Tucson Business Community Comes Out In Opposition To Sales Tax Increase

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Tucson’s business community has come out in opposition to a proposed sales tax.

On Tuesday, the Tucson Metro Chamber Board of Directors voted to oppose Proposition 414, the city of Tucson’s “Safe and Vibrant City” half-cent sales tax ballot referendum slated for a special election on March 11.

“Tucson absolutely needs to address public safety, homelessness, housing affordability, and other critical community investments. However, we believe there is a more effective way to do so—one that does not increase everyday costs for families and businesses or weaken our region’s economic competitiveness,” said Tucson Metro Chamber president and CEO Michael Guymon.

Prop 414 would raise the city’s sales tax rate from 8.7% to 9.2% for 10 years, one of the highest tax rates of any major Arizona city or town, higher than the state average of 8.12%, and higher than the immediate surrounding unincorporated Pima County, currently at 6.1%. Prop 414 would seek to raise funding for varied priorities including public safety, workforce development, housing, neighborhood investment, urban forestry, arts, culture investments, and more.

“The Chamber has been, and will continue to be, a ready partner for the city in working on big issues, especially those that increase funding for public safety,” Guymon said. “Since 2017, we and our members have advocated for, funded, and supported numerous city initiatives, such as Prop 101 to fund police, fire, and roads; Prop 407 to fund parks and connections; and Prop 413 to increase the long-outdated salary for the mayor and councilmembers. But Prop 414 lacks that focused approach, and we question its proposed impact on city services as well as the impact of higher taxes on residents and businesses.”

Tucson Metro Chamber’s staff, Public Policy Council, and Board expressed these additional concerns after meeting with city council members and staff:

• Businesses operating in the City of Tucson will be at a competitive disadvantage against their other counterparts in unincorporated Pima County and the other jurisdictions that have a lower sales tax rate.

• Similar communities facing declines in state-shared revenues are seeking means other than
initiating a new sales tax, such as auditing their budgets and departments for inefficiencies and delaying nonessential projects for a later year, all without decreasing service levels.

• The city created programs with one-time allocations from the American Rescue Plan Act of
2021 and the city’s general fund over the past four years, and it may not be responsible to ask taxpayers to continue funding them through Prop 414.

• Unlike prior packages, Prop 414 was largely developed internally, between city council and
staff, and not collaboratively with a diverse group of community stakeholders prior to
placement on the ballot.

• Unlike past propositions that focused on one or two key issues, Prop 414 is a scatter-shot
approach, with varying amounts of investment scattered across a variety of priorities. An
unfocused approach is less likely to put the right amount of funding in the right places to deliver the desired result.

“One thing is certain for us – we continue to be a staunch supporter of our public safety professionals,” Guymon said. “We know more resources are needed to tackle the big challenges our city faces, like public safety and housing affordability, but without the willingness to uncover cuts or other revenue streams, we cannot support this proposition in its current form.”

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10 Comments

  1. 100% NO on this tax increase. Our idiot mayor and city council opt for free busses,open drugs use at bus stops, bad roads, a raise for themselves and city council,meanwhile over 1000 street lights are out due to copper theft that goes unchecked, ignoring panhandlers in the medians in violation of state law,(ARS 13:1502-1504), homeless encampments, and an ever decreasing quality of life for hard working Tucsonans. Meanwhile, the mayor has the stones to claim the state of the city is great. Unbelievable.

  2. The same ole ridiculous crap in the Dem run city! As previously mentioned, there is NO way this is a tax for 10-years UNLESS there is a sunset clause written into it. Can’t say there isn’t but I highly doubt it. Even if there was, it would just come up to a vote in an off-year election with a probable turnout of 5-10% of the electorate!

    BTW…Grijalva is toast so may he rest in peace.

  3. The tax is good for 10 years? BWAHAHAHAHAHA… NO tax is only good for 10 years. And by the way, it’s not only business owners against the tax… how about the poor consumers who have to pay it. My dad once told me that if you have a dime and you want to keep it, you don’t vote for a democrat. Everytime these morons push a tax increase the alleged targets of the increase (like roads) only continue to deteriorate further.

  4. remember with biden inflation now 30% higher prices
    means sales tax is also 30% higher
    Tucson chomping at sales tax bit

  5. That idiot Romero is going to run around yelling “Doug Ducey signed the tax bill that cost Tucson $21million in state shared revenue.” What she will not tell you is that the $21million is a scant 1% of the current Tucson city budget of $2.4 BILLION! Now, she wants $80 million a year more to replace the $21million. What a complete idiot.

    Do city voters really think people like Cunningham, Santa Cruz and Dahl are worth $96,000/year plus benefits to run a $2.4 billion budget?

    • Apparently they do because they keep voting the same ass__es into office. I’ve said it before…until you get rid of Ward only elections NOTHING will change in the liberal bastion and armpit of AZ!!

  6. Wow, when you vote in authoritarian, economically illiterate, woke, kakistocrats they make goods and services less available or affordable and they charge you to cover up (not fix, mind you) the obvious outcomes of their ineptitudes. Shocking.

    I’m not saying the good people of Tucson deserve this, I’m just saying it’s the logical outcome of their voting patterns and that they have the power to change it, if they want to.

  7. Grijalva is on his way off the planet – may he come to know Jesus

    NO TAX INCREASE!

    However I have a business ‘in PIMA COUNTY’ … make my day

  8. Typical liberal reaction to their failed policies for the “Dirty T.” Lets just throw more money at it and say look we are trying. The only trouble is that the citizens are paying for the mistakes of the Grijalva led cabal running the city and county. But then they keep voting the the same idiots and wonder why nothing ever changes….SSDD in the armpit.

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