Wu: Politics is getting in the way of business
9:28 PM PDT, July 28, 2012
Ever since I wrote about Bob McCaffrey’s Stop the Dock Tax Political Action Committee, I have been pretty busy meeting with the different commercial docks owners (“Dock tax opponents form a strong PAC,” July 8).
While McCaffrey’s PAC deals primarily with the potential tax on residential docks, these commercial docks are under more imminent threat of getting taxed out of business, and only talked about taking the political route until now.
Enter the Coalition to Preserve Newport Harbor Political Action Committee, a PAC guided by a well-known and successful political consultant, representing the interests of the commercial marina owners.
For some reason these business owners don’t feel that a 20% tax on gross income is fair, with one owner saying, “I made 8% net profit, where in the world can I come up with 20% of gross [income] to pay a new tax?”
What is this new tax supposed to pay? Anything that relates to Newport Beach’s harbor, bay and beach gets paid out of the city’s tideland management budget, which gets its income from the different water-related fees.
The problem is that the city claims it has subsidized this budget by $15 million a year to cover its expenses.