Forced tax penalizes Sandpoint businesses

Thank you to the Daily Bee for giving us the opportunity to clarify our position which we do feel has been misrepresented by both the Downtown Sandpoint Business Association and the Greater Sandpoint Chamber.

I want to start by saying; we are not against the DSBA. We are against the Business Improvement District tax.

In June 2000, the DSBA went to the city with a petition stating that they had 60 percent of the local businesses on board to create a Buiness Improvement District in the downtown area. I was not living here at the time, however, I’ve been told by many business owners that their understanding was it would be a voluntary tax. Once the City Council approved and adopted the BID tax, it was no longer voluntary but mandatory.

The biggest issue I have with the forced tax is this, why are the Sandpoint business owners being penalized? They are the entrepreneurs of our society, the innovators who create jobs. It is hard to survive as a small business owner, especially in these economic times. Sandpoint is currently at its highest vacancy rate since the tax was created. Just drive down First and Cedar Avenue and look at the number of businesses that have closed or moved. We need retail stores, art galleries, theaters and restaurants in our downtown area. The business owners are the ones taking all the risk. The city should give them incentives to be here, not burden them with a tax. Without local businesses, there is no viable downtown. We need to find another vehicle to fund the DSBA, stream line what they do and fine tune the activities for which they will be responsible. If there is going to be a tax, it should be consumer based on goods and services sold. When business is good, the city will have more money in their budget. In difficult times, they will have to cut back, just like the current business owners are forced to do in today’s environment.

After reviewing the minutes from when the DSBA first approached the city, they state the money was to be used for marketing and parking. The approved budget was: $32,000 for administrative cost, $38,000 for marketing and $46,000 for parking. Administrative costs have almost doubled in nine years and with only one employee. How effective has the marketing been? What additional parking have we gained? 

The reality is when people search the internet, they’re looking for Sandpoint and/or Schweitzer. We need to market Sandpoint as a resort town with a great ski area that overlooks the largest lake in Idaho. This will help not only Sandpoint but all of Bonner County. Perhaps we need to do a better job in working with our Chamber.

Every business owner has a responsibility to take care of their store front, as many of them do. The main focus for improving our downtown community should be on sidewalks, parking, and marketing. After speaking to numerous business owners, the common thread is simply that no one feels they are getting value from the taxes that have been collected over the past nine years. Of the $900,000 that has been collected since its inception, with over 50 percent having been paid for administrative costs, what are the results?

We have many non profit organizations like the Angels over Sandpoint, The Festival at Sandpoint, POAC and the Panhandle Animal Shelter that do great things for our community. They all have board members that concentrate on budgeting and fund raising to support their cause. Having been on a board here in Sandpoint for three years, I do appreciate all of the time and energy the DSBA board members have given. However, like many other business owners, I feel the tax must go and the DSBA needs to create a new method of funding their expenses. If you are a business owner that no longer wants to be burdened by this tax, please sign the petition before April 4, 2010.

Rich Curtis

Business/Property Owner