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Tough Night in Anaheim: Council Approves New Tax

Posted by: | 04/23/2008 11:34 AM

As if the taxpayer subsidy for expensive hotels in the resort district wasn't enough, the Orange County Register reports that a new special infrastructure tax in the Platinum Triangle was approved at last night's meeting of the Anaheim City Council as well. Judging from the comments attributed to them in the paper, the measure appears to have passed with support from both Sidhu and Pringle. A majority of property owners in the Triangle will have to approve the measure.
Since this tax would pay for infrastructure that would otherwise be the responsibility of the developers who currently own most of the land in the area, the vote will likely be just a formality. Such special tax districts are a common way to pay for local infrastructure but are typically reserved for new development and not imposed on existing businesses and property owners. Imposing this tax on existing businesses may help clear out the Triangle for intended new devlopment, but seems like an abuse. One small business owner in the Triangle reports her annual tax bill will increase by $5,671.

It's beginning to look like OC's "Freedom City" is losing its way. Business owners presently in the Triangle who will be subject to the tax do not appear to own enough land to defeat this business-killer. What a shame.

Comments

redperegrine said:

"Imposing this tax on existing businesses may help clear out the Triangle for intended new devlopment, but seems like an abuse."

There are still numerous businesses operating north of the 5 and west of State College. It is an abuse.

Anonymous said:

I went to the Anaheim website link that was in the earlier post on this and watched. Sidhu wanted a continuance to get more info on this thing. Then the other 3 Republicans, Pringle, Hernandez and Kring push it to a vote. What was their rush on this? So Sidhu abstained wanting more info and a continuance.

Freedom City Shines said:

Freedom City losing its way? Naah..

Business, not government has expanded at a record rate in Anaheim for years now under Pringle.

When Curt became Mayor there still was competition between Santa Ana and Anaheim for status. Curt's tenure has ended even the semblance of a debate through one swift manuever: getting government out of the way.

18,000 + residential entitlements -- freedom did that. In a city that previous councils and staffs would proudly say was built out, the City under Pringle proved could grow and prosper by 15%.

At the end of the day, water systems, sewer systems, and infrastructure like gasp, roads, need to be built. What to do?

Apparently, this blog would have every existing taxpayer subsidize the public improvements that will immediately benefit a few wealthy (and a few unwealthy land owners scrapping by with land that now happens to be worth $8 million an acre) and future citizens. Wow, you guys are right, Galloway is really the conservative because she wants everybody's taxes to be used to benefit the few.

Or, you do what a true conservative would do. Define a jursidiction upon which the responsibility of paying for improvements fall. So the Trianlge pays its own way. And West Anaheim, the Hills, and Downtown don't take a hit so that Lennar gets free roads and sewers.

Is it ugly, yes. Does it use tools that are very similar to the tools used by Brea to disenfranchise and bankrupt property owners -- yes. But the government is not accumulating property to fulfill some bureaucratic plan in Anaheim. Anaheim is using its authority solely to build out the infrastructure necessary to complete the private investment of billions.

Freedom Shines in Anaheim

redperegrine said:

FSA, nice angle; but the principal point of this thread was the fundamental unfairness for small businesses who get caught up in the scheme to pay for the master plan. Lennar shouldn't get free infrastructure - it can pay its way - and probably does.

Jubal raised an excellent point - a possible subtle strategy to push small timers out of the Triangle (at least I think he did - correct me if I'm wrong). If that's true a real abuse is taking place.

And the idea of Anaheim using tools employed by Brea ought to give anybody cause to reflect.

redperegrine said:

Faux, thanks for the gobbledygook. I think I've deciphered the gist of your comment: an increase in property values (even unrealized) justifies a new tax.

You must work in City Hall.

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