11/30/1987 Meeting - Laserfiche WebLink

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H. Additional Revenues e Mayor Obie asked the councilors to discuss their opinions about additional revenues. Ms. Bascom said she would like to consider a five percent restaurant tax which will be used for the projected deficit and new projects. She sa i d she is interested in a real estate transfer tax because the Lane County Commissioners are considering one. Ms. Schue said she is interested in a restaurant tax of more than .5 percent. She is somewhat interested in a real estate transfer tax. She said substantial funds will be needed for the library. She said a local gas tax would be difficult to get approved. Mr. Miller said the problems are difficult to solve. He said the community must support the council and, if the community supports it, a restaurant tax could fund the Hult Center and cultural and leisure programs. He said he favors appropriately dedicated revenue sources. He said he would consider new revenues coordinated with Lane County. He said some citizens want services retained and taxes to be cut and that is not possible. Mr. Holmer said taxes should be equitable and citizens' ability to pay should be considered. He said dedi cated new revenues are easier to IIsellll but sometimes problems result because the amounts created do not match the needs. He said the cost of administering new revenues should be considered. A restaurant tax could be difficult to administer. He said he favors increased user fees. He said he would like to consider utility taxes. e Mr. Bennett said he woul d 1 i ke to consider a ut il i ty tax. He favors dedicating new revenues. He said expenditures should be reduced before new revenues are sought. He said he might support a gas tax, a rea 1 estate transfer tax, and a restaurant tax of less than five percent. Mr. Rutan said his constituents want the council to make expenditure reductions first. He said he would like a list of all possible revenue sources and the amounts they would generate so the council can consider all the opportunities. He said he favors lIuser-orientedll new revenues and the council should consider carefully who will pay new taxes because many of them will be passed on. Ms. Wooten said she agrees the council should consider who will pay taxes. She is apprehensive about utility taxes. She said new revenues probably will have to be pursued and she favors a phased restaurant tax. She suggested the staff analyze a five-percent restaurant tax and a commensurate offset against the shortfall within the six-percent tax base increase. For example, if a restaurant tax would produce $5 mi 11 ion and the shortfa 11 will be $2.5 million, property taxes could be reduced $2.5 million. She said changes could be made each year. On a scale of one to ten for meeting the City's current needs, Mayor Obie said revenues and expenditures are a 9 and the capital program is a 5. He said he e MINUTES--Eugene City Council November 30, 1987 Page 8