HomeMy WebLinkAboutResolution 2021-065 NOT USED MARANA RESOLUTION NO. 2021-065
RELATING TO INTERGOVERNMENTAL RELATIONS; OPPOSING A STATE OF
ARIZONA BUDGET PROPOSAL THAT NEGATIVELY IMPACTS THE BUDGETS OF
THE TOWN OF MARANA AND OTHER MUNICIPALITIES THROUGHOUT THE
STATE BY REDUCING SHARED REVENUES
The Marana Town Council pulled this resolution off the Agenda on May 4, 2021.
Cherry La son, Town Clerk
Marana Resolution No.2021-065 - 1 -
MARANA RESOLUTION NO. 2021-065
RELATING TO INTERGOVERNMENTAL RELATIONS; OPPOSING A STATE OF
ARIZONA BUDGET PROPOSAL THAT NEGATIVELY IMPACTS THE BUDGETS OF
THE TOWN OF MARANA AND OTHER MUNICIPALITIES THROUGHOUT THE
STATE BY REDUCING SHARED REVENUES
WHEREAS members of the Arizona state legislature have demonstrated leader-
ship and support of the Town of Marana during a challenging First Regular Session of
the 55th Legislature as we collectively navigate our way out of the COVID-19 pandemic;
and
WHEREAS state legislators have discussed a budget proposal which includes con-
sideration of a flat income tax rate of 2.5%; and
WHEREAS while the Town of Marana Council generally supports a flat income
tax in the state of Arizona, the Council is concerned about the potential negative budget-
ary impact to the Town and other municipalities throughout the state; and
WHEREAS as currently being discussed, it is expected that the income tax pro-
posal would result in a reduction in shared revenues of up to a$225 million for cities and
towns across Arizona, and a reduction of $1.9 million annually for the Town of Marana;
and
WHEREAS a reduction of this magnitude in shared revenues will negatively im-
pact all Town services, including public safety, maintenance and construction of critical
infrastructure, community services, and economic development, with no mechanism
identified to recuperate the monies lost due to the proposed income tax cut; and
WHEREAS proponents of the tax cut have suggested that future growth will make
up the difference, or that increased tax collections on internet sales (known informally as
Wayfair collections)would mitigate this loss;however,the numbers do not support these
assertions,nor can the Town safely rely on speculative growth to cover the cost of services
that will be affected in the immediate term; and
WHEREAS the Council finds that the issues addressed by this resolution are in the
best interest of the Town of Marana and its citizens.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF
THE TOWN OF MARANA, ARIZONA, AS FOLLOWS:
Marana Resolution No.2021-065 - 1 -
SECTION 1. While generally being in support of a flat income tax in the state of
Arizona, the Town of Marana Council hereby opposes any state of Arizona budget pro-
posal that negatively impacts the budgets of the Town of Marana and municipalities
across the state by reducing shared revenues and not providing any alternative funding
mechanism for the Town and other municipalities to make up the budgetary gap created
by the tax reduction.
SECTION 2. The Town's Manager and staff are hereby directed and authorized to
undertake all other and further tasks required or beneficial to carry out the terms, obliga-
tions, and objectives of this resolution.
PASSED AND ADOPTED BY THE MAYOR AND COUNCIL OF THE TOWN OF
MARANA, ARIZONA, this 4th day of May, 2021.
Mayor Ed Honea
ATTEST: APPROVED AS TO FORM:
Cherry Lawson, Town Clerk Jane Fairall,Town Attorney
Marana Resolution No.2021-065 - 2 -