PLACENTIA
A 30-year-old city utility tax, set up for the main purpose of building City Hall, might be getting a close examination by city officials now that the complex has been paid off.
Councilmen Norman Z. Eckenrode and Chris Lowe said they might consider eliminating the tax, which imposes a 4% fee on electric, gas, cable TV and other bills to pay for the Civic Center, its maintenance, and other city construction projects and equipment needs.
The estimated $3 million in bonds issued to build the Civic Center complex--with its City Hall, police station and library--was paid off last month, said Carolyn Chu, acting finance director.
City Administrator Bob D’Amato said the tax generates about $1.8 million for the city each year, far more than the annual payments for the Civic Center bonds, which this year totaled about $200,000. The excess amount has paid for “a multitude of projects” over the years, including the city’s emergency radio system, he said.
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