In a recent government meeting, city officials discussed the long-standing Business and Occupation (BNO) tax, which has not seen an increase since its inception in 1972. Council members expressed concerns about the fairness of not asking businesses to contribute more to city services, especially as residents have faced increased rates. The discussion highlighted the need for a balanced approach to taxation that considers both the economic health of local businesses and the financial needs of the city.
Council member Wayne emphasized the impact of rising costs on businesses, noting that any tax increase would likely lead to higher prices for consumers. He urged the council to focus on improving city efficiency rather than increasing taxes. This sentiment was echoed by other members who called for a thorough audit of city revenues and expenditures to identify potential savings.
The meeting also addressed the city's significant deferred maintenance costs, estimated at $16 million, and the looming threat of bankruptcy if financial issues are not resolved. Council members debated various options for addressing the budget crisis, with some advocating for immediate action while others suggested a more gradual approach.
Despite the urgency of the situation, a proposed amendment to the main motion aimed at addressing these financial challenges was ultimately rejected. The council's discussions reflect a broader struggle to balance fiscal responsibility with the need to support local businesses and maintain essential services for residents.