October 29, 2009
Candidates share views on Polson's resort tax proposal
By Berl Tiskus
Valley Journal
POLSON — Candidates for city government offices recently offered their opinions on the proposed resort tax, which is Polson's Nov. 3 ballot.
Mayoral candidate Pat DeVries said she is opposed to the resort tax for the following reasons:
1. They (the city) have no idea how much they will collect.
2. They have no idea how much it will cost the city to administer and implement the tax.
3. They have no idea how the exemptions will be handled.
4. The items they are taxing will cause stores lots of problems with what is taxable and what is not. They say items you buy with food stamps will not be taxed except for pop and candy.
5. I am afraid it will drive businesses out of the city limits.
6. We are just taxing ourselves as the resort season is only about 10 weeks.
Incumbent Mayor Lou Marchello said it (the resort tax) is up to the vote of the people. Marchello added that he abstained when the commission passed the motion to get the resort tax on the ballot.
Ron Boyce is running unopposed for Ward 1 Commissioner. Boyce said he is definitely against the resort tax.
“I think it was rushed too fast,” Boyce said. “I think it should have been looked at a little closer.”
There were questions that needed to be answered, Boyce said, such as if the tribes will go along with the resort tax or not.
Boyce also said people are upset about their appraisals.
“Do we just want to put another tax on top of that?” Boyce asked, adding that the timing could have been better.
Ward 2 candidate Jules Clavadetscher said, “I voted to put the resort tax on the ballot so the people of Polson could decide whether they wanted the tax. I will support whatever decision the people make. If they vote to implement the tax, I’ll make every effort to ensure it is implemented in a fair and effective manner. If they decide they do not want a tax, I’ll make every effort to allocate our scarce funds to develop our infrastructures the most effective way possible.”
Clavadetscher added that at the last Polson Commission meeting he said he would not vote to implement the resort tax, assuming the citizens vote for it, until the city had an agreement with the KwaTaqNuk that the hotel would collect the tax and give the proceeds, less administrative fees, to the city.
Judy Preston, who opposes Clavadetscher for a two-year term as a Ward 2 commissioner said, “I had mixed feelings about the resort tax but decided to vote against it. I think it would more accurately be described as a local sales tax than a resort tax.
"Polson is only a resort area for about three months each year. Therefore, the tax would be paid mostly by locals who buy luxuries. It would be nice to get more of the tourists money to help pay for the infrastructure they use. But I don’t think a resort tax is going to accomplish that goal. I also think it will be a big burden on the local businesses that will have to collect it and keep track of what is taxed and what is not taxed. I have been in retail and know how hard it is to make ends meet in a small town. Having to raise prices even three percent would upset come customers, mostly the locals who will be bearing the burden of the new tax. If we called it a local sales tax, I might vote for it.”
Incumbent Polson City Commissioner Michael Lies is vying for a four-year term as Ward 2 Commissioner against Murat Kalinyaprak.
Lies said, “This is a difficult question to answer. As far as taxes go, I do not like to pay them any more than anyone else. It (the resort tax) would be great for the City of Polson as it would create extra revenue that we could put into a fund for the construction of new streets, which we really need. Being it is a very selective tax, I do not object to it and if passed would support it. It is up to the residents of Polson to determine if we are going to be able to enact this tax in Polson. One advantage of this kind of tax is that everyone who uses the streets or whatever this tax is used for will be paying their fair share. It will not be only the residents of Polson who have to bear the expense of costly repair or construction of any of the items that this tax goes for. Sorry for rambling but if passed it sure would help with the finances of the city. I hope the citizens of Polson give it a lot of thought before they vote.”
Kalinyaprak said, “I became opposed to it (the resort tax) when I discovered that Polson doesn't qualify as a resort community.
"It can be good or bad based on who pays and who benefits. There are restrictions on which communities can implement it, to keep it from becoming substituted for a sales tax. In Polson, it would be a semi-general sales tax, disproportionately burdening the locals.
"Rich or poor, living within city limits or a block away, every local citizen who buys a coffee will pay three cents resort tax.
"Part of the money for street improvements and property tax relief will actually come out of local tax payers' pockets but will not necessarily benefit them.
"After beautifying downtown business district, there won't be any funds left for side streets.
"The biggest chunk of property tax relief will go to a few big property owners and corporations. While the top one percent will receive 14 percent of it, modest homeowners will save only a few dollars and worse yet, 46 percent of locals who are renters will not even get a penny.
"For businesses that sell small items all day long, collecting taxes and documenting exempt customers will be a huge burden, but they will be paid only $1.50 per $1,000 of sales as administrative compensation.
"Tribal members and businesses will be exempt from paying and collecting resort taxes, but they won't be exempt from receiving property tax relief.
"This will drive yet another wedge between the peoples of the community.
"Part of the revenue will be thrown at a whole new bureaucracy to enforce rules, audit books, catch cheaters, create committees to spend the money, etc.
"Considering how much unfairness and complication it will bring to our lives in return for how little net benefit, I can't decide whether to question the motives or the sanity of our elected officials who obstinately pursued proposing this tax,” Kalinyaprak said.
Incumbent Fred Funke and Ken Siler are both candidates for Ward 3 Commissioner.
Siler said, “My stance has been that … I would support whatever the voters go for.”
“… when it (the resort tax) was first proposed, local people would be exempt so it would be a true tourist tax — I was all for that,” Siler said.
“Now it appears too much like a sales tax; it was proposed to be a tourist tax.”
Siler said modifying the resort tax so it was collected during the summer might work.
“We need something to pay for our infrastructure,” Siler added. “In its present form, I don’t think it’s a good idea.” |