The Crested Butte News Serving the Gunnison Valley since 1999
Sales tax coming back slowly
Some good news on the financial front came to the Crested Butte Town Council this week. September sales tax looks to be flat, and may even be a little higher compared to the same month last year. While the bar and restaurant category showed virtually no increase, the construction segment had a 21 percent decrease. But retail sales had a 12 percent spike.
“We are still waiting on a few vendors to submit their paperwork, so we could actually see a slight increase,” Crested Butte finance director Lois Rozman told the council at the Monday, November 1 meeting. “The good news is that now, we are only down .9 percent year-to-date in sales tax.”
The idea of a flat sales tax report did nothing to have the council readjust the upcoming budget. They set for a November 15 public hearing a series of resolutions and ordinances that would adopt the 2011 budget. The 2011 budget will come in very similar to the 2010 budget.
The council is ready to set the mil levies in town, increase water and sewer rates and fees, and allocate so-called “service grants” to local groups. There will be a few capital projects next year but they are dependent on obtaining grants.
The council did wrangle with some of the service grants and no group received the total amount it requested. They did not allocate requested money for the Paradise Place pre-school day care given that it is run by the Union Congregation Church and the council felt uncomfortable donating to a religious organization. No money was contributed to the Crested Butte South Property Owner’s Association, which requested $10,000 to help with winter bus service into the subdivision.
There was some discussion about whether or not to fund public gardens. Two local groups are gearing up to plant public garden projects, with the food being given away or donated to the school. The council agreed to donate $3,500 toward the projects with specific benchmarks and restrictions on the money. They will also ask for an informational session in the spring before planting. “The time, energy and effort that was put into the project this summer was amazing and the food was all given away,” said councilperson Dan Escalante. “It’s impressive.”
Overall, the council had budgeted $37,950 in service grants for 2011. The town is also trying to wean local groups like the Nordic Center, the library and the Center for the Arts off of capital grants.
Former councilperson Skip Berkshire asked the council to understand the positive impact of funding the Butte Bucks program. The Crested Butte-Mt. Crested Butte Chamber of Commerce runs two annual Butte Bucks programs in which town-donated funds essentially pay local businesses to offer 20 percent discounts. “By funding Butte Bucks you are keeping that money right here,” Berkshire said. “This program works. It’s the difference that pushes me to buy something local. It’s a win-win deal. It’s a cool thing.”
The council budgeted $6,000 for the Butte Bucks program.
Berkshire also commented on discussions the council has had over a potential property tax increase to help fund parks and recreation. The council has expressed no enthusiasm for such a mil levy increase that could be put to the voters next November. The tax has been discussed as ear-marked specifically for town parks.
“Property taxes here are much lower than in most other places. When I first moved here I was pleased at how low my taxes were,” Berkshire said. “But you have to pay the piper for quality services. Sometimes, you as a council need to take a courageous leadership role. This could be one of those times and it would be a way to spread the pain of a small increase to help maintain a quality service.
“The reality is that services cost money,” Berkshire continued. “Don’t be afraid of a mil levy increase. When the school asked, the townspeople responded. When people recognize the need, they’ll suck it up. Think of your obligation to take the heat. As a citizen, I’m willing to pay, up to a point, what is necessary. People in this town support a well-run town and that’s what we have. So please don’t dismiss the idea yet.”
Citizens can comment on the proposed budget at the November 15 public hearing.
