Monday, April 25, 2011

Oro Valley's Proposed Utility Tax Is A Major Contradiction

Talk about a contradiction, what do you think of Oro Valley's proposed Utility Tax?

In 2007, Oro Valley Council initiated a 2% Utility Tax in order to fund 18.5 new positions.

In 2011, Oro Valley Council proposes a 4% Utility Tax although 40 positions have been eliminated over the last two fiscal years.



Excerpt from the Az Star Dec. 14, 2006--

Utility tax to finance new OV staff positions.


The council voted 4-3 to impose a 2 percent utility tax and amend the current budget to include the 18.5 staff positions, which were formerly excluded due to lack of funds. The new tax will become effective April 1, 2007, and remain in place until April 1, 2009.


Excerpt from Oro Valley agenda for May 4, 2011 meeting---

From Stacy Lemos Finance Dep't

EXECUTIVE SUMMARY:
"Staffing levels have been reduced by over 40 positions, or 13%, during that time-frame." (FY 2011/12)


This begs the question:

If the original 2% Utility Tax was for the hiring of 18.5 new employees, 13 of which were in the police department, and Oro Valley eliminated 40 positions in the last two fiscal years, WHY IN THE WORLD DO WE NEED AN INCREASED UTILITY TAX AND NOT THE ELIMINATION OF THE ORIGINAL TAX THAT WAS TO BE FOR ONLY TWO YEARS?

We can expect our detractors to tell us it's because of other issues, like less building permits & less state shared revenue.Let's call "a spade,a spade." This proposed tax is a major contradiction.

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