HomeMy WebLinkAboutAgenda Statement 1984/12/18 Item 9 COUNCIL AGENDA STATEMENT
Item 9
�-* Meeting Date 12/18/84
ITEM TITLE: Resolution ��U ` Transferring a portion of the Private
Activity Bond allocation of the City of Chula Vista
SUBMITTED BY: Community Deve opment Director (4/5ths Vote: Yes No x )
REVIEWED BY: City Manager
As a result of the Federal Tax Reform Act of 1984 and Governor Deukmejian's
proclamation implementing the Act for the State of California, the City has
received an allocation for the issuance of Private Activity Bonds in the
amount of $4,649,000 for the calendar year 1984. A copy of the Governor's
proclamation is attached hereto as Exhibit A. The City of San Diego and the
County of San Diego have requested, before the end of the calendar year, that
we transfer the unused portion of our allocation to the SANDER Joint Powers
Authority in order to finance the waste to energy plant in the Miramar area of
San Diego.
RECOMMENDATION: Adopt resolution and transfer 1984 allocation to the Joint
Powers Authority.
BOARDS/COMMISSIONS RECOMMENDATION: Not applicable.
DISCUSSION:
With the new imposition of allocations caused by the federal and state action,
the Joint Powers Authority will need the assistance of other cities in the
County in order to finance the trash-to-energy project as a tax exempt issue.
While our allocation for 1984 is a very small part of the total financing
required for the SANDER project, it is appropriate to consider their request
of transfer. Be assured that the City is: (1) not able to carry over the
allocation, and (2) does not have any projects that are in the works that
would require utilization of the City's allocation for this calendar year.
Because the City's allocation is so small and our needs can be much greater,
we are going to have to ask the City and/or County or other cities in the
County or the State, at some future point in time, to share with us some of
their allocation. Thus, the transfer to the Joint Powers Authority is not
based on an endorsement of the SANDER project, rather it is based on future
reciprocation from the City of San Diego and/or the County in order to finance
a major industrial project in the City. The spirit of cooperation, then, is
the motivation for recommending the approval of the transfer. Furthermore, in
order to allay fears of those concerned with placement of the facility in or
near Chula Vista, we have added to the resolution a stipulation that the funds
may not be utilizes _ '-' ty is within Chula Vista's sphere of
influence.
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gc1F°Rw° GOVERNOR'S OFFICE
GEORGE DEUKMEJIAN SACRAMENTO 95814 TELEPHONE
GOVERNOR 19161 445-2841
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January 10 , 1985
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Ms. Jennie Fulasz
City Clerk
276 4th Avenue
Chula Vista, CA 92010
Dear Ms. Fulasz:
Your courtesy in sending me a copy of your Resolution
#11884 helps me to stay in touch with the views of lo-
cal officeholders and the citizens they represent. It
is important that we government officials work togeth-
er for a better California, and you can be sure that my
Administration will take your resolution into account.
Your interest is most welcome and I thank you.
Most cordially,
fgt-0-45,4-
George Deukmejian
(Reso. 11884 is transferring a portion of the private
activity bond allocation of the City of Chula Visa)
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