HomeMy WebLinkAbout2003-06-05 ACE MINUTES•
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ALLIANCE FOR COMMERCE IN ENGLEWOOD
June 5, 2003
I. CALL TO ORDER
The Alliance for Commerce in Englewood meeting was called to order at 11 :35 a.m. in the
City Council Conference Room of Englewood Civic Center, Chair Panetta presiding.
Members Present:
Members Absent:
Alternate Present:
Liaisons Present:
Staff:
Guests:
II. APPROVAL OF MINUTES
Ms . Ashenfelter moved;
Ms . Guinther seconded :
Ashenfelter, Guinther, Panetta, Rees, Schalk
Van Der Zwaag
Position Vacant
Ackerly, Yurchick
Robert Simpson, Director of Community Development
Darren Hollingsworth, Business Development Specialist
Mike Flaherty, Assistant City Manager
Lauri Dannemiller, Senior Manager
Olga Wolosyn
Ron Gold
THAT THE MINUTES OF APRIL 10, 200 3 BE APPROVED .
Motion carried.
Ill. OCCUPATIONAL PRIVILEGE TAX
Mike Flaherty, Assistant City Manager, distributed information regarding the 2002-2004 City
budget showing a decline in sales tax revenue. Mr. Flaherty stated he is also the Chair of
the internal Budget Review Committee. The committee has been meeting since January to :
• Find ways to reduce costs in the 2003 budget. Thus far, the 2003 budget has been
reduced $2 million;
• Look at the financial situation of the City overall ; and
• Look at ways to increase revenue for 2004 and beyond .
Meetings with internal staff and City Council has lead to a recommendation to implement
an Occupational Privilege Tax (OPT), also known as a head tax.
Mr. Flaherty distributed information showing the projected 2004 budget with a head tax
included and a projected 2004 budget without the head tax included. Mr. Flaherty
explained that even with a head tax the 2004 budget has approximately a $1.6 million •
deficit. The deficit without a head tax is approximately $3.8 million .
The city receives 66% of its revenue from sales tax. The downward trend seen in the last
few years is expected to continue. Discussion ensued regarding decreased revenues, costs
reductions , City service levels, raising property taxes, and implementing a tax on services.
Mr. Flaherty stated if the OPT is implemented the employee would pay $5.00 and the
employer would pay $5.00 per employee. The Cities of Denver, Aurora, and Greenwood
Village also have a head tax. The issue will be on the November ballot and the City is
conducting two public meetings to gather input. The meetings are scheduled for June 25
and July 16 . Mr. Flaherty stated all businesses would be required to register with the City,
but a registration fee would not be charged . The committee and City Council are also
looking at various options regarding smaller businesses with limited annual income, a
"grace period ", etc.
Chair Panetta asked when all the budget information would be available to interested
parties to know what reductions are planned with or without the head tax . Mr. Flaherty
stated the 2004 budget process will start in July and will be presented to City Council in
September.
Mr. Rees stated he would like to see a 5-year limit on the OPT. Mr. Flaherty stated that is
the type of input the committee and City Council is wanting. Sheridan is also considering a •
similar ballot issue. No one likes new taxes. Mr. Flaherty asked the members to consider
the impacts of not having the tax before openly opposing the tax.
Chair Panetta questioned whether or not the OPT would deter businesses from moving to
Englewood and whether or not existing businesses would leave. Mr. Flaherty stated he
would provide updated information as it became available.
Mr. Gold stated there are a number of businesses on South Broadway who don't pay any
taxes . Chair Panetta stated that Mr. Simpson has discussed ways of revitalizing
underutilized properties on Broadway. Mr. Simpson stated the South Bro adway Plan would
be brought to City Council by the first of August.
IV. SOUTH PLATTE RIVER OPEN SPACE PLAN
Ms. Dannemiller reviewed the South Platte River Open Space Plan and its 13-month
planning process. She provided the members with the Plan on a CD . Discussion ensued .
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V. CHAMBER OF COMMERCE GALA 2004
Mr. Hollingsworth stated that in light of budget concerns, the City would like to forego the
annual Business Appreciation Breakfast and partner with the Chamber for its Gala 2004.
Mr. Simpson stated the City's event was redundant, and the Chamber's event was a huge
success . The City would like to combine efforts. Ms. Ackerly stated the Chamber would be
thrilled to have the City partner with the Chamber. The members agreed that it was a good
idea.
VI. 108 POSTINGS
Mr. Hollingsworth stated the City's website now provides a link to Arapahoe Douglas
Works. Channel 8 and the Chamber are also promoting the organization which helps
Englewood businesses find employees as well as Englewood residents that need
employ ment. Mr. Yurchick stated he was pleased and thinks it is a positive step . Chair
Panetta suggested running an article for the next few months in the Business Matters on
Arapahoe Douglas Works so businesses become familiar w ith the organization .
VII. VACANCIES
Chair Panetta stated the Commission has three vacancies. City Council has received 5 or 6
applications for ACE and will be conducting interviews on June 9. Mr. Simpson stated
there are a lot of vacancies on a number of boards/commissions .
Chair Panetta stated the Commission will elect a Vice Chair at the next meeting.
VIII. COMMENTS & EVENTS
Ms. Ackerly stated the Governmental Affairs Committee meets June 11 at noon regarding
the head tax .
Mr. Simpson stated the City is looking at a permits tracking system which will provide a
higher level of efficiency and accountability. It may also have the ability to provide online
services.
Chair Panetta asked if the City is considering hiring outside consultants to review the City
budget for the purpose of making cuts or is the City looking at its own budget. Mr.
Simpson stated the budget is reviewed by outside auditors, but currently there is no plan
for consultants to review and make recommendations for budget cuts.
Ms. Guinther asked whether or not the Commission had a position on the OPT. Chair
Panetta suggested the Commission review the information provided and be prepared to
discuss it at the July meeting.
Mr. Hollingsworth distributed the Prospect and Activity Report and provided information
on the prospective New Balance shoe store at 3139 South Broadway.
Chair Panetta asked that the South Broadwa y Plan be added to the July agenda.
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Mr. Hollingsworth provided the members with an update on Jan Johnson. Mr. Simpson
stated Ms. Johnson is hoping to return in July or August.
IX. ADIOURNMENT
There being no further business, the meeting adjourned at 1 :05 p.m.
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