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RESOLUTION NO. 62-46 OF THE CITY OF SANTA ANA, <br />CALIFORNIA, FAVORING LEGISLATIVE ACTION TO SUBMIT <br />A CONSTITUTIONAL AMENDMENT TO THE VOTERS WHICH <br />WOULD IMPOSE A ONE PERCENT TAX ON TELEPHONE <br />COMPANIES' GROSS RECEIPTS IN LIEU OF FRANCHISE <br />PAYMENTS AND REQUESTING THAT SAME BE INCLUDED IN <br />THE CALL FOR THE SPECIAL SESSION <br /> <br /> WHEREAS, it now appears that telephone companies will no longer <br />make payments to local governmental agencies where they carry on <br />business under local franchise agreements, and that said franchises <br />will be meaningless; and <br /> <br /> WHEREAS, various cities of the State and the League of California <br />cities have been negotiating with the telephone companies for an <br />in lieu one percent tax on gross receipts to replace franchise payments, <br />and it now appears that an understanding has been reached; and <br /> <br /> WHEREAS, a period of more than two years would be required <br />between the time of legislative action and the time of first possible <br />payment under the new constitutional enabling provision, during which <br />period the telephone companies would be the only utility organizations <br />not making any franchise payments for the use of public ways. <br /> <br /> NOW, THEREFORE, BE IT RESOLVED by the City Council of the City <br />of Santa Ana, California, that the Governor of the State of California <br />is hereby urgently requested to include among the items in his Call <br />for the next Special Session of the Legislature of the State of <br />California the consideration of a one percent gross receipts tax upon <br />telephone companies to be created by a legislative proposal for <br />amendment of the Constitution of this State creating the enabling <br />provisions in terms approximately as now proposed in the form developed <br />by the League of California Cities. <br /> <br /> BE IT FURTHER RESOLVED: That said City Council hereby urges <br />not only the Senator and Asserablymen of Orange County, but all legisla- <br />tive representatives to cast their votes in favor of such constitutional <br /> <br />amendment. <br /> <br />-1- <br /> <br /> <br />