They still keep pushing this retail tax increase to build the EC, but even if it passes the legislature, it won’t pass the smell test with voters;
The road to a new events center in Sioux Falls will need to go through Pierre before the city has money to build a facility, a task force studying the issue has decided.
Sioux Falls officials are working with their counterparts in other municipalities and officials with the South Dakota Municipal League on legislation to be introduced in next year’s session. The legislation would enable local governments to raise sales taxes by up to 1 percent to finance special projects. The proposal probably will include a sunset provision, meaning the tax would end once the project has been paid off.
Sure, but I have a funny feeling after the EC is paid off, the city will continue to find things to build and maintain with the tax. It’s kinda hard giving up $100 million a year when you are used to it. Don’t believe the bull, that tax will NEVER GO AWAY! That is why the BBB tax makes the most sense, we don’t have to get rid of it and we can pay for the facility over time.
BREAD FOR THE WORLD puts in their two cents (no pun intended);
Note the article in today’s Argus about the proposal for funding an event center. Unfortunately, the task force is asking the legislature to let cities raise sales tax, our most regressive tax. Hard to believe — especially in tough times.
The increase, $100 million a year in Sioux Falls, would not come only from those who can afford it. Much would come from those who don’t have money to spare. 36.8% of Sioux Falls children eat free or reduced lunch. [May’09]
When costs go up, families have less for the flexible parts of the budget, which food is. And food would cost more too, because sales tax in South Dakota applies to food.
There is an alternative: “bed, board & booze tax” (BBB), which would take a little longer to raise the funds, but would not affect life’s basic necessities.
It is simply unconscionable to raise the tax on necessities and ask hungry children to pay for an event center, no matter how nice an event center or other public amenity would be.
You can vote in TODAY’S ARGUS POLL at http://www.argusleader.com
The question: Should South Dakota allow cities such as Sioux Falls to charge a tax to help fund an events center? (AS OF 11:30 AM 62% WERE OPPOSED TO THE INCREASE)
More important, letters to the Argus Leader and papers all over the state are needed, so all state legislators can learn sales tax is the wrong idea for a way to fund new public projects. Short, simple, to-the-point letters don’t take long to write and are very helpful.
Supplementary info:
—> Ottertail just raised electric bills 11%. Xcel wants to raise theirs 10-12%. (These bill have sales tax.)
—> One percent more sales tax is a 16.7% increase in the sales tax. How much are paychecks going up?
—> Other states have been reducing or ending their food tax, not raising it! Only 14 states still tax groceries, half of which have a lower rate on food.
—> Other cities did not use any tax on food to build their event centers: Food was not taxed in Fargo, DesMoines, Sioux City or Omaha, when event centers were built there. (Food is still not taxed in those places.) When the civic center was built in Rapid City, the RC city sales tax was not on food.
—>Â Food stamps (now called SNAP) help immensely, and are not taxed. But many low-income people do not get them, and middle-income people often struggle to cover expenses too.
—> South Dakota’s food tax rebate program reaches only a tiny fraction of low-income South Dakotans and no middle-income households.
A tax that worsens the struggle for life’s necessities is not an appropriate source of funds for a place of entertainment.
Please help oppose this now, before it gets to the legislature, before momentum builds, in hopes they will take a different course, one more sensitive to the real life situations of South Dakotans.
l3wis 