Excise tax proposal to prosecutor for final draft Posted on Wednesday 10 August @ 10:34:16 Sequim Gazette
Nichols wrote a memo to the commissioners answering several of their questions about the ballot measure. His opinion said the revenue could be used for purchasing agricultural easements, but that no exemption could be made for low-income or first-time buyers of homes. Nichols said all decisions about the use of the money must be made by the commissioners, not a committee. He said a strictly advisory committee can look at property and make recommendations to the commissioners, but the final decision is theirs. Nash Huber, leader of the ad hoc citizens group backing the ballot measure, said about $2.6 million per year would be generated by the .5 percent excise tax. Opponents of the tax were not without a voice at the meeting. Sequim real estate leader Mike McAleer said a counterproposal from the business community is also headed for the November ballot. McAleer said the revenue generated by the tax would not be enough to purchase easements on as much acreage as hoped. The alternate plan would have all taxpayers contribute equally for the easements rather than those buying real estate. Huber said, "The county needs a program so it can get matching federal funds." "A program is better than no program," he said. Huber said he deferred to the commissioners' advice on the level of the tax, all three favoring the .5 percent level. "It is important to give agricultural families a future on their land," he said. McAleer said the tax would make it more difficult for first-time home buyers because they would need additional downpayment. He said the tax would be added to the 3 to 5 percent cash downpayment buyers need to qualify for a mortgage. "It could price them right out of the market," he said. The new excise tax was proposed in July by Clallam Citizens for Food Security, whose leaders collected about 4,000 signatures on petitions supporting the idea. |