HomeMy WebLinkAbout11-15-2004 ITEM VIII-B-5CITY OF
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AGENDA BILL APPROVAL FORM
Agenda Subject
Date:
Resolution No. 3782
November 9, 2004
Department:
Attachments:
Budget Impact:
Finance
Resolution 3782
Administrative Recommendation:
City Council to adopt Resolution 3782.
Background Summary:
Resolution 3782 addresses mitigation steps that would be authorized in the event that streamlined sales
tax programs are in fact implemented.
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N1115-2
Reviewed by Council & Committees:
Reviewed by Departments & Divisions:
❑ Arts Commission COUNCIL COMMITTEES:
❑ Building
❑ M&O
❑ Airport ❑ Finance
❑ Cemetery
❑ Mayor
❑ Hearing Examiner ❑ Municipal Serv.
❑ Finance
❑ Parks
❑ Human Services ❑ Planning & CD
❑ Fire
❑ Planning
❑ Park Board ❑Public Works
❑ Legal
❑ Police
❑ Planning Comm. ❑ Other
❑ Public Works
❑ Human Resources
Action:
Committee Approval: ❑Yes ❑No
Council Approval: []Yes ❑No
Call for Public Hearing
Referred to Until
Tabled Until
Councilmember: Backus
Staff: Coleman
Meeting Date: November 15, 2004
Item Number: VIII.B.5
AUBURN* * MORE THAN YOU IMAGINED
RESOLUTION NO. 3 7 8 2
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
AUBURN, WASHINGTON STATING THE CITY'S
POSITION WITH RESPECT TO APPROPRIATE COURSES
OF ACTION IN THE EVENT THAT THE STREAMLINED
SALES TAX PROPOSALS ARE IMPLEMENTED
WHEREAS, for many years, the sales tax revenue has been applied to
sales based upon the sight of origin, rather than the sight of ultimate delivery;
and
WHEREAS, there are currently proposals to change that tax sighting
structure, so that taxes would inure to the jurisdiction to which goods were
delivered, rather than those from which those goods were shipped; and
WHEREAS, because cities such as Auburn have invested in the
infrastructure to promote businesses that ship goods to other locations, a change
of the'taxing structure, if implemented by the proponents of the streamlined sales
tax proposals, would serve the disadvantage of Auburn and similarly situated
municipalities; and
WHEREAS, in order to accommodate this shifting tax structure, it would
be necessary for the City of Auburn to respond, in turn, by promoting those land
uses that would not be disadvantageous to it and its past infrastructure
investments, and to amend its comprehensive plan and its zoning codes
accordingly.
NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF AUBURN,
WASHINGTON, HEREBY RESOLVES AS FOLLOWS:
Section 1. If the streamlined sales tax proposals currently being
considered are adopted and implemented, the City Council would direct the
planning department and its planning commission to consider amendments to the
City's Comprehensive Plan and Zoning Codes along the following lines:
A. LAND USE ELEMENT:
This Land Use Element addresses the land use strategies necessary to
carry out the long-range land use plans of the City. Implementation of these
strategies is heavily dependent upon the City being able to continue a strong
public investment program in our support of infrastructure and services, which
has been ongoing for many years. The ability to continue this necessary public
investment is contingent upon maintaining solvent public revenue streams,
particularly sales tax. Sales tax comprises the largest source of monies to the
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Resolution No. 3782
November 8, 2004
Page 1
City General Fund, comprising 34% of the 2004 City General Fund budget. Any
mandated changes in sales tax sourcing rules, which the Department of Revenue
forecasts to be in excess of $1.2 million per year for the City of Auburn, will
directly and adversely affect the City's ability to adequately fund the capital
infrastructure and services necessary to support the adopted future land use
plan. This will be especially applicable to industrial areas supporting warehouses
and distribution centers, should any sales tax program affect the current revenue
stream from those uses. In such event, the City Council may need to consider
moratoria and/or land use changes for such industrial areas and uses, as well as
other actions which could have a significant impact on local and regional
economic development opportunities.
B. TRANSPORTATION ELEMENT:
This Transportation Element addresses the transportation infrastructure
strategies necessary to carry out the long-range land use plans of the City.
Implementation of these strategies is heavily dependent upon the City being able
to continue a strong public investment program in our support infrastructure and
services, which has been ongoing for many years. The ability to continue this
necessary public investment is contingent upon maintaining solvent public
revenue streams, particularly sales tax. Sales tax comprises the single largest
source of monies to the City General Fund, comprising 34% of the 2004 City
General Fund budget. Any mandated changes in sales tax sourcing rules, which
the Department of Revenue forecasts to be in excess of $1.2 million per year for
the City of Auburn, will directly and adversely affect the City's ability to
adequately fund the capital infrastructure and services necessary to support the
adopted future land use plan. This will be especially applicable to industrial
areas supporting warehouses and distribution centers, should any sales tax
program affect the current revenue stream from those uses. In such event, the
City Council may need to consider moratoria and/or land use changes for such
industrial areas and uses, as well as other actions which could have a significant
impact on local and regional economic development opportunities.
C. CAPITAL FACILITIES PLAN ELEMENT:
This Capital Facilities Plan Element addresses the capital facilities
strategies necessary to carry out the long-range land use plans of the City.
Implementation of these strategies is heavily dependent upon the City being able
to continue a strong public investment program in our support infrastructure and
services, which has been ongoing for many years. The ability to continue this
necessary public investment is contingent upon maintaining solvent public
revenue streams, particularly sales tax. Sales tax comprises the single largest
source of monies to the City General Fund, comprising 34% of the 2004 City
General Fund budget. Any mandated changes in sales tax sourcing rules, which
the Department of Revenue forecasts to be in excess of $1.2 million per year for
the City of Auburn, will directly and adversely affect the City's ability to
adequately fund the capital infrastructure and services necessary to support the
-----------------
Resolution No. 3782
November 8, 2004
Page 2
adopted future land use plan. This will be especially applicable to industrial
areas supporting warehouses and distribution centers, should any sales tax
program affect the current revenue stream from those uses. In such event, the
City Council may need to consider moratoria and/or land use changes for such
industrial areas and uses, as well as other actions which could have a significant
impact on local and regional economic development opportunities.
Section 2. That the City Council directs that in the event that
streamlined sales tax programs are in fact implemented, that the Mayor is
directed such action as is necessary to trigger a review thereof, including
amendments to the Comprehensive Plan and the Zoning Code of the City, and to
further take such other action as is appropriate to implement the directives
hereof.
Section 3. This Resolution shall be in full force upon passage and
signatures hereon.
PASSED by the City Council this day of , 2004.
CITY OF AUBURN
Peter B. Lewis, Mayor
ATTEST:
Danielle E. Daskam, City Clerk
APPROVED AS, TO FORM:
Daniel B. H6id,_City Attorney
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Resolution No. 3782
November 8, 2004
Page 3