City Urges Voters Approve Measure H
The city hopes voters approve a 1 percent sales tax at the ballot next week. Cathedral City would make $2 million to $3 million to fill its budget gap and maintain police and fire services.
Tee Ahmed has owned his store off Palm Canyon for about eight years.
He’s still mad at the city for passing a utility tax only two years ago.
“We have given enough tax. No is no. No, hell no. No more taxes. We’ve got to settle whatever money we have. We’re got to manage the money we have,” said Ahmed.
Ahmed says the tax won’t affect his store too much. But says it will scare off new businesses and customers looking to buy big-ticket items.
“Like furniture store, like tile store and other bigger stores that sell big items. So they’re taxed the same item they can buy from the next door city,” said Ahmed.
The tax won’t affect car dealerships, a major source of the city’s income. Car buyers are taxed at the rate where their car is registered.
“Sales tax can be an easy button if they want to push that, but I think there’s cause for concern because we can’t predict the future on that end. We don’t know if it’s gonna hurt some of the local businesses,” said Mark Murray, general manager of Toyota of the Desert.
Cathedral City isn’t the only valley city in danger of losing police and firefighters. Coachella and Desert Hot Springs both have measures on the ballots aimed at maintaining public safety.
Cathedral City already cut firefighters, and police officers could be the next to go.
The city says it understands businesses’ concerns but public safety is No. 1.
“We can’t sweep the streets or if because of our needing to reduce some of our public safety features you don’t have the kind of crime protection that you have for the community and for businesses,” said Allen Howe, Cathedral City communications officer.
If approved, the tax will add a penny to every dollar spent in Cathedral City.
And, the city hopes voters will be penny wise and not pound foolish on Election Day.