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On Nov. 2, the city’s voters will decide whether to extend the city’s phone tax to broadband phone calls as well as to international and interstate phone calls.
Mountain View’s 40-year-old “telephone users tax,” as it’s called, currently brings in $1.9 million a year to help fund core city services, such as fire, police and the library. But city officials say it has declined by $50,000 over the last year as broadband phone service becomes more popular.
City officials say phone tax revenue is in jeopardy of further decreases if the tax is not updated to include broadband. It could also bring in several hundred thousand dollars in new revenue, a consultant told the council in May.
City officials say that Measure T will not raise the city’s phone tax rate of 3 percent. While the ballot statement only mentions including new phone technology, the tax would also be extended to interstate and international calls. That may have an almost undetectable effect on the average resident, who may be taxed an additional 2 cents for a typical 15-minute international phone call, the city reports. Cell phones users may see no increase on their bills because of the way their bills are taxed, city officials said.
Only businesses that heavily use broadband phone services may see a significant increase in their utility bill, which was shown to be hundreds of dollars a month in one case. But those who have their own broadband networks, such as Google, would not.
The city stresses that the tax “excludes Internet access, e-mail services and digital downloads.”
A group of current and former council members and residents have been campaigning for Measure T, which needs approval from a simple majority of Mountain View residents to pass. The group reports $5,000 in campaign contributions split by Regis Homes and Minton’s Lumber, both business that have plans to build large housing projects in Mountain View.
A survey of local voters found 68 percent in favor of the measure and that most would rather have new revenue go to youth and teen programs than police and fire services.
EGADS… won’t the City,County,State or Feds ever get enuf taxes ?
All they can think about is “get more tax dollars from any new angle”. If they have lost $50,000.00 due to cell phones, then damn it all, cut out the “low cost” housing, cut the golf course fiasco, find somewhere to do it. I dare say that in adding this tax, they will add to collection costs, hire another or three employees and end up in the red and obligated to new pensions and perks.
Enuf is More Than Enuf.
George
I am one of the co-signers of the Rebuttal to Arguments For this measure, along with Donald Bahl and former council member, Greg Perry. You can read the ballot arguments here:
http://www.smartvoter.org/2010/11/02/ca/scl/meas/T/
The proponents of the measure refer to Donald Bahl as its “lone opponent”. The whole story is that signatures had to be dropped from the Argument Against because of a last-minute paperwork glitch at the clerk’s office. Anybody who’s ever rushed a bunch of ballot signatures or petitions down to a clerk’s office knows how that can go.
Speaking only for myself, more important than whether you decide to vote for or against this measure is raising awareness of the serious fiscal crisis Mountain View has gotten itself into because we have been extremely, extremely generous with handing out pensions to public employees. Mountain View isn’t alone. The same thing has happened in municipalities and counties all across the country.
Everyone should also be aware that the proponents of Measure T have been campaigning for it with taxpayer’s money, as explained in this letter that Greg Perry wrote to the Mercury News:
http://www.mercurynews.com/peninsula/ci_16224803?nclick_check=1
What Perry didn’t mention is that the papers submitted for the signers of the Argument in Favor list Kevin Woodhouse, Assistant to the City Manager, as their contact person. I hope I’m not the only one that finds it highly unethical for the city manager’s office to be engaging in political campaigning.
Actually, re-reading Perry’s letter, he does mention that a city employee coordinated the pro-Measure T ballot arguments.
I agree that the 800lb gorilla in the room are the labor contracts that the City negotiated with the unions during the boom years, that are now putting a strain on the City’s finances, and need to be addressed as the primary issue.
Its debatable whether or not Measure T is an appropriate measure due to changing use of telecommunications. However, there’s a part of me that’s tempted to say no to this only to deny the City additional funding, so that they deal with the union contracts and health care benefits sooner, rather than later.
“The group reports $5,000 in campaign contributions split by Regis Homes and Minton’s Lumber, both business that have plans to build large housing projects in Mountain View.”
At least Mountain View is not as bad as San Francisco in terms of these – back my issue and I’ll put through your development paperwork. Though, it is sad to see long-time Mountain View family business Minton’s hook up with these crooks.