RSS Feed
|
|
|
|||||||||||||||||||||||||||||||||||||||
|
Business license hike lessened
Ten business owners representing seven businesses attended the meeting and voiced opposition to the increase. "Most of the ordinance is pretty cut and dry as far as procedures and all that we have to have in there based on the state law (Municipal Business License Reform Act of 2006)," said town attorney Bruce Wilson. "The only leeway that municipalities have is in regard to the rates that they are going to charge. Municipalities can charge whatever rates they want. There's nothing in the act that designates what the rates are." An initial proposal publicized last week would have seen rates for many businesses raised several hundred percent. Wilson said he gave the council "a revamping of the rates, taking an old (1979) ordinance with the new codes that we have to have…Some businesses will be thrown under different categories. It's not quite as specific under these codes as it was under the old ordinance. The idea was to present a 50 percent increase in the business license tax. It was as consistent as we could make it under the new classifications." "In my opinion, this is reasonable - not out of line," said council member Levon Hicks. "It's much better than the last one we saw," added council member Pat McGraw. Some business owners were still not happy. "You have it broken out based on your gross receipts or gross sales," said Allen Jordan of the Medicine Chest. "Out of that portion of gross sales most of the merchants in here will pay taxes on that also. You seem to be punished twice." Sales tax is coming out of the purchaser's pockets, said Mayor Lamar Hudson. "It's still the point that the more you collect, the more you pay," Jordan said. "The more your receipts are, the more you pay for a business license." "This is standard statewide," the mayor said. "In fact, ours is probably low." "I just think the majority of merchants are struggling now," said Kossie Powell of Powell Timber Company. "I just don't think things should go up that much. We're hurting the merchants now. You're just trying to run them out of town." "I don't think this is going to run anybody out of town," Mayor Hudson responded. The new ordinance proposed a maximum business license price of $600. It would take $3 to $4 million in gross receipts to get up to the maximum, the town attorney said. "If you need to go up, that's understandable," said Kate Jordan of the Medicine Chest, "but don't punish the merchants because you haven't gone up in however many years. We'd like for it to be a gradual increase instead of (increasing the rates) at a time when our economy is very bad here in town." Buck Bedsole, co-owner of B & F Farm Store said, "You're fixing to see another Repton…there's going to be a lot of empty buildings, you've already got quite a few." "I don't think this is going to make or break that," the mayor said. Former Mayor Willie Welch asked Hudson if the town government was going to make it or break it without the increase. Hudson said it wouldn't break the town not to get an increase "but we need to try to move forward some and get in line with everybody else." The council was asked how much revenue business licenses generated now and how much additional funds the proposed increase would generate but no one could answer that. The $600 license fee cap still bothered some of the business owners. Council member McGraw suggested a $500 cap. Welch suggested $400 from the audience and council member Terry Stifflemire echoed that. Council member Hicks made a motion for the ordinance with the cap remaining at $400. Council member Earl Wilson seconded the motion and the vote was unanimous. Council member Cynthia Jackson was not present at the meeting. Allen Jordan thanked the council for listening to the merchants. "We want to keep you happy," responded McGraw. Mayor Hudson applauded the work of the council. "They've put in a lot of hours that they really don't get paid for," he said. "They really care about Grove Hill…Sometimes you get caught between a rock and a hard place." Other business In other action from the Monday council meeting, a building permit was approved for a replacement of a window at the residence of Houston Johnson on Church Street. • The Grove Hill Christmas Parade will be held at 4 p.m. on Dec. 6. Lineup is at 3:15 p.m.
• The open house for the new addition to Grove Hill Library will be held at 2:30 p.m. on Dec. 8.
|
for larger version       Ads have a Patent Pending. Click Here for More Information |
|||||||||||||||||||||||||||||||||||||||
)
