Merchants Say They Have Votes to Kill Special Tax

Opponents of a special tax on downtown Ventura merchants say they have gathered enough votes to force the City Council to kill an annual average assessment of $135 aimed at beautifying and promoting the city’s old commercial center.

If successful, opponents say they would use the same number of votes--at least 167--to later dismantle the assessment district entirely.

The Ventura City Council will decide today whether to levy the tax for the coming year. The tax was created about a year ago amid fierce opposition from a third of the 332 downtown merchants.

A majority of business owners must file protests at today’s public hearing if they want to prevent getting taxed this year, City Atty. Peter D. Bulens said. If that occurs, another public hearing would be scheduled to abolish the district and a majority of merchants would have to file protests again in order to be successful, Bulens said.

Frank Toms, a vocal opponent who owns a furniture store on Main Street, said, “I’m confident that we have 50% plus one.”

Opponents of the tax plan to file their petitions at the city clerk’s office this afternoon, Toms said. City Clerk Barbara Kam said she hopes to verify the number of protesters before the hearing tonight.

Last year 110 of the businesses did not pay any assessment. Another 40 businesses only paid half their assessments. Only $48,000 of the $73,000 assessed was collected last year, city officials said.

The assessment district is bordered by Ash and Olive streets on the east and west, and by Poli Street and the Pacific on the north and south. City officials are in favor of the tax because they have plans to redevelop downtown, once the county’s cultural and financial center.

“I hope that it is able to be renewed,” said Mayor Gregory L. Carson. “I think that they have made some good inroads in the last few months, and I hope they have the opportunity to be more effective in the next year.”

Carson said he was surprised to hear that a majority of business owners might be opposed. ‘I’ve been talking with a lot of the downtown merchants, and I’ve been getting positive feedback,” he said.

Last year the money was spent on producing a retail shopping guide, two advertising campaigns and weekend outdoor concerts, said Stan Jacobs, president of the Ventura Image Program, the nonprofit organization that spends the tax dollars to promote the area.

“It’s an investment,” said Jacobs, general manager of the Holiday Inn. “You’re investing in the future of your own environment.”

Opponents, however, say the program is skewed too much toward attracting tourists, and argue that joining should be voluntary.

“It’s for tourism,” said Toms, who added that his furniture shop has not seen an increase in business because of the program. “Why do we have to pay their way? Why not get the people who benefit from tourism to get together?”

Organizers last year received many complaints from small-business owners about the fees, so assessments will be lowered this year, Jacobs said. The average fee last year was $275, compared to $135 this year, he said.

Jacobs said he was opposed to a voluntary assessment because he believes merchants would benefit regardless of whether they pay.

Opponents also say that some business owners feel obligated to pay because the city is acting as the collection agency for Jacobs’ organization.

“The city shakes a big stick,” Toms said. “A lot of people feel pressured to pay.”

Miriam Mack, the city’s Redevelopment Agency director, said it is likely the city will take business owners to Small Claims Court this year if they don’t pay. “It’s not fair to the people who decided to pay,” she said.

According to Toms, the tax issue has deeply divided the downtown merchants.

“I care about this downtown,” said Toms, who has had his store there for 13 years. “This thing has got neighbors fighting neighbors, calling each other names. That’s the worst thing about it all.”