447% TAX HIKE ON SMALL BUSINESS LEVIED BY NEWPORT BEACH CITY COUNCIL
On a 4-3 vote at last night’s Newport Beach city council meeting, an 18.5% of gross tax was levied on our Harbor’s commercial marina operators. It was a disappointing display of big-government grabbing as much money as possible because “they can.” There is no nexus to future projects the tax might fund – they just voted to tax because they claim “state law” requires it.
Voted for the small business tax:
- Councilman Mike Henn – led the charge for the tax.
- Councilman Ed Selich
- Councilman Steve Rosansky
- Councilman Rush Hill – supported the tax but successfully delayed implementation for 2 years.
Councilman Rush Hill provided the critical fourth vote after criticizing me for asking his constituents to offer their opinion through our on-line petition. I would like to thank each of the 320 people that took the time to fill out the on-line petition. I guess Councilman Hill doesn’t like hearing from his constituents.
Voted against the small business tax:
- Mayor Nancy Gardner
- Mayor Pro-Tem Keith Curry
- Councilwoman Leslie Daigle
Councilman Henn feels these tax increases won’t hurt the Harbor small businesses or the local economy. He has never operated a marine serving business, so I don’t know how is able to draw this conclusion. The council majority also announced their intent to levy additional tidelands taxes on every business in the Harbor. Over the next two weeks a public study session will be held to debate tax increases on these Harbor businesses:
|Ship Yards||50 cents per square foot|
|Fuel Docks||2.5 cents on >200,000 gallons|
|Yacht Clubs||18.5% of gross or $1.45/sq. ft.|
|Daily Rentals (Duffy’s/Paddleboards)||$1.02/square foot|
|Homeowner’s Associations||$1.02/square foot|
|Harbor Restaurants||$1.02/square foot|
|Restaurants With Slip Rentals||$1.02/square foot|
|Sport Fishing Charters||$1.02/square foot|
|Small Commercial Marinas (<3,000 sq. ft.)||75% of large marina or $1.45/sq. ft.|
If you know anyone involved with a business in the Harbor, please alert them to the upcoming money grab and have them sign up at www.stopthedocktax.com for regular updates. I am very disappointed in our city council majority. Newport Beach is swimming in money. Newport Beach has a $263 million general fund budget, $100 million in budget reserve, and is about to cut the ribbon on a $150 million city hall – the most expensive in Orange County’s history.
Newport Beach is a great community. I believe our leaders have lost their way and we need to convince them that more taxes are not necessary. Our local businesses are hurting, now is not the time to raise taxes on them.
The Orange County Register lays out the sad story HERE.
Stop The Dock Tax
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