Bill Text: CA AJR10 | 2013-2014 | Regular Session | Introduced

California Assembly Joint Resolution 10 (Prior Session Legislation)

Introduced

Bill Title: State debt.

Spectrum: Partisan Bill (Republican 3-0)

Status: (Introduced - Dead) 2013-05-06 - In committee: Refused adoption. Reconsideration granted. [AJR10 Detail]

Download: California-2013-AJR10-Introduced.html

BILL NUMBER: AJR 10	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Grove
   (Principal coauthor: Assembly Member Dahle)
   (Coauthor: Assembly Member Donnelly)

                        FEBRUARY 6, 2013

   Relative to state debt.


	LEGISLATIVE COUNSEL'S DIGEST


   AJR 10, as introduced, Grove. State debt.
   This measure would urge the federal government to not to take any
action to redeem, assume, or guarantee state debt, and would urge the
Secretary of State to report to Congress any negotiations to engage
in an action that would result in an outlay of federal funds on
behalf of state creditors.
   Fiscal committee: no.



   WHEREAS, Each state of the Union is a sovereign entity with a
constitution and the authority to issue sovereign debt; and
   WHEREAS, Each state legislature has the authority to reduce
spending or raise taxes to pay the obligations to which the state has
committed itself; and
   WHEREAS, The officials of each state of the Union are legally
obligated to fully disclose the financial condition of the state to
investors who purchase the debt of that state; and
   WHEREAS, Congress has rejected prior requests from state creditors
for payment of defaulted state debt; and
   WHEREAS, During the national financial crisis in 1842, the United
States Senate requested the Secretary of State to report any
negotiations with state creditors to assume or guarantee state debts,
to ensure that promises of federal government support were not
proffered; now, therefore, be it
   Resolved by the Assembly and the Senate of the State of
California, jointly, That the Legislature respectfully urges (1) that
the federal government not take any action to redeem, assume, or
guarantee state debt, and (2) that the Secretary of the Treasury
report to Congress any negotiations to engage in an action that would
result in the outlay of federal funds on behalf of state creditors;
and be it further
   Resolved, That the Chief Clerk of the Assembly transmit copies of
this resolution to the President and Vice President of the United
States, to the Speaker of the House of Representatives, to the
Minority Leader of the House of Representatives, to the Majority
Leader of the Senate, the Minority Leader of the Senate, and to each
Senator and Representative from California in the Congress of the
United States.