HomeMy WebLinkAbout6866 - Watson Property Tax Limitation Initiative MeasureTHS:mh
9/10/68
RESOLUTION N0, 65 86'8
• A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
NEWPORT BEACH EXPRESSING ITS OPPOSITION TO THE
"WATSON" PROPERTY TAX LIMITATION INITIATIVE
MEASURE
WHEREAS, an initiative Constitutional amendment, commonly
known as the "Watson Initiative ", which would impose a limitation
of 17, of market value on property taxes levied by local govern-
ments has qualified for submission to the voters at the forthcoming
general election; and
WHEREAS, enactment of the "Watson Initiative" would also
restrict the bonding capacity and affect the debt limits of all
local governmental agencies and thus would undermine the foundations
of "home rule "; and
WHEREAS, in the opinion of the City Council passage of
the "Watson Initiative" would mean fiscal chaos for the schools,
cities and counties of California; and
WHEREAS, reliable estimates indicate that if the "Watson
Initiative" is enacted state taxes would have to be sharply
increased to replace the loss of property tax revenues, e.g., sales
tax would have to be increased from 5% to 12 %, or if the income
tax were used to supply the needed revenue it would have to be
increased 300 %; and
WHEREAS, enactment of the "Watson Initiative" would pro-
vide windfall benefits to real estate speculators and large land-
owners, but would harm the interests of the average businessman
• and homeowner; and
WHEREAS, enactment of the "Watson Initiative" would
jeopardize the bonding capacity of the Metropolitan Water District,
thus threatening to disrupt the District's plans to complete
facilities that are necessary to distribute Northern California
water throughout most of Southern California;
NOW, THEREFORE, BE IT RESOLVED by the City Council of
the City of Newport Beach that this City Council hereby expresses
• its vigorous opposition to the "Watson Initiative" and urges all
voters of the City to vote NO on this misguided proposal.
0
40
ADOPTED this 10 Ta day of 2 , 1968.
ATTEST:
'Crty clerk
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