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How Do You Spell <i> Tax</i> ? Proposition B

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A tax is a tax even though you call it a transfer. On the November (Anaheim city) ballot is Proposition B, titled Utility Revenue Transfer Limits. This would increase the amount that the city can transfer from the Utilities Department to the city general budget by 4%, or better said, an approximate $9-million tax on the citizens of Anaheim.

Very deviously worded, this proposition does not tell the voter that the transfer is at 4% and that the City Council now wants to increase the transfer to 8%. This is directly off the top or gross revenue that is collected.

Just looking at the 1992-1993 city budget, the Utility Department was projected to have revenues of $273.4 million and anticipated expenditures of $285.3 million, or a deficit of $11.9 million.

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Now, if you take 8% of the gross revenues away, then your deficit grows by $21.8 million for a total of a $33.7-million deficit. I am sure the utility board and City Council would be ill-advised to allow that, so here comes a rate hike for all water and electric customers of Anaheim.

When the City Council proposed a 4% utility tax, the citizens rose up in arms, so the council reduced the tax to 2% with a “sunset clause” to end the tax in September of 1993.

Now, the City Council is trying to make an “end run” and increase the utility transfer as a subtle way to get the extra revenue they’re wanting.

Instead of facing the true need to reduce the government and reduce the waste, they continue to play the “gimme” game. The council stopped the privatization program that was beginning to show great savings. It also served as a means to encourage the city’s departments to bid for the work they do. This process acts as a form of checks and balances and helps curb the ever-present waste in government. Until the voters say “enough,” they will continue to play games and refuse to deal with reality.

I would hope the voters see this is just another tax, no matter how the City Council attempts to disguise it!

PAUL BOSTWICK, Anaheim

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