Hearing Set on Adding Levy, Hiking Business Fee; Support Is Shaky

A new citywide sewer maintenance sewer fee and a hike in the business license fee will be the subject of a public hearing in September.

City Council members set the hearing this week as they sought ways to raise money to offset a $4-million budget shortfall. But the levies might not have the support of the council itself.

Mayor Dave Sullivan and Councilman Tom Harman voted against setting the hearing on the proposed sewer fee, which would be about $1 per household per month and would raise $1 million annually. Sullivan said residents are already overtaxed, citing recent water rate increases and a water system capital improvement fee. “It would be unacceptable to add further charges on this year,” he said.

Harman said he wants the city to consider selling $2 million in surplus property to raise money.

The proposed increase in the business license fee from $75 to $95 a year would raise about $320,000 a year. The city issues about 16,000 business licenses annually. The hearing is scheduled for Sept. 3. The council is expected to adopt the 1996-97 budget later that month.

Meanwhile, the council on Monday will consider another revenue-raising proposal: doubling the Community Enrichment Library Fee levied on all new development from 15 cents per square foot to 30 cents.

The increase would generate $100,000 to $150,000 annually, to be used to help pay off the library’s recent expansion. That would free up library funds for new books and maintenance, Hayden said.

The public hearing for the library fee is scheduled for 7 p.m. Monday in the council chambers, 2000 Main St.