HomeMy WebLinkAboutReso 1967-4556RESOLUTION NO. 6556
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA
URGING THE ADOPTION BY THE CONGRESS OF THE UNITED STATES
OF LEGISLATION AUTHORIZING COMMERCIAL BANKS TO UNDERWRITE
AND DEAL IN MUNICIPAL REVENUE BONDS
The City Council of the City of Chula Vista does hereby
resolve as follows:
WHEREAS, the existing regulations of the federal government
prohibit commercial banks who are members of the Federal Reserve System
to underwrite and deal in municipal revenue bonds in which they can in-
vest, and
WHEREAS, said prohibition imposes a financial burden upon
state and local government by increasing the interest rate on revenue
bonds which are used to finance sound development instituted by said
governments, and
WHEREAS, based upon the findings of Dr. Kessel, Professor of
Business Economics, University of Chicago, there would be interest sav-
ings by permitting commercial banks to underwrite and deal in municipal
revenue bonds, and
WHEREAS, Senator William Proxmire of Wisconsin has introduced
Senate Bill 1306, which is almost identical to two House Bills, H.R. 5485
and H.R. 7539, previously introduced, which would authorize commercial
banks to underwrite and deal in municipal bonds, and
WHEREAS, these measures have received the strong support of
the National League of Cities and such measures have been previously
supported by the City of Chula Vista in the interests of saving money
for the taxpayers.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the
City of Chula Vista, on behalf of themselves and the taxpayers of this
community, do hereby urge favorable report by the Senate Subcommittee
on Financial Institutions of the Senate Banking and Currency Committee,
and, further, that this important measure be adopted by the Congress of
the United States and signed by the President.
BE IT FURTHER RESOLVED that the City Clerk of the City of Chula
Vista be, and he is hereby directed to forward a certified copy of this
resolution to the Honorable Thomas H. Kuchel and the Honorable George
Murphy, United States Senate; the Honorable Bob Wilson and the Honorable
Lionel Van Deerling, House of Representatives; the Honorable John T.
Sparkman, Chairman, Senate Committee on Banking & Currency; and the
Honorable William Proxmire, Chairman, Senate Subcommittee on Financial
Institutions.
Presented by
C
~ ~ ~ ~~
Fred A. Ross, Chief Administrative
Officer
Approved as to form by
George D indberg, City tt y
AP.O'T~d' AYD F.PRRQV!:D by the CITY CODT'CIL of the CIT`~ ~;' C"D LA ~'i~TA
Cr TFOI'c`'IA. this _~7.2~_ day of September , 1°~, ~~~ the follc• *`~~:- got-,
to-gait:
A.'?T": Councilr,er: Sparlin~, Sylvester, Anderson, McCorquodale, McAllister
~`A`?LS. Coun ci l*.eer. None _
P`.^,"T: Counczlren
?Mayor of the~Ci tv or ~ul Y.
~. Ci*_~ Cleric
=TAT, 0~ CALIF(1RF.IA )
C(`:i:.'~ ' ~F StL": IS"C~ ) ss.
CITY OF C2ULA ~7ISTA_ )
~ _'-P?i"T?- ?. CArCPBF~LL, City Clerk of the City of Chula -Jista, Cali,"~ r ia,
I~r , r~_~ Cr,pTTFY that the above and foregoing is a full, true and correct coy- of
and that the same has not beer a-:°-~d~d
or r-realed.
idT~I'
City Cler_.
~ls~ ~