1998-25 RESOLUTION NO. 98-25
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GRAND TERRACE, CALIFORNIA, OPPOSING THE 1998
ELECTRIC UTILITY PROPOSITION
WHEREAS, the 1998 Electric Utility Proposition would dismantle California's
new competitive electricity market, eliminating customer choice and competitive
electricity rates; and
WHEREAS, the State Legislative Analyst and Department of Finance have
determined that the net impact of this proposition on local governments Would be
revenue reductions potentially in the tens of millions of dollars annually through 2001-
2002; and
WHEREAS, the proposition could create a $6 billion hole in the state budget,
resulting in significant,reductions in funding to local government and critical services
such as police and fire, impairing community health and welfare, public safety and
community quality of life; and
WHEREAS,the precedence set by disallowing payment on rate reduction bonds
could impair the ability of state and local governments to secure low-cost financing
for local infrastructure bonds and other types of bonds; and
WHEREAS, the proposition serves only to create more bureaucracy and red tape
and cost California taxpayers billions of dollars in lawsuits; and
WHEREAS, passage of this measure could exacerbate the financial problems
experienced through unfunded state mandates; and
WHEREAS, this proposition jeopardizes the state's economic recovery by
creating uncertainty for California-based companies, 'as well as those considering v
relocating to our state; and
WHEREAS, this proposition is poorly written, misguided, flawed and costly,
and will only serve to eliminate customer choice and competitive electricity rates;
NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Grand
Terrace does hereby oppose the 1998 Electric Utility Proposition.
ADOPTED THIS 24th' day of September, 1998
ATTEST:
City Clerk of the Cit of Grand Ma er of the City of Grand
Terrace and of the City Council Terrace and of the City
thereof. + Council thereof.
Resolution No. 98-25
Page 2
I, BRENDA STANFILL, CITY CLERK of the City of Grand Terrace, do hereby
certify that the foregoing Resolution was introduced and adopted at a regular meeting
of the City Council of the City of Grand Terrace held on the 24th day of September,
1998 by the following vote:
AYES: Gouncilmembers Hilkay, Singley, and Garcia; Mayor Matteson
NOES: None
ABSENT: Mayor"_Pro Tem Buchanan
ABSTAIN: None
Approved as to form:
City Attornev City Clerk