PRESCOTT - With as much as $375 million on the line, local resident Jim Lawrence maintained this week that the city should take its time planning for a proposed sale tax extension.
Noting that the city's existing 1-percent sales tax, which currently goes for streets and open space, likely would continue to generate at least $15 million per year, Lawrence pointed out that the total revenue over 25 years "is a very large figure."
And before the city makes any decisions about the breakdown of tax, he suggested "additional homework" by city staff members and other officials.
The Prescott City Council ultimately agreed with Lawrence's advice this week, instructing a committee of interested parties to meet again before the expected January council vote on whether to call for a special election.
Lawrence was just one of several area residents who showed up for the council's discussion Tuesday on whether to conduct a special election in 2009 to ask voters to extend the sales tax from the current expiration date in 2015 until 2040.
City officials have proposed the tax extension as a way of ensuring a revenue stream for the millions of dollars worth of upcoming street improvement projects. By extending the tax now, they say, the city would be able to borrow money based upon the future revenue to do projects that are urgent now.
Going into Tuesday's discussion, most everyone involved appeared to agree on two points:
• That the city should call an election for May 2009.
• That the city should separate streets and open space on the upcoming ballot.
But several other issues did generate debate. For instance, Mayor Jack Wilson brought up the possibility of adding a transit component to the upcoming sales tax election.
"We have to be able to fund transit, not just roads," Wilson said.
Councilman Robert Luzius agreed, noting that the addition of a public transit system would "help alleviate the needs for roads."
But other council members voiced strong objections to adding other components into a tax that they say should go entirely for street improvements.
Calling the idea an "earmark," Councilman Jim Lamerson, for instance, said using some of the sales tax money for transit would further dilute the city's ability to do its necessary street improvements.
The council also considered whether the election should ask voters for the entire 1 percent in May, or whether it should ask for just 0.75 percent now, with the intention of asking voters later for a 0.25-percent increase with a transit and/or open space component.
That led former City Councilman Steve Blair to suggest going for the full 1 percent for streets in May. Then, if supporters want to go for an additional 0.25 percent increase later for transit and open space maintenance, Blair said, "Let the public decide."
After the meeting, City Manager Steve Norwood said a committee consisting of two City Council members and representatives from the Prescott Capital Needs Committee, the Open Space Committee, and the Citizens Tax Committee likely would meet in the next several weeks to discuss the amount of the tax, as well as the allowable uses for the tax revenue.
In order to have a May vote, the council must call the special election by Jan. 13.
Contact the reporter at cbarks@prescottaz.com
Reader Comments
Posted: Friday, December 19, 2008
Article comment by:
Thank You (2)
You took me seriously! Good grief, 'Mr. Blair is full of air...', I WAS BEING FACETIOUS! The man is delusional ... still has not come to grips that the people dumped him. And, alas, will not go away. Hope, however, springs eternal.
Posted: Thursday, December 18, 2008
Article comment by:
Blair is full of hot air
Blair in his egotism cannot get over the fact that the citizens of Prescott got tired of his baloney and kicked him out of office. He has become the Jimmy Carter of Prescott. he wants to be mayor so bad he can taste it. As for me, I no longer will listen to the local AM station when his show is airing and he is pontificating.
Posted: Thursday, December 18, 2008
Article comment by:
Thank you.
Thanks for always keeping us informed of ex-councilman Blair's views. We note he still never misses a council meeting. His 'home-town boy' pontifications are such a comfort to us all.
Posted: Thursday, December 18, 2008
Article comment by:
disgusted with this city council
Are these guys nuts? A tax extension at a time of such economic as this? This issue will not pass. A special election will cost money the city supposedly does not have, and to no end. How arrogant...
Posted: Wednesday, December 17, 2008
Article comment by:
Pretty ticked off citizen
I would also like to know where and what has the city done with all the tax dollars they have been raking in off this 1% or 2% tax for roads and open space. Seems to me that they have not been very good stewards with our money for years. During the boom times these past few years when Sales tax was way up, what happened to that money? Oh I forgot we gave it to big box corporations to move their business here. We gave it to high dollar consultants that moved in for the kill and produced nothing for the hundreds of thousands and perhaps millions of dollars to consult about what? I see that the voting of the road tax could be a good thing but God sakes someone tell me that we the citizens are going to get a real truthfull accounting of this governments spending of that money. Its time that we make these crooks responsible with spending our tax dollars where we want them to spend it.
Posted: Wednesday, December 17, 2008
Article comment by:
Publius
Here is the clear example of out-of-control government. This tax began as time limited and for specific named streets. It has morphed into a monster and the current proposal for 25 years for increased debt service should be unthinkable. Citizens and voters should demand more accountability. Has the city performed well with what it has? If not until performance improves this concept should be DOA.
Posted: Wednesday, December 17, 2008
Article comment by:
live and let live
Let's make a deal; you can have your 1% for the roads, but stop the 2% tax on food. It is absolutely a disgrace that COP imposes a regressive tax on the poor for food.
