and street
lighting operations; and
WHEREAS, these revenues are critical to providing vital public safety needs
and preserving public safety in the community.
NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF LYNWOOD
HEREBY RESOLVES AS FOLLOWS:
Section 1. By adoption of this resolution, the City Council authorizes the City
Manager, or his Designee, to utilize available funds in the City's general checking
account to support City operations that rely on HUTA revenues for FY 2010-11.
Section 2. The City's general checking account shall be replenished by all
deferred HUTA revenues once received, thereby incurring no fiscal impact.
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Section 3. This Resolution shall be effective immediately upon its adoption.
Section 4. The City Clerk shall certify as to the adoption of this City Council
Resolution.
PASSED, APPROVED and ADOPTED this 16 day of November, 2010.
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Ma a T. Santillan, Mayor
ATTEST:
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Maria Quinonez, ty Clerk Roger L. z ey, ty Manager
APPROVED AS TO FORM: APPROVED AS TO CONTENT:
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Fred Galante, City Attorney R�bert S. Torrez','7�ssTstant City
Manager
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STATE OF CALIFORNIA )
) SS.
COUNTY OF LOS ANGELES )
I, the undersigned, City Clerk of the City of Lynwood, do hereby certify that the
foregoing Resolution was passed and adopted by the City Council of the City of
Lynwood at a regular meeting held on the 16� day of November, 2010.
AYES: COUNCIL MEMBERS FLORES, MORTON, RODRIGUEZ, CASTRO
AND SANTILLAN
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
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aria Quinonez, City Clerk
STATE OF CALIFORNIA )
) SS.
COUNTY OF LOS ANGELES )
I, the undersigned City Clerk of the City of Lynwood, and the Clerk of the City
Council of said City, do hereby certify that the above foregoing is a full, true and correct
copy of Resolution No. 2010.243 on file in my office and that said Resolution was
adopted on the date and by the vote therein stated. Dated this 16 day of November,
2010. �
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� Maria Quinonez, City Clerk