HomeMy WebLinkAbout5068RESOLUTION NO. 5068
A RESOLUTION REQUESTING THE CONGRESS OF THE
UNITED STATES TO ENACT APPROPRIATE LEGISLA-
TION GRANTING MUNICIPALITIES EXEMPTIONS FROM
FEDERAL ANTITRUST LAWS
WHEREAS, the exposure of municipalities in Colorado through-
out the country to federal antitrust lawsuits has been greatly
expanded as a result of recent decisions of the United States
Supreme Court;
WHEREAS, the potential for treble damage awards and the
substantial expense of defending antitrust litigation, even
if successful, may inhibit municipalities from enacting or
enforcing regulations which are intended to protest the public
health, safety and welfare, but which also may be deemed to
restrict competition;
WHEREAS, at least four Colorado municipalities already
have been sued under the federal antitrust laws for various
regulatory activities, with claimed damages, when trebled,
exceeding $100 million;
WHEREAS, the cost to the taxpayers of one Colorado
municipality in defending one of these lawsuits, which was
settled prior to trial, exceeded $250,000;
WHEREAS, municipalities differ from private enterprise
in that private enterprise is not charged with protecting
the public health, safety and welfare;
WHEREAS, numerous protections from municipal regulations,
other than treble damages under the federal antitrust laws,
are available such as public notice, public hearing, public
meeting and public record requirements, court review of actions,
periodic elections and the rights of initiated referendum and
recall, and the continuing authority of the state General
Assembly or the people of Colorado to modify the statutory
and constitutional authority of Colorado's municipalities;
WHEREAS, state legislation does not provide any certain
solution to the problem and years of litigation will be
necessary to decide whether any state legislation meets the
test established by the U.S. Supreme Court for local government
antitrust immunity;
WHEREAS, federal legislation can address the problem
directly by seeking a specific exemption from the federal
antitrust laws for local governments and all or some of their
activities;
WHEREAS, federal legislation could eliminate damages
from the antitrust remedies available against local governments
and their taxpayers; and
WHEREAS, local governments should not be imperiled when
engaging in traditional local government regulatory activities
such zoning, enacting and enforcing building and fire codes,
regulating the use of public rights -of -way, licensing, franchising
and the myriad of other regulatory activities traditionally
engaged in by local governments.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO,
COLORADO, that:
The Congress of the United States should act as quickly
as possible to provide appropriate exemptions for municipalities
from federal antitrust liability.
ATTEST:
C y C e r j
v 1
INTRODUCED: December 13 , 1982
By MIKE SALARDINO
Councilman
APPROVED:
Presi ent of the City Council
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