Claremont : 1st Approval for Utility Tax
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The City Council on Tuesday tentatively approved a 5.5% tax on all utilities for city residents, businesses and nonprofit organizations.
The tax would appear on electricity, gas, water, telephone and cable bills in May. The surcharge is expected to generate $2.75 million a year in revenue for the city. Of this, $1.5 million will plug a shortfall in the city’s operating budget. The rest will be used for maintenance projects, youth programs and a contingency fund.
During a lively three-hour public hearing, residents and business owners urged the council to bring the tax up for a citywide vote.
The council voted unanimously to adopt the tax and to review the levy each year. A second reading of the ordinance was called for March 3.
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