HomeMy WebLinkAboutResolution No. 0972 1016 -
RESOLUTION NO. 9/Z
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF DOWNEY OPPOSING FEDERAL INCOME TAXATION OF
INTEREST DERIVED FROM PUBLIC BONDS
WHEREAS, the cities and other political subdivisions of
the State of California in the past have engaged, and now are
engaged, in financing needed public improvements through the
issuance of bonds; and
WHEREAS, the interest income which the owner derives
from such bonds in the past and at the present has been and
now is exempt from any imposition of federal income tax; and
WHEREAS, the federal taxation of the interest of such
bonds as income would seriously impair the marketability of
such bonds, the net amounts derived from the sale thereof,
the cost of interest to the public agency, and would increase
the cost of interest to the public agency issuing the bonds;
and
WHEREAS, there currently is a national movement to permit
the imposition of federal income tax of the interest income
from the bonds issued or to be issued;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF DOWNEY DOES
RESOLVE AS FOLLOWS:
SECTION 1. That on
behalf of itself and on behalf of the
other public agencies of the State of California it expresses
its opposition to any amendment to the Constitution of the
United States or any other action by the Congress of the United
States or the executive branch thereof which would have the
effect of subjecting the income from state and local bonds to
a federal tax or to cause the tax to be increased because of such
bond holdings by a taxpayer whether or not the increase is in
fact titled a tax.
151
SECTION 2. The City Clerk shall certify to the adoption
of this resolution and cause a certified copy thereof to be
sent to congressman Clyde Doyle and to such other persons as
may be deemed advisable.
APPROVED AND ADOPTED this 7 day of , , 19
>ci 6
2
0 .
Mayor
ATTEST:
City C1erk Cl
I HEREBY CERTIFY that the foregoing resolution was adopted
at a SC1 Z e42 4fieeting of the City Council of the City of Downey
heln the day of , 1962, by the affirmative
7
vote of at least j7 counci men, to wit:
Councilmen:
NOES: Councilmen:
ABSENT: Councilmen:
City Cle
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