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Residents speak against higher taxes; council to review franchise ordinance

By JIM BROOKS
Nelson County Gazette / WBRT Radio

Wednesday, Aug. 26, 2015 — Although the Bardstown City Council decided Tuesday night to table discussion on raising the occupational tax, it didn’t stop residents from inside and outside the city limits from speaking their minds.

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Louisville Road resident Mary Anne Brown speaks Tuesday night in opposition to an increase in the city’s occupational tax.

Prior to opening the floor for individual comments, Mayor John Royalty reminded those who wished to speak “there will be no attacks on the administration, the council, or myself,” he said. “Say what you have to say and we’ll move on.”

Louisville Road resident Mary Anne Brown said taxing the people who work in the city but don’t live there amounts to taxation without representation.

“It may be legal, but that doesn’t make it right,” she said. “People who are taxed should have the opportunity to vote on the representatives who tax them.”

Since the tax increase is based on the need to pay for the expense of moving to a fulltime fire department that will only fight fires in the city, Brown suggested the needed revenue come from city property taxes.

Bardstown resident Pen Bogert spoke in favor of funding the 24/7 fire department with higher taxes.

Bogert said when he moved to Bardstown from Louisville, he learned that his homeowner’s insurance was higher than in Louisville because of the lack of a 24/7 fire department. Bogert said he’s willing to pay whatever taxes necessary to improve the fire department.

The improved fire department should result in a better fire protection rating, which should result in lower homeowner’s premiums. He did not support creating new taxes to fund the city’s services.

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Rosita Essex told the council that raising the occupational tax would be a burden to families struggling to get by.

Stoner Road resident Rosita Essex said it wasn’t fair to county residents to raise the occupational tax for services that won’t benefit those residents. Some families are struggling to make ends meet, she said.

“You’re talking maybe $3 or $4 dollars a week, but you could be talking the difference between buying their kids a gallon of milk,” she said.

County resident Rick Brumley asked the council about its 2011 occupational tax changes which lowered the income level where the tax was collected from $15,000 to $1.

“Does it bother you that taxing the working poor — its $15,000 a year that they’re making — does that bother you?”

City Clerk Barbie Bryant told Bryant that Brumley there would be no response to his question.

“What we’re doing here is recognizing that you have the right to speak what’s on your mind,” Mayor John Royalty told Brumley.

UTILITY FRANCHISE ORDINANCE. When discussing options for raising tax revenue recently, one of those options available to the city was creating a utility franchise tax charged to those city residents who use non-city utilities. It turns out that such an ordinance already exists.

The mayor presented the council with copies of city ordinance 464, which was created in 1991 to create an electric utility franchise within the city limits.

Larry Hamilton, public works director, said the council approved the 1991 ordinance as it was working with other utilities as it tried to expand its  electric utility into newly annexed areas served by another electric utility.

The city went to court to expand its utility and acquire the electric utility customers from other existing utilities; however, the courts ultimately ruled against the city. The franchise ordinance was approved but never acted upon, Hamilton said.

“Its on the books, so if you wish to pass the tax as a percentage, then all utility companies would pay it,” he said.

Councilman Francis Lydian suggested tabling the matter because the council needs to spend more time discussing it.

“This is something we don’t have to vote on to pass,” Royalty said. “This is just for discussion, we’re not voting on it.”

The council would only need to take action to set a utility tax rate, he said.

Royalty said he would like to see the city’s Finance and Electric committees to take a look at the ordinance.

HISTORIC REVIEW BOARD. The council approved several certificates of appropriateness for exterior changes in the city’s historic district, including:

COA-14-65 (AMENDED). Michael Brooks, applicant/owner, proposes to change the front and rear door color at 201 East Stephen Foster Avenue. The approved color is “Cottage Red.”

COA-15-39. Joe Buckman, applicant, and Suzanne Hayden, owner, propose to add a hand rail at 213 North 4th Street.

COA-15-40. BCD, Inc., applicant, and Bethlehem High School, owner, proposes to install a fence and replace sign at 309 West Stephen Foster Avenue.

COA-15-41. Vance and Cheryl Marquis, applicant/owner, propose exterior alterations at 415 North 3rd Street which include painting of the garage, addition, trim, and front door, as well as the installation of a poured patio

COA-15-42. JTD Holdings, applicant/owner, proposal to complete exterior approvals for the Strawberry Row Housing at 206-208 East Broadway Avenue.

In other business, the council:

— approved a proclamation honoring First Baptist Church Deacon John Russell Grundy, who has served in the capacity as deacon for 50 years. The proclamation states that Sunday, Sept. 6, 2015, will be observed in Bardstown as Deacon John Russell Grundy Day.

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