HomeMy WebLinkAbout20201209_12-9-20 Emergency fiscal assistance for local governmentsCity of San Luis Obispo, Office of the City Council, 990 Palm Street, San Luis Obispo, CA, 93401-3249, 805.781.7114,
slocity.org
December 9, 2020
Honorable Diane Feinstein
U.S. Senator, State of California
331 Hart Senate Office Building Washington DC 20510
Honorable Kamala Harris
U.S. Senator, State of California
112 Hart Senate Office Building Washington DC 20510
Honorable Salud Carbajal
U.S. Congressman
1431 Longworth HOB
Washington, DC 20515
RE: Need for Increased State and Federal Funding Support for Cities
Dear U.S. Senators and U.S. Congressman
The City of San Luis Obispo thanks you for your continued leadership
and efforts protecting and supporting Californians during this unprecedented
public health crisis. California Cities remain on the front-line with you, helping
residents stay safe, remain in their homes, deliver emergency services, and
support local businesses and community organizations. As emergency costs
from COVID-19 continue to grow, available city revenues that fund local
services, are plummeting, creating devastating impacts on city budgets and
services statewide. Based on the League of California Cities analysis,
California cities are projecting a general revenue shortfall of nearly $7 billion
dollars, over the next two fiscal years. This shortfall will continue to grow
exponentially, if stay-at-home orders, created to protect public health, extend
into the summer months and beyond. Additionally, the city of San Luis
Obispo’s local economy is heavily dependent on indirect and induced economic
activity from Cal Poly State University San Luis Obispo. Should the University
opt for an entirely virtual Fall quarter, and students do not return to our city,
additional unprecedented revenue shortfalls will result.
These shortfalls have already impacted City of San Luis Obispo services.
In response to COVID-19, the City immediately activated its Fiscal Health
Contingency Plan and has successfully reduced the City’s general fund
operating budget by over $4 million for the Fiscal Year 2020-21. Additional
lay-offs or furloughs may be considered, as the fiscal outlook develops. Further
reductions will undoubtedly impact core city services for residents, as well as
employees. The toll on employment, businesses, and economic stability will
likely take a long-time to recover.
Since the beginning of the COVID-19 crisis, the City of San Luis Obispo
has increased measures to protect and serve our community which include,
taking several actions to reduce impacts and limit the spread of COVID-19. The
city has developed a Continuity of Operations Plan to ensure essential city
services such as public safety, water and wastewater will remain in place. An
Emergency Operations Center was activated, and a program was created to
provide regular updates to the public. City facilities were temporarily closed to
the public, safety guidelines and work from home technology was implemented
for city employees and non-essential public meetings and special events were
postponed or cancelled. City bus routes were adjusted to reflect local school
closures and before and after school care programs have been suspended
temporarily. Safety measures have been developed and enacted for all services
that remain open to the public. Additionally, the City of San Luis Obispo has
supported our regional partners through various efforts, including the c reation
of an Alternative Care Site located at Cal Poly San Luis Obispo’s Recreation
Center, which provides added hospital beds and medical services should the
need arise.
The critical measures taken by the City of San Luis Obispo were and
continue to be costly. In order to preserve a full partnership with the state in
saving lives, protecting our communities, and ultimately recovering from this
crisis, we need your assistance. As a bipartisan group of senators work to
fashion a pandemic relief bill in the coming days, we ask that you communicate
strongly to them the need for assistance to State and local governments. While
we prefer the distribution system and structure of local aide in the HEROES
bill, we understand the Senate may develop a different formula. We simply ask
that local governments receive guaranteed or direct funding at the local level of
at least 40% of funds, and that the "use of funds" be flexible to meet the needs
of our city. It is also essential that the funds be distributed quickly in order to
ensure proper response to the surge and its economic fallout that we are
currently experiencing.
The City of San Luis Obispo appreciates your consideration and look s
forward to further discussion in the coming days so that, together we can
continue to best protect Californians and reopen our economy. Thank you again
for your leadership and partnership during these uncertain times.
Sincerely,
Heidi Harmon
Mayor
City of San Luis Obispo
CC: San Luis Obispo City Council
U.S. Senator Dianne Feinstein, Fax: (202) 228-3954
U.S. Senator Kamala Harris, Fax: (202) 224-2200
U.S. Congressman Salud Cabajal, Fax: (805) 439-3574
State Senator Bill Monning, Fax: (916) 651-4917
State Assembly Member Jordan
Cunningham, Fax: (916) 319-2135
Bismarck Obando, League of California Cities,
SupportLocalRecovery@cacities.org