Article Contributed on: 7/28/2009 10:17:43 AM
SENT VIA EMAIL AND FAX
TO:
Mayor Erik Hansen
Mayor Pro Tem Steve Lebsock
Councilwoman Jan Bach
Councilwoman Carol Beckler
Councilwoman Eva Henry
Councilwoman Beth Humenik
Councilman Charles Stevenson
Councilman Eric Tade
CC: Thornton Colorado Businesses
Thornton Colorado Residents
Mayor, Mayor Pro Tem, and Councilmembers,
Thank you for the continued time you give in serving on Thornton City Council and all the other ways you make Thornton a better place to live and grow.
I wanted to give you a summary of the temperature of the local business and residential community as to the vendor fee change you will be voting on this evening. Some of that specific individual feedback is listed at the bottom of this letter.
Verbally, I've been told that an increase in the cost of doing business in Thornton (as is this change of policy of $1500 per business per year), will impact the prices to the residents of Thornton, as it will encourage and thus force prices to rise to manage the burden of accounting, merchant fees and training. This will also
impact Thornton jobs, as business will be left again with doing more with less.
From your perspective, I see how you might think that "supporting this change of policy, means you support big business instead of working families". I strongly disagree. I think both can be served. Please remember, that the business community is starving at the federal, state and local level already. This does not impact the biggest of businesses in Thornton as much as it hurts the hundreds of small and home based sales tax collectors.
These "working families" are the first at risk in economic turmoil and the last to gain when it recovers.
I know you may have more knowledge of and access to information on the subject, but from my perspective, I ask that you please support the communities desire to keep prices low by keeping the vendor fee as it is.
To be fair, not all feedback was negative on the issue. I did receive two sets of neutral feedback to this change, as the vendor fee doesn't directly impact Thornton's service based businesses.
The other 40 or so business that provided feedback, gave negative feedback to this change, some is below.
Some businesses, (regardless of size) have stated outrage at this policy change and have said they will be at city council this evening. I would rather inform you of the concern rather than surprise the council with this news.
I thank you for your time and consideration on the matter. I am available if you would like more detailed information.
-_-_-_-_-_-_-_-_-_-_-_-_-_-_-_ -_-_-_-_-_-_-_-_-_-_-_-_-_-_-_ -_-_-_-_-_
Brad owns and manages most Subways sandwiches in the area. Many locations are in the city of Thornton... This impacts his business by many thousands of dollars a year.
In this economy I think $1500 [per store] could be the difference between making payroll, paying rent and/or utilites for some owners. I think the point that needs to be made is that so many small business owners are so close to the brink of closure that they can not give anything else up for fear of closure. This obviously then creates less tax revenues, jobs etc. I know many people that are negative cashflow already and are pulling there life savings to keep there businesses open to try and weather the storm.
-_-_-_-_-_-_-_-_-_-_-_-_-_-_-_ -_-_-_-_-_-_-_-_-_-_-_-_-_-_-_ -_-_-_-_-_
Wendell owns and manages the Ace Hardware on 120th and Colorado
First off, I would like to start off by thanking you for consulting businesses on this matter; it shows that a few people actually do care about the businesses that keep this city functioning.
In a good year, the vendor fee gives us a $1,800/year break on our taxes; while this may seem like a small amount to some, this is a beneficial amount to us.
While the city may be wanting to follow suit of the state, they too eliminated their service fee, I feel it would not be in the best interest of the city. Small to medium sized businesses are already suffering in this tough economy and we feel the ones who are suppose to be supporting us, are only wanting to take more away from us.
I understand the city's budget is suffering; however, so are the businesses in this great city. This service fee helps pay for my bookkeeper as well as other employee benefits, such as bonuses and holiday parties. These expenses would be a bit tougher to pay for if the money we set aside to help offset these expenses are being taken away.
Please keep us updated on this matter.
-_-_-_-_-_-_-_-_-_-_-_-_-_-_-_ -_-_-_-_-_-_-_-_-_-_-_-_-_-_-_ -_-_-_-_-_
Bob is the controller for one of Thornton's largest businesses, American Furniture Warehouse,
I am at a loss to think that the city of Thornton would even consider removing this vendor fee. A business is an agent of the City and needs to monitor all transactions to insure proper collection of the sales tax. This takes training, cost of computer programming and hardware.
Employees must update the files in the computer and monitor invoices to insure the correct tax has been collected. At the end of the month an employee must fill out the tax forms to submit the tax collected. It is all time consuming and tedious work. Then we get audited and if we made a mistake your city auditors penalize us for the error. Business works for the city and should be reimbursed because we are in business for a profit. If we do not make enough we go out of business.
-_-_-_-_-_-_-_-_-_-_-_-_-_-_-_ -_-_-_-_-_-_-_-_-_-_-_-_-_-_-_ -_-_-_-_-_
Councilwoman Rebecca Cavanaugh-Miller was not included on this message as she has stated her desire to not receive community information.
--
Brian Thornton
Thornton Ward 3 City Council Candidate
Cell: 303-997-1777
http://www.VoteForThornton.com