1 / 13

City of Glendale TEMPORARY SALES TAX INCREASE Public Education

City of Glendale TEMPORARY SALES TAX INCREASE Public Education . History. Growth since 1993 – new infrastructure 1 library 32 parks 1 recreation and aquatics center 5 fire stations 1 police precinct 1 adult center

jara
Download Presentation

City of Glendale TEMPORARY SALES TAX INCREASE Public Education

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. City of Glendale TEMPORARY SALES TAX INCREASE Public Education Know The Facts - Public Education 2012

  2. History Growth since 1993 – new infrastructure • 1 library • 32 parks • 1 recreation and aquatics center • 5 fire stations • 1 police precinct • 1 adult center • Miles of streets, sewer lines, water lines and other infrastructure was necessary Know The Facts - Public Education 2012

  3. What has Glendale reduced already to the General Fund? Since 2009: • 25% decrease to departmental budgets ($40.2 million) • 22% decrease to city workforce (307) • Saving approximately $5.5 million with 3 years of mandatory employee furloughs • Minimal service impact Know The Facts - Public Education 2012

  4. Current Economic Conditions • Lingering effects of the recession • Less revenue from all sources of city revenue - sales taxes, licenses, development services • Less revenue from state of Arizona (“state shared revenue”) • Planned private developments went into bankruptcy, housing market collapse, foreclosures, high unemployment Know The Facts - Public Education 2012

  5. General Fund Examples • Police & fire protection and city court • Libraries and pools • Books and the operation of the city’s libraries • Code compliance • Planning & economic development • Festivals • Paint to cover up graffiti • Operations of the city’s facilities and parks - mowing and irrigation Know The Facts - Public Education 2012

  6. Sales Tax History • Population 1993: 160,155 • Population 2012: 226,721 (41% increase) • Last time city increased general sales tax rate across most categories was 1993 • Voter approved tax increases for police, fire and transportation initiatives in 1994, 2001 and 2007 -- dedicated only to those services Know The Facts - Public Education 2012

  7. Total Sales Tax on Purchases Know The Facts - Public Education 2012

  8. How Much is the Difference?35¢ on a $50 item Previous Sales Tax Rate Temporary Sales Tax Rate 2.9% Item: $50 Temporary Rate: $1.45 Total: $51.45 2.2% Item: $50 Previous Rate: $1.10 Total: $51.10 • Temporary sales tax sunsets after 5 years • Began August 1, 2012 - automatically ends August 1, 2017 Know The Facts - Public Education 2012

  9. Background June 2012 Glendale City Council approved: Temporary increase to city sales tax Tiered system with single item purchases over $5,000 remaining at previous rate Know The Facts - Public Education 2012

  10. Is Glendale Alone? • During the economic downtown, 30 Arizona cities and towns have increased their sales tax including: • Phoenix, Mesa, Tempe, Peoria, Paradise Valley, Buckeye, Cave Creek, Goodyear, Litchfield Park, Queen Creek, Tolleson, Wickenburg, Youngtown, Sierra Vista, Flagstaff and more • The state of Arizona -Source: Model City Tax Code Know The Facts - Public Education 2012

  11. City Obligations • Required to provide core services: • Public safety, water, sewer & sanitation • 63% of city’s general fund is for public safety • Legally required to balance the budget • Legally required to pay debt services • Must operate and maintain city-owned Arena: • With or without a tenant • Costs to operate & maintain facility • Sales tax increase needed with or without city obligations to Jobing.com Arena Know The Facts - Public Education 2012

  12. What could be eliminated if there’s no temporary sales tax?(As of 9/24/12) • $20 million in proposed cuts: • Closure of 2 libraries and a pool • Reduction in response to park maintenance • Slower code compliance response • Police officers, jail staff, CAT teams, crime prevention programs • Firefighters, fire investigators/inspectors, Crisis Response program • Eliminate all festivals: Glendale Glitters, Glitter & Glow, Chocolate Affaire, Jazz & Blues, Summer Band, downtown holiday lights • Substantial reduction in services and programs Know The Facts - Public Education 2012

  13. More City Financial Info? • The city’s website: www.glendaleaz.com • Budget information: www.glendaleaz.com/budget • Financial reports: www.glendaleaz.com/finance • “Follow Your Money:” www.glendaleaz.com/FollowYourMoney • Know the Facts: www.glendaleaz.com/knowthefacts Know The Facts - Public Education 2012

More Related