Monday, May 14, 2012

Citizens speak out against tax plan


Magistrates seated in background and facing a crowd of about 70
people, listen to comments during Monday's tax hearing at the
Marion Ed-Tech Center.
More than 70 people attended a public hearing Monday night at the Marion Ed-Tech Center regarding a proposed county occupational and net profits tax.

Crittenden County Fiscal Court is expected to cast its final vote Tuesday morning on the plan. It passed 6-1 on first reading last month.

About 20 people spoke out during the two-and-one-half-hour meeting. All except one was against the new tax. 
Of the people attending, about 50 were not affiliated with local government or the hospital, which stands to benefit from a tax through a subsidy for the ambulance service. 

Many of those there were small business owners. Marion's two largest manufacturers were also represented. Joe McDaniel, chairman of the board at Par 4 Plastics; Jeff Waldrop, Invensys plant manager; and Jason Brown, Invensys human resources director, each spoke against the tax. They said it would be bad for their companies and their employees. Each made overtures about taking their companies or any further expansion out of the county.

Several said the payroll and net profits tax is unfair to the working class and asked magistrates to come up with another plan to raise revenue.

Judge-Executive Perry Newcom says the county needs thousands of dollars to meet financial needs. A couple of residents, Curtis Evans and Terri Travis, asked specific questions about where the money will be spent. Judge Newcom said the tax hasn't been approved yet so the exact amount it will generate and where it will be spent is unknown.

The ambulance service is sure to get a portion, but even that number has been elusive. Officials have suggested somewhere around $100,000 to $150,000. However, hospital officials have said that will not be enough.

A one-percent payroll and net profits tax, as proposed, would generate nearly $500,000, according to county estimates. 
Local insurance agent Ricky Brown suggested dropping the rate from one percent to one-half of one percent. 

"A lot of what's been talked about tonight is accountability," Brown said at the meeting. "There seems to be a lot of distrust because no one can tell you specifically where the money is going."

Magistrates will convene at the courthouse at 8:30 a.m., Tuesday to consider final passage of the tax plan.