12/12/1996 - Business Licenses-MinutesAd Hoc/Business License Committee
December 12, 1996
Minutes
The Committee met at the Fire Station 7:00 pm December 12, 1996.
Members present were Chairman Warren VanZee, Councilman Rick Wyatt,
Councilman Don Morrison, Accountant Dave Southard, Mall Owner
Connie Wright, and Home Business Sherrie McCarthy. Staff present.
was City Treasurer Kris Tompkins. Banker Scott Harvey was unable
to attend.
Draft copies of Ordinance No. 1665, the Mayor's November 1.5t.h
letter tasking the Committee, and a list of Committee members and
their phone numbers were provided.
Councilman VanZee stated that the Mayor and Council want a business
license and we need to create an ordinance that satisfactorily
addresses the business community's concerns. One of the major
concerns pertains to the fee for mini mall tenants. The existing
Council has no intention of implementing a B & 0 Tax.
Councilman Morrison gave the background of the necessity for a
business license starting with the Mayor's January 1992 memo. At
this point the City departments do not have a complete list of
businesses with current contact people. The fire inspections are
not a consistent source of information and there is a need to keep
the information updated annually. The Treasurer's office would
manage this program. Hopefully, as has been seen in other cities,
the sales tax revenue would increase with a better tracking
mechanism in place. In February of this year the Council had major
discussion on this topic and it was again brought forward in
November with the action taken on Ordinance 1665.
Treasurer Tompkins reviewed the ordinance history. There are many
program options from city to city. Should the registration apply
to only businesses located inside the City limits, all companies
doing business with City limits, or selective business? The base
ordinance was from Gig Harbor. Some things were removed, a lot of
others were added from other cities' ordinances.
Councilman VanZee conveyed conversations with Paula Baker from the
State Ombudsman's Office. There is a hope that a statewide program
will be established to standardize business license requirements
and that the State would be responsible for collection and
disbursement. It appears this plan is just in the formative
stages. We have not received the material that she was going to
send. She expressed interest in attending a committee meeting.
Mr. Southard is opposed to a business license. He feels we will be
creating a bureaucracy and this is to just make government bigger.
He thinks that City staff do not work together and the internal
communication needs improvement.
Ms. Wright is neutral. She shared the business community's
feelings of animosity and anger. She suggested that there be no
fee because the additional sales tax revenue could cover the
expenses.
Ms. McCarthy is opposed to the license. She wondered why we
haven't created a data base in the past four years that this has
been under discussion. She doesn't want to see any more burden on
businesses.
The need for continual update of information was discussed. Mr.
Southard feels that the Fire Dept should be maintaining the list
through their inspections. He wants proof that the City has
explored every avenue to use existing staff to deal with this. He
sees this program as an excuse to add City personnel.
Councilman Morrison suggested that the police, fire and. bldg.
inspector could carry post cards with information to hand out in
the field.
The $25 fee is not an issue for most businesses. The mini mall
tenants can not afford even a small amount. The idea of a master
registration paid by the mall owners was discussed. They would be
required to provide a list of the tenants with their Department of
Revenue numbers.
It was brought up that most cities have business licenses. It is
rare that a city doesn't have a licensing program in place.
Apparently some businesses have left or won't go into Bremerton
because of the B & 0 tax and bureaucracy.
The business members would like the council members to review the
reasons (or justify) the licensing process.
Scott Harvey will be given an opportunity to read the minutes and
make his comments.
The three councilmen need to review the minutes and share the
observations with the Mayor.
Councilman Morrison asked the business members to critique the
ordinance and make notes regarding it's content for future
discussion.
Meeting adjourned at 8:05 pm.