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HomeMy WebLinkAbout2001-06-26; City Council; 16257; Community Grassroots NetworkCITY OF CARLSBAD -AGENDA BILL ao m# ] & ,557 TITLE: RECEIVE REPORT ON AND PROVIDE DIRECTION TO MTG. b -%-ol STAFF REGARDING THE LEAGUE OF CALIFORNIA CITIES COMMUNITY GRASSROOTS NETWORK DEPT. CM DEPT. HD. CITY ATTY. ’ z CITY MGR a RECOMMENDED ACTION: Receive report on and provide direction to staff regarding the League of California Cities Community Grassroots Network. ITEM EXPLANATION: The past two decades have seen a phenomenal level of growth in state government. A recent report by The California Budget Project (CBP) found that between the state budget years of 1977-78 and 2000-01 state general fund spending grew 574 percent (from $11.7 billion to $78.8 billion). This is an average of 25 percent per year, unadjusted for inflation. It includes all state general fund spending, including the backfill to local governments from the recent cut in the Vehicle License Fee (VLF). Today state revenues as a percent of personal income earn California a 14’h place ranking among all states, while California local tax revenues as a percentage of personal income rank 33’ among all states. While the state budget has grown phenomenally, increasingly it has come at the expense of local revenues and local authority: l In 1991-1992 the state began taking local property tax to fund schools without increasing overall funding to schools. In 2001 this revenue shift cost cities statewide over $1.6 billion. l On a statewide basis, property tax revenues have dropped from 15% (1976) to 7% (2001) of all cities’ revenue. l Vehicle license fees were slashed 25% in 1999 and 35% in 2000, with only a conditional legislative commitment to fund the difference from the state general fund (known as the VLF backfill). l Last year, over the strong objections of California cities, the legislature passed and the Governor signed SB 402, which imposes a mandatory system of binding arbitration on local governments involved in salary and benefit disputes with public safety employees. It effectively puts important financial decisions in the hands of an outside private party and lays the groundwork for further legislative intrusion in employee management in the future. l The legislature continues to pass bills that impose unfunded mandates and preempt local authority, limiting your ability to respond to the challenges and opportunities of this community (LAFCO legislation). Because the League of California Cities (League) feels like the State will continue to impose upon Local Agency funds, the League is proposing to implement a new strategy, one which is based upon a network of local elected and appointed officials with their own extensive community contacts, including personal and professional acquaintances among legislators and the Governor. Mobilizing these resources represents the League’s thinking as to what the best options are for changing the current imbalance of power between the state and local government. PAGE 2 OF AGENDA BILL NO. /61 z7 The League’s proposed Grassroots Network (Attachment 1) would provide 14 new and reallocate 3 existing staff in 10 field offices to support the League’s 16 regional divisions and 476 cities in advancing legislation that benefits all cities. These staff would be available to assist city officials and the League’s regional divisions to work more closely with legislators, legislative district staff, news media, and community groups to form coalitions that will help protect city revenues and local control. In developing the Grassroots Network, the League board included a number of important accountability measures, including: l The board will establish long-range goals (e.g., constitutional protection of local revenues) and annual objectives (e.g., specific legislation) for the program, and provide regular reports to the membership; l The board will retain a qualified firm to conduct periodic unbiased, professional evaluations of member attitudes about the program and its effectiveness; and l After five full years of operation, the League membership will be asked to vote on whether to continue operation of the program and the dues to fund it. The League is proposing that through the Grassroots Network, activities will be organized among city officials to support the common legislative agenda of the cities of the state; e.g., protecting local revenues, securing additional state funding for transportation; protecting local control, etc. Their proposal adds a new dimension to such lobbying efforts by carrying out activities to influence legislative outcomes in each legislator’s district. The League has also incorporated a 6-year review/sunset date for this program to evaluate its effectiveness. Staff is requesting that Council provide direction as to whether or not the City should support and participate in the League of California Cities Grassroots Network. FISCAL IMPACT: The City of Carlsbad’s dues to the League of California Cities is projected to be $10,883 for FY 200112001. The approval of the grassroots network would add an additional $5714 for FY 2001/2002, bringing the total dues to $16,597. The fee schedule is based upon a cities population (Attachment 2). The additional funds have already been appropriated in the City’s FY 2001/02 budget. EXHIBITS: Attachment 1: League of California Cities proposed Grassroots Network Attachment 2: League of California Cities Membership Fee Schedule CONTACT: Joe Garuba 434-2893 ATTACHMENT A i Grassroots Network 0 verview City officials have experienced deep frustration in recent years as the state government has amassed more resources and power at the expense of local government services.The League has a solid reputation as an advocate of city interests, but in the new era of term limits, traditional lobbying methods are often a poor match for grassroots campaigns and financial contributions by other competing interests. Many organizations have already responded to the new political reality in Sacra- mento by investing in a stronger grassroots organization, including the powerful education lobby, which recently launched a new, high profile and well-funded grassroots organization called EdVoice.The League now has to respond in kind to this new climate by building a solid grassroots network to coordinate city officials’ efforts locally to influence legislators, their staff, potentially helpful community groups, and the news media. Major Elements The Network would consist of 10 field offices that would be staffed by 14 new and 3 existing staff (15 coordinators/2 support). The coordinators would work with city officials and the regional divisions of the League to promote key League legislative prioriiies with legislators, district staff, local media and other supporting community groups. They would arrange meetings, plan news conferences, organize letter writing and media campaigns, and coordinate grassroots efforts with community groups with similar agendas. In short, they would increase the impact of the League’s 16 regional divisions and the already busy city officials in each division on the state legislature’s and governor’s decisions affecting cities. The Network would cost cities an additional $1.6 million each year in dues. This is the equivalent of four one hundredths of one percent (0.04%) of the $3.8 billion cities collect each year in sales and use taxes, and about one tenth of one percent of the $1.57 billion cities receive each year in VLF revenues. Most observers believe both revenue sources could become victims of legislative raids in the next recession. Individual city costs for the Network will vary depending on city population. For example, a city of 50,001 to 60,000 population would pay an additional $4,643. Such a dues increase will require amendment of the League bylaws approved by no less than 2/3 of the voting League membership. Membership Review The idea of the Grassroots Network originated with the Ci Managers Department and was more fully developed by a special Task Force appointed by the League board of directors. Information on the program was developed and disseminated to the full League leadership ( board, divisions, departments, policy committees and caucuses), as well as to every city manager. Dozens of presentations on the proposal were made to each League division, many departments, and to most of the area city manager groups throughout the state. Accountabilitv to the Membership Based upon membership input, the Task Force recommended, and the board adopted, significant changes to the original proposal. These include: establishing long-term goals, annual program objectives, and regular reports to the membership; an unbiased, professional evaluation three times during the first five years; and a vote of the membership after five years to continue the program. Under the League’s current bylaws, the board may also vote to discontinue the Grassroots Network at any time. Next Steps Cities are now asked to vote to approve the addition of article XVI to the League’s bylaws relating to the establishment of the Grassroots Network, along with a new increased dues schedule to pay for the program. A ballot will be sent to each city. Ballots returned to the League must be postmarked no later than July 6,200i. Revised 05'07707 ATTACHMENT B Attachment B: Proposed Dues to Establish the Grassroots Network 1 501 601 701 801 901 1,001 1,251 1,501 1,751 2,001 2,251 2,501 2,751 3,001 4,001 5,001 7,501 10,001 15,001 20,001 25,001 30,001 40,001 50,001 60,001 70,001 80,001 90,001 100,001 125,001 150,001 200,001 500,001 to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to 500 600 700 800 900 1,000 1,250 1,500 1,750 2,000 2,250 2,550 2,750 3,000 4,000 5,000 7,500 10,000 15,000 20,000 25,000 30,000 40,000 50,000 60,000 70,000 80,000 90,000 100,000 125,000 150,000 200,000 500,000 640,000 640,000 PIUS 99 197 216 259 317 494 611 727 865 921 1,020 1,078 1,176 1,316 1,570 2,044 2,359 2,848 3,279 4,105 4,930 6,068 7,382 8,504 9,346 9,817 10,464 11,464 13,075 14,392 16,357 17,176 819 oer e Base Dues for 2002 Est.1 $39 103 205 225 269 330 514 635 756 900 958 1,061 1,122 1,223 1,369 1,633 2,125 2,453 2,961 3,411 4,269 5,127 6,311 7,677 8,844 9,720 10,210 10,883 11,923 13,598 14,968 17,011 17,863 852 ,oDulation over 200.001 41',693 PIUS. 757 (El Total Dues Including ~ Grassroots Network 2002 (Est.) 1C + Dl $59 157 312 342 410 503 784 969 1,152 1,373 1,461 1,618 1,710 1,865 2,088 2,490 3,241 3,741 4,516 5,201 6,511 7,818 9,624 11,708 13,487 14,823 15,570 16,597 18,182 20,737 22,826 25,942 27,241 1,299 66,125 1,201 82,393 Over per each full 7 0,000 of population over 500,001 .-.. 51,950 1 _~_I ~ ^ ‘i3@-&l; 54,028 "":l-j;~ggJgg~';, For purposes of establishing the grassroots network, the $5,000 dues cap in League bylaws article IV, section 2, is suspended for the years 2001 and 2002. The dues cap will apply to base dues without interruption and will apply to total dues in year 2003 and years following. The League board will consider in September whether a cost-of-living adjustment for dues will be needed in 2002. This table shows 2002 dues with a cost-of-living adjustment of 4%.