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HomeMy WebLinkAbout1982-11-29 Special MinutesNovember 29, 1982 7:00 P.M. CALL TO ORDER ROLL CALL OF COUNCIL MEMBERS OFFICIALS IN ATTENDANCE DISCUSSION 7:07 P.M. Ordinance #1279 Imposing an addi- tional sales or use tax upon to be collected from those persons from whom the state sales or use tax is collected fixing the rate of tax, providing for the administration collection thereof consenting to the inspection of rec- ords, and providing penalties for the violation thereof TUKWILA CITY COUNCIL Special Meeting M I N U T E S Tukwila City Hall Council Chambers Mayor Van Dusen called the Special Meeting of the Tukwila City Council to order. Meeting was called to consider an ordinance imposing an additional sales or use tax. GEORGE D. HILL, MABEL J. HARRIS, LIONEL C. BOHRER, Council President, JOE H. DUFFIE, EDGAR D. BAUCH, WENDY A. MORGAN. Councilman Phelps arrived at the meeting. MOVED BY BOHRER, SECONDED BY DUFFIE, THAT ORDINANCE NO. 1279 BE ADOPTED WITH THE BLANK IN SECTION 2 READING TWO TENTHS AND THE BLANK IN SECTION 10 READING DECEMBER 31, 1985.* ,378 DANIEL D. W00, Deputy City Attorney; MAXINE ANDERSON, City Clerk; ALAN DOERSCHEL, Finance Director. Council President Bohrer explained that the reason he chose December 31, 1985 as the expiration date is because the revenue projected for 2/10 of a cent would be adequate for the major projects currently underway; Grady Way Bridge, Southcenter Blvd. Extension, 56th Avenue Bridge, and the T -Line Bridge realignment. Further projects, hopefully, can be funded with the normal reve- nue sources. Mr. Cris Crumbaugh, audience, said hopefully some of the sales tax will be used to do some of the improvements to help the traffic problems in the industrial area. Alan Doerschel, Finance Director, reported that 2/10 of one percent would generate, in 1983, about $700,000; in 1984 and 1985 about $900,000. The revenue in the proposed 1983 budget is short about $625,000; $250,000 for a residential street project and $375,000 for the Grady Way Bridge project. In 1984 the assessed valuation of Tukwila will be reduced from approxi- mately $900,000,000 to $600,000,000. At that time, inventory will be longer be included as part of the assessed valuation. Councilman Bauch questioned Section 6 which allows Council to spend funds for non capital improvements. Mayor Van Dusen said he felt that Council wanted these funds to be used for capital projects and not become part of the operating expenses. MOVED BY BAUCH, SECONDED BY HARRIS, THAT SECTION 6 OF THE ORDINANCE BE AMENDED BY OMITTING THE "A" AT THE END OF THE FIRST LINE, OMITTING THE "S" FROM "IMPROVEMENTS" AND ADDING AN "S" TO "FUND," PLACING A PERIOD AFTER "FUNDS" IN THE SECOND LINE AND DELETING THE REST OF THE SECTION. Councilman Hill said he wanted to see Section 6 remain as is to allow more flexibility in case of an emergency. Mr. Cris Crumbaugh, audience, reminded Council that they had received a letter from the Chamber regarding the sales tax. They feel the City should not pass such a tax unless there is a real need. They asked the City to designate what they are going to do with the revenue before they impose the tax. They would hope Council would not pass it just to balance the budget. Councilman Harris noted that the proposed budget is balanced having the capital improvements paid for by Councilmanic Bonds. Councilman Duffie said he is not in favor of raising taxes, but if Council is going to pass it, he does not want the money to go for salaries. TUKWILA CITY COUNCIL, SPECIAL MEETING Hovember 29, 1982 Page 2 DISCUSSION Cont. Ordinance #1279 (cont.) ADJOURNMENT 7:55 P.M. Councilman Morgan said there is no way Council could cut $650,000 out of the budget so the money has to come from another source. Council President Bohrer reviewed the figures and said there is an immediate problem to solve. The City has commitments in the amount of $625,000 and there is no revenue source to cover it. This is just a short term solution; Council can look at it again next year and amend the ordinance if they see fit. This solves the immediate problem. *MOTION CARRIED WITH HILL AND DUFFIE VOTING NO. *MOTION CARRIED TO ADOPT THE ORDINANCE AS AMENDED. 7 99 MOVED BY HILL, SECONDED BY HARRIS, THAT THE SPECIAL MEETING CALLED BY THE TUKWILA CITY COUNCIL BE ADJOURNED. MOTION CARRIED. Ci tai C erk