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Danville debate on new taxes continues

June 08, 2005|LIZ MAPLES

For the moment, Danville city commissioners want to charge $6 for garbage collection with no curbside recycling and increase the payroll tax from 1 percent to 1.2 percent.

Immediately after voting for the new taxes, Commissioner Terry Crowley said he wants to be clear that it's not over yet. The tax rates and plan could change anytime before the second reading of the budget ordinance, which must occur before the budget year begins on July 1. There has yet to be a first reading.

For more than three hours, commissioners debated different plans - everything from Mayor John W.D. Bowling's idea to levy a 1.5 percent payroll tax to a $10 garbage fee, including recycling, and a 1.25 percent payroll tax.

The city now pays $6.80 per household to have garbage collected and charges residents nothing. If households were charged a garbage fee, the money would be used to pay for garbage collection. The money now spent on the garbage contract would pay for the construction of a police station and city hall, renovate other city buildings and buy large equipment like police cruisers and public works vehicles. It will take several years before the buildings are actually built.

The increase in payroll tax will pay for programs like leaf collection and street sweeping that improves stormwater quality and is required by the federal Clean Water Act. The increase would also provide $50,000 for drainage improvement projects, but it hasn't been decided which projects will be done first.

About $4.4 million is needed for minor drainage improvements and another $10 million for major projects. Crowley said that to issue bonds it would take $348,000 a year for 20 years just to fund the minor projects, and $938,000 a year for 20 years to do the major projects.

Commissioners said most of the minor projects would address the drainage problems that drive people to complain.

Residents speak out

Resident Al Atmore said he is tired of the city, county and schools adding taxes to everything - even water. "There are only a couple of things that aren't taxed, like air."

Resident Sarah Vahlkamp said she is in favor of the garbage and recycling fee because it would encourage more people to recycle. "Many communities in Kentucky have a garbage fee, we've been spoiled" by not having one.

Resident Mary Elizabeth Freeman doesn't want any more taxes, and she said the Commission is acting like the city is a fiefdom, the commissioners being the lords. "We are the peons, also known as the citizens, taxpayers and voters."

Commissioners said if a curbside recycling program is not started this year, they would work out the details so that it could start next year.

Senior center director Jackie Sims reminded commissioners of people in the community on fixed incomes. She said there are also a lot of older people who do not throw away as much as families.

Resident Gordon Howe urged commissioners to reconsider paying all of the employees' and commissioners' health insurance premiums.

Bowling suggested the city ask all the agencies getting city donations to become self sufficient. The idea was met with resistance, several commissioners saying they didn't agree.

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