BC 1989 11 06 - Laserfiche WebLink

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233 ATTEST: /s/ Doris Y. Rogers Secretary FAIR: CABARRUS COUNTY AGRICULTURAL FAIR, INC. By: /s/ D. B, Austell President Exhibits A and B showing the location of the leased properties are included by reference as a part of the minutes and are on file in the County Manager's Office. UPON MOTION of Commissioner Hamby, seconded by Chairman Lentz and unanimously carried, the Board adopted the following Resolution. RESOLUTION IN SUPPORT OF THE PRESERVATION OF TAX-EXEMPT BONDS FOR STATE AND LOCAL GOVERNMENTS WHEREAS, WHEREAS, WHEREAS, WHEREAS, WHEREAS, WHEREAS, the federal, state, and local governments all share in the responsibility of building and maintaining the nation's physical and institutional infrastructure and in providing essential services needed to promote the general welfare; and the federal government has steadily reduced its responsibility for infrastructure requirements, and has shifted more and more financial responsibility to states and units of local government; and shifting the tax burden from the national level to state and local governments is an illusory savings for taxpayers and provides no net tax relief; and financing state and local government projects through the issuance of bonds the interest on which is not taxed by the federal government is critical to allow states and local governments to exercise the responsibilities entrusted to and expected of them; and in recent years, the U.S. Congress has both limited the use of tax-exempt bonds by states and local governments, and made municipal bonds less attractive to significant groups of purchasers, thereby driving up the cost of financing public service projects; and in 1988 the U.S. Supreme Court overturned a lO0-year-old precedent, ruling for the first time that the Constitution does not prohibit the federal government from taxing the interest on state and local government bonds; and WHEREAS, the Supreme Court decision places in jeopardy the use of tax-exempt bonds by the more than 85,000 units of state and local government, as Congress seeks new sources of revenue to reduce the federal deficit; and WHEREAS, state and local borrowing costs will increase by an estimated 20 to 30 percent if the interest on tax-exempt bonds is subject to federal income tax, and this added burden will be reflected in reductions in public services or by increased state and local taxes; and WHEREAS, further restrictions on the use of tax-exempt bonds will seriously impair the ability of state and local governments to finance essential services and facilities, including schools, roads, water, sewer, gas, electricity, transportation and other basic functions, to the detriment of all citizens.. NOW, THEREFORE BE IT RESOLVED: that the Cabarrus County Board of Commissioners calls upon Congress and the President to recognize that the state and local burden of maintaining and expanding the national infrastructure and providing citizens with needed basic governmental services cannot be met without tax-exempt bonds, and to resist all further efforts to reduce the use of such bonds to finance governmental projects. /s/ James W. Lentz James W. Lentz, Chairman /s/ Frankie F, Small Frankie F. Small, Clerk to the Board