HomeMy WebLinkAbout09399 RES - 06/18/1969RESOLUTION
WHEREAS, various committees-of the Congress have under consideration several
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proposed plans which would limit the exempt status for income tax purposes of interest
' paid on bonds issued by cities and other governmental units; and
G WHEREAS, such legislation will increase interest costs on bonds for local improve- i
ments such as sewage treatment, water storage and distribution, aviation, transportation,
hospital, street, drainage, fire station, police, park, and recreation facilities, and shift
the burden of the additional total cost for such facilities directly to local property tax-
payers or users of the facilities; and
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WHEREAS, the proposed legislation would seriously reduce the community's ability
to finance needed capital improvements because of the high interest cost and the reduction
in the market for municipal bonds; and
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WHEREAS, it has long been considered unconstitutional for the Federal government
to tax a state or local government; and any of the plans under consideration, directly or
indirectly taxing interest paid on state or local municipal bonds, would be an impairment !
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of such constitutional immunity; and
WHEREAS, the system of local government capital financing through the issuance of
tax exempt bonds has enabled the City of Corpus Christi and hundreds of other communities
in Texas to provide the people with vital physical facilities.
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NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Corpus ?
Christi urgently requests that members of Congress retain the historic tax exempt status
of interest on municipal bonds by voting against any plan that would alter this tax exempt
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status and thus make the financing of local public improvements more difficult and more
t costly.
APPROVED:
1LDay of June, 1969:
CK R. BLACK MON,.Moy6i
City of Corpus Christi, Texas
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I. M. 'Slnqer, ty Attorney ATTEST:
T. Ray 4r-itY4:�7
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Corpus Christi, as
'f '— day of 19-a
TO THE MEMBERS OF THE CITY COUNCIL
Corpus Christi, Texas
For the reasons set forth in the emergency clause of the foregoing
ordinance, a public emergency and imperative necessity exist for the suspen-
sion of the Charter rule or requirement that no ordinance or resolution shall
be passed finally on the date it is introduced, and that such ordinance or
resolution shall be read at three meetings of the City Council; I, therefore,
request that you suspend said Charter rule or requirement and pass this ordi-
nance finally on the date it is introduced, or at the present meeting of the
City Council.
Respectfully,
' iGW7
et_R THE CITY OF CORPUS CHRISTI, TEXAS
The Charter rule was suspended bowing vote:
Jack R. Blackmon
Gabe Lozano, Sr.
V. A. "Dick"Bradley, Jr. (�
Eduardo E. de Ases
Ken McDaniel
W. J. "Wrangler" Roberts.
Ronnie Sizemore
The above ordinance was passed by the following vote:
Jack R. Blackmon
Gabe Lozano, Sr. /
V. A. "Dick" Bradley, JN
Eduardo E. de Ases ,
Ken McDaniel
W. J. "Wrangler" Roberts /
Ronnie Sizemore