Utility taxes: Now there's a touchy topic in Morgan Hill and with good reason. Implementation of a utility tax in the early 1990s led to the successful recall of three City Council members.
This time, City Council is asking voters to tax themselves with a 2 percent utility tax. Revenues from the tax would go to the general fund - nonspecific taxes for some backwards reason, require a simple majority in the state of California - but plans are to spend the money on boosting police services.
Funds will boost police services
Recently, City Council directed city staff to draft ballot language for a measure that would appear on the November general election ballot. Council members will vote on placing a measure on the ballot at their July 23 meeting.
So, if you'd like to influence the details of this utility tax proposal, there's still time.
We're already hearing residents question whether the proposal will cover the right things.
Some folks are recommending that the utility tax measure have an expiration date. The current proposal does not sunset.
Others recommend against including an expiration date, saying that the city needs reliable funding for more police officers.
Some folks question whether the city ought to be imposing a utility tax on cell phone service. These people point out that unlike land telephone lines, cable television service or electricity, the city has no role in making sure that cell service is delivered to residents, and thus ought to have no role in taxing those services.
Take time to influence utility tax
Others recommend exempting all telecommunication services from the utility tax measure.
Then there's the amount of the tax. Some say that a 2 percent utility tax won't raise enough money and ought to be higher. Others oppose any attempt at increasing revenues, especially in our current economic climate in which people are being squeezed by high fuel and food prices.
It's late in the game, but it's not too late to influence the shape of this utility tax proposal.
Act now
Contact the Morgan Hill City Council to let them know your feelings on the issue. (408) 779-7271 or via their Web site: www.morganhill.ca.gov.
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