NOREEN: Higher taxes, more fees? Sure, that'll raise money

A Sustainable Funding Committee has been directed by city hall to explore ways to increase city revenue.

Some of the suggestions contained in the panel's 169-page report (see the full report on my blog) might seem outlandish, but remember that part of the committee's charge is to think outside the box.

That's because the city's depleted cashbox can't be expected to cover rising costs as the Taxpayer's Bill of Rights ratchets down revenue.

It is inevitable and inescapable that a direct result of TABOR is that tax increase proposals will become more and more specific. Whether such tax increases are approved by voters or not, another reality is that governments will increase existing fees while inventing new ones.

TABOR backers like to argue this isn't the case, but when they do, they are either terminally ignorant or they are simply lying to you.

So here, with apologies to a committee that was instructed to think creatively, is a partial list of their revenue enhancers.

Let's charge every one of Colorado Springs' 19,500 businesses $25 to apply for a business license and then hit them with an annual license fee of $50.

That would generate $1.46 million this year.

How about allowing the fire department to send a bill to insurance companies every time it responds to a motor vehicle accident? That could bring in an estimated $2.3 million between now and 2013. Tack on a fee for each response to a hazardous materials incident and the city could get another $57,000 a year.

The police department could install red light cameras at the 25 most dangerous intersections and the resulting income from ticketing red light-runners would be $229,000 a year. That number assumes a fine of $75 and a collection rate of only 67 percent.

The beauty, if there is any, in these ideas is that the City Council could approve them all without a vote of the people, because these notions involve fees.

On July 27, the Sustainable Funding Committee will present its report to the council, and it's going to include a list of tax increase measures - any of which could be placed on the November ballot. Possibilities include sales tax and property tax hikes.

One problem with ballot measures is they must be spearheaded by someone. Council members who will soon be running for county commission seats in 2010 may not be eager to assume such a leadership role.

Councilman Darryl Glenn already is running for one seat; Mayor Lionel Rivera is thought to be interested as well.

With an eye to Denver, Colorado Springs could implement a "head tax," charging $5 per month for every worker in the city.

Presumably, decapitation would be one way to avoid it.
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