CHAMBER MEMBER SURVEY

February 2006

 

1. Volusia’s sales tax is currently 6.5 percent. A new half-cent sales tax would generate $27 million

more annually vs the status quo gas tax. Staff says extra money is needed because increasing

land acquisition costs is outpacing gas tax revenue. Sales tax revenue is more flexible i.e.

gas tax revenue can only be used for building new roads or resurfacing existing ones while

sales tax revenue could be used for roads, sidewalks, commuter-rail, etc. However, sales tax

costs low-income individuals a greater proportion of their income for everyday needs.

Volusia’s total gas tax is 12 cents per gallon (one of the highest in Florida).

 

Should the County reduce its gas tax from 12 to 7 cents and replace it with a half-cent sales tax?

 

54.9 percent  -  Yes, INCREASE sales tax by a half-cent and DECREASE gas tax by 5 cents.

 

45.6 percent  -   No, keep the same sales tax rate and gas tax rate.

 

Comments-

 

  • In a short period of time they would just ramp the gas tax back up & we end up paying both.
  • I don't think it would decrease gas prices, however, if county moved to raise the gas tax again, then the sales taxes must be reduced back to 6.5%
  • The gas tax hits tourists more than the sales tax would.                 (5 similar answers)
  • It's not fair to put this burden on the elderly and poor people.
  • Don't trust county government to do what they say they are going to do. 

(3 similar answers)

  • Lower the gas tax also and tell the city to quit wasting money on petty projects
  • It is important that the additional sales tax revenue generated is actually utilized for roadway improvements and not funneled to other non-capital expenses.
  • (Gas) taxes are high enough. Let the transients pay for the increased taxes, if monies are needed.
  • Construction and maintenance of the roads and bridges should be funded, as much as possible, by those who use them. A special assessment should be made for heavy trucking companies who over use the roads.
  • This solution will give some relief to the locals who are low-income and shift some of the tax burden to the tourists. It is important, however, that the resultant increased revenue NOT be spent on high salaries and expanded staff and payroll. An increase in sales tax, in order to gain public acceptance via referendum, would have to include specific constraints regarding how to expend the new revenues. I would want to see budget scenarios regarding the amount by which to lower the gas tax. Why to 7 cents? Why not 5 cents or some other number? We would need more information regarding that reduction to make an informed ballot choice.
  • Our current real estate market has drastically increase prices for land, thus making it more difficult to acquire land for new roads. New roads mean economic development.
  • Many counties are at 7% already, at least.
  • I would be interested to see what percentage of non-residents pay for sales vs. gas tax.  (4 similar answers)
  • I am not sure how this equates to overall cost per year but seeing lower gas prices is great for our overall attitude.
  • What about sales tax on big ticket items? I don’t want to pay an extra half-cent on a car.
  • New roads are needed to relieve traffic congestion.                  (3 similar answers)
  • As long as it is earmarked for roads and does not go into the General fund.
  • Many people forget that sales tax is collected on lease payments.
  • The sales tax will also catch the tourist money. The money that they spend shopping in the community.
  • I oppose any measure which raises the sales tax. Customers will pay more in tax which can deflate sales and they'll be required to pay the extra rent tax which increases their occupancy costs and reduces their profit margin. It may also deflate rents because of the tenants increase occupancy costs which in turn reduces value of the property.
  • No, because tourists coming here now pay 6.5% sales and 6.00% bed tax thus 12.5% - one of the highest in the state.                                               (4 similar answers)
  • While the local option sales tax does not apply to purchase amounts over $5,000, but IT DOES apply to commercial leases over $5,000. The implications are complicated.
  • Yes, if it truly generates additional funds and is able to be used for a broader base of potential infrastructure in additional to what the gas tax is allowed to be used for. A half cent sales tax increase seems to be less to the average consumer on a day to day basis vs. five cents each time they pull into the gas station.
  • Other! Decrease the gas tax AND decrease the gas tax - less tax = more economic activity and more tax revenue in the long run!
  • This could have a negative influence on group/convention business that we hope to lure here after we complete the Ocean Center expansion.
  • We need more flexibility in how to spend our local tax dollars.
  • Lower income individuals often do not own personal transportation; therefore, reducing the gas tax will not necessarily affect many of them while increasing the sales tax affects everyone, albeit disproportionately.

 

2. In the last few years, city and county government has had to deal with increased costs due to state

mandates. Other costs have been discretionary. Several local entities have adopted policies

to maintain the same tax rate for the next several years. However, revenue from new

construction has become part of the equation.

 

Did your property taxes on your place of business increase last year? If so, how much?

 

5 percent (or less) increase -       10.1  percent

10 percent increase –                    21.8 percent

15 percent increase –                    24.3 percent

20 percent increase –                    21.6 percent

25+ percent increase –                 18.4 percent

 

 

 

 

Comments

 

  • It doubled and it doesn't look like it will stop....taxed out of business at the rate taxes and fees for everything go up
  • I’m a small business - my taxes jumped from $5493 went to $6066
  • Property taxes have increased too much for the services that we get. The County is too tax happy, and spends our hard earned money needlessly.
  • Way too much, my taxes doubled in the last two years.
  • The hospital property tax has me concerned. What does that money go for?
  • Is ANYONE talking about tax relief?
  • Yes, 15% per cent
  • They need to control spending!! You should see my taxes over the last 5 years!!
  • Keep an eye on the St Johns WMD tax rate.
  • We need property tax relief!!
  • yes, 6%
  • Yes, 15 percent and I don’t like it!!                                                         3
  • My property taxes more than doubled in the past year.               5
  • Yes, I afraid to look again as it may cause another stroke
  • Changed location from Port Orange to Daytona Beach - I'm not complaining.
  • No - we appealed the tax bill and the assessed value was lowered.
  • How much higher can it go?
  • Yes! Enough to hike my mortgage payment by $100 a month!
  • Yes at all locations. The increase was substantial.

 

NOTE – the percentages above are from those who actually responded to the question. Many of those responding did not answer because they rent their place of business.

 

 

Did your property value assessment on your place of business increase last year? If so, how much?

 

5 percent (or less) increase -       14.8  percent

10 percent increase –                    23.3 percent

15 percent increase –                    21.4 percent

20 percent increase –                    24.2 percent

25+ percent increase –                 19.7 percent

 

Comments

  • Yes. It increased at a highly disproportionate level due to Florida's amendment 10 which fixes tax for homesteaded property. The net effect is that renters (who can't afford to buy homes) and commercial (providers of jobs) are taxed too highly.             6
  • My assessment increased from $243,646 to $255,379
  • Property assessments have increased way too much. Has priced most people out of the housing market.
  • With residential taxes limited, it is forcing businesses, renters and part-time residents to pick up a bigger share of the tax tab.
  • I guess it's a sign of the times.
  • No, we appealed our assessment and it was lowered.
  • 15 percent increase
  • 3 percent increase
  • 75 percent increase
  • 27 percent increase

 

NOTE – the percentages above are from those who actually responded to the question. Many of those responding did not answer because they rent their place of business.

 

 

3. After rejecting a proposal to permit drilling in the Gulf of Mexico in exchange for a commitment

to keep oil rigs away from the coast, Senators Nelson and Martinez have offered legislation

to create a permanent no-drill buffer, keeping Gulf of Mexico oil rigs as far as 260 miles

away from Tampa and Naples, and 150 miles from Pensacola. Some of the deepest waters

more than 150 miles off Florida's coast would be open to exploration in exchange for the buffer zone. In the meantime, legislation has been introduced that could locate oil rigs just over 100 miles from the coastline of the Florida Panhandle.

 

What is your view about offshore oil drilling in the Gulf of Mexico?

 

48.8 percent     Support the Nelson/Martinez compromise to create a permanent no-drill

  buffer (260 miles away from Tampa/Naples, and 150 miles from Pensacola).

 

27.5 percent      Forget the Nelson/Martinez compromise, ALLOW oil rigs just over 100 miles

                           from the coastline of the Florida Panhandle.

 

23.7  percent     Oppose, do NOT allow oil drilling ANYWHERE off Florida's coastline in the

                           Gulf of Mexico.

 

 

NOTE – the Chamber’s reason for this question is that the oil drilling issue could come next to the Atlantic Coast. When that is remains to be seen. 

 

 

108 responses