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09-30-1982 Minutes bIINUT~S Septeu~er 30, 1952 Supervisors in Attendance: Mrs. Joan Girene, Vice Chairman Mr. C. L. Dookman Z~. ~arry G. Daniel ~. R. Garland Do~d ~kr. Richard L. Hedrick County Administrator Supervisors Absent: SLaff in Attendance: County Administrator Mr. ~teva ~{icas, County Attorney ~{r. ~ans Ramsay, Dir. of Budget & Accounting Mr. ~. ~4erlln 0~Neill, Sr., Chairman ~rs. Gircn~ celled the meeting to order in the absence of the Chairman, at the Courtho~se at 3:15 p.m. (EDST). Pkr. ~drlck stated the purpose of this meeting was for a work ~ta%e law raqulres the County to reduce it~ business license taxe~ b~low state ceilings f~r the four major cateqori~ or businesses prior to January 1, 1983. He stated a draft ordinance nas'been prepared which reduces the only category in the County ~bove the state ma~imum to the stat~ c~iling (professional service~ businesses from $.60 to $,$8 per $100~ while retaining [he existing ta~ rate for the other categories o~ businesses ate=ed the proposed Ordinance also race--ends a nu~er of other changes which are not required by state law but would more fairly apply the ~ax burden among ali busin~gne~ performing similar services. ~e stated ~hcme which wonld be most ~ignificant woul~ be the taxing of real estate agents and the taxing of cable television businesses. Ke stated that tbs effec~ of the proposed ordinance would be to: 1. Bring the County into immediate compliance with State law; 2. Provide a more uniform and equitable business license ~ax system~ ~aintaia Ches:erfield~$ competitive position as the locality with the to.est tax rat~s ~n the ar~a; and Mr. Ramsay stated th~ ~ffect on the revenue by tran~£erring real estate brokers to the professional service cs%egO~y from peruonal services would result in $35,00~ additional revenue; =he elimination of th~ entry f~es would result in a loss of $90,000~ and the axceDtion of the first $50,000 of gross receipts for retail merchants would generak~ aD additional $64,000. He stated these changes would result in the County rec~ivlng approximately $~,000 in addition~I revenue. ~r. Ramsay reviewed individually Mrs. Girone eta=ed she d{~ not feel it ~a~ fair to tax a man because he doa~ mo~e or less business, She state~ she felt i% would be mere equitable ~o charge a flat rate with no ~n~ry f~e. She inquired what was involve~ with a business license. Mr. Carmichael stated the amount of work varied, as ~ometim~s his department has to audit th~ books of a business. Xr. }Iedrick ~=a=ed staff had attempted to keaD the rate as clo~ to what stated the motive behind the proposed change was ~e~ause of state could be obtained On the costs. Mr. Carmichaal stated it ceuld~ again later ~'ouId not b~ a good idea. ~ stated ~he proposed !chanqe would comply with State law. Mr. Dodd inquired if this $50,000 which was exempted and all ether categories will be taxed would ~aI% under. Mr. Daniel stated that in the past the Beard ~he Board or do it in heuge ~nd he f~lt this should again be previoumly :o include businesses which were nut specifically mentioned. proposed to be effec=ive January I, 1983. Mr. Bookman sta~e~ %ax brokers which he did not feel was fair. There was some jurisdictions are not ~axed. It Wac indicated by the Board, the: Mrs. Girone inquired if this were approved, when would the taxes days and then they would not be paid until May 31~t. The Board generally agreed with the proposal by mtaff with the to be under brokers~ that brokers would be charged the $.58 as would have higher taxes and professionals would have reduced 82-402 sent regarding machinery ~nd tomls tax and the Beard would then decide if a work session were necessary. ~r. Carmich~l stated that or June 6, 19~2, the Board asked him to look into the County's assessment method, to get with industry, the State Department of Taxation, etc. ge statsd that he thought the methnd of assessment WaS ~ot equitable at that t~m~ but h~ has sinc~ learned a valuable Lesson. He stated that in 1975 ~ha procedure had the bl~zsin~ of the Board of Supervisors an~ the Tax Department which was a major breakthrough. He stated afte~ discussing this me,hod, that Mr. 1982 he met and reviewed with industry their asset 1Lsting. ~ajor industries pay 70% of the machinery and tools tax in the the end. lO,GO a.m. on Ooto~ar 1~, Mr. Dodd inquired i~ it were legal to put a severanne tax on nat~rat reso~rnes when prime land is obliterated. Mr. Micas indicated only on coal and gas. It was generally agree~ that the County Attorney investigate this matter t¢ determine what other jurisdictions are doing in controlling lard use decisions by utilities. ~r. Minas indicated that normally the State Co=poratioA Commission ha~ th~ final ~eci~ion in this matter. On motion of ~rs. Giron%, ueconded by ~r. Daniel, the Board adjeurned at 4:40 p.m. until 10:00 a.m. on Ontober 13, 1982. Ayes: Mrs. Girene~ Mr. Bookman, Mr, Daniel and Mr. DodO. ~sent: Mr. O'Neill. ~zck County Administrator ~ Mezlln O'neill, fir Chairman ~2-403