HomeMy WebLinkAboutM120985
-~,~
..HeF'E'E&8WN CO'tJNTY" B~A. D QF 60.MMISSIEONERS'
District No. 1 Commissioner:
District No. 2 Commissioner:
District No. 3 Commissioner:
Larry W.I Dennison, Member
B.G. Br wn, Member
John L.itts, Chairman
I
Clerk of the Board: Jerdine I. Bragg
Public Works Director~ ,Gary A. lowe
--------------------------------------------------- ----------------
I N 'U T B.S
Week of December 9, 1985
Chairman John L. Pitts called the meeting to order at the
appointed time in the presence of Commissioner B.G. Brown and Commis-
sioner Larry W. Dennison.
HEARING re: Proposed Gambling Tax Ordinan e; Chairman Pitts
opened the hearing at the designated hour tor publi testimony on the
proposed Gambling Tax Ordinance, with approximatel 38 interested area
residents present for the hearing. !
,
The Chairman asked for comments in favor of the pro:osed ordinance and
being none then asked for the opposition's comments: Steve DeCou in-
troduced himself and reported that he was invited t, be the svokesman
for a group of owners and operators of businesses a:d non-profit organ-
izations in this area because he had been involved 'ith this type of
an ordinance last year in Clall~m cou, nty where he o~erates, a restaurant.
Mr. DeCou then addressed the problems with the prop~sed t?X as follows:
i
, ,
* The City of Port Townsend has shown interest in ;his same tax and
it they enacted an ordinance also none of the ta' from City businesses
would go to the County, which would leave six Gointy businesses to
justify the tax base.' Those businesses would be the Whistl ~_ng Oyster,
Goeduck Tavern, V lley Tavern, Trails End Tavern Discovery Bay
Tavern and Nancy's Restaurant.
*
!
this tax would create a hardshlLp on these
a way that they would have to I! leave the boards
longer to try a get a little m~re profit from
is tax. The gross revenue from these items
eciably. I!
i, .
The tax is based n the gross income from the ga&bling devices
which makes the p rcentage higher than it seems .Ii
The Town of Forks imposed this tax about 5 years Ii ago which forced
the one tavern in the area to give up handling t~e gambling devices.
The City Council f Forks has since repealed thii: tax.
,
New businesses will take this tax into considera:ion when looking
to locate in this area and probably would not loiate here.
The State Gamblin Commission has increased lice!se fees approx-
imately 200070 in the last two years'. The rD sta&p on the back of
each game has gon up 150%, in addition the cost I! of ,each game, has
gone up from the istributors. These increases i'ave been devastating
to businesses. i
,
,
The largest problem of small business right now's insurance costs.
Under the propose tax (RCW 9.46.113) the County must use the
revenue generated from the tax primarily for the enforcementof the
The imposition of
businesses in suc
and pull tabs out
them to pay for t
would go down app
*
*
*
*
*
l VOl it fAGE 0030858
"~tiJ
Minutes, Week of De ember 9, 1985 I'
Page 2:
Hearing re: Propose Gambling Tax Ordinance (GOntin~ed):
,
provisionsof the State Gambling Laws. Originall,~, IIprimar, ily" was
assumed to be 51~ or greater of these revenues tip be used for en-
forcement. The heriff of this County has indiCIf!ted that there is
not a gambling p oblem in this County and even i~ he did have funds
available throug this tax, they would not be used for gambling
enforcement.
* Businesses are c rrently paying fees to the Stat,~which go for
licen ~e fees" bo, kkeepin~, en f orcem:nt and aUdi,',tti., The local, State
Gambl~ng Enforce ent Offlcer for thls area, Cind; Reed, handles
any problems tha come up with gambling enfbrc.emnt.
,
,
In summary Mr. DeCo asked the Board to look at thei! community and the
businesses in it an not make them a scapego~t for the taxation, and.
budgetary problems hat the County is facin~. This :ordinance if passed
would deteriorate t e present system and causedeva~tation' to the
businesses in this ommunity. ,i
i'
Ii
Nancy McConaghy, 0 er of Nancy's Place, presented I$tatements on their
gambling revenues f r November as reported to the Sltate. The gross
for November was $5,831.00 with the actual cash bei~g $1,927.75. The
games cost $495.00 ith the State's 1~i'ocoming to $~9.79. The County's
proposed 5i'0 would b an additional $322.95 which WOI, ld leave a net cash
of $1,299.28. Ther w re 13,280 tickets that were, ot sold which had
to be counted by ha d or the State as well as keep~ng track of all of
the winners for six ths. The cost of rolling $61,458.75 worth of quarters
has to be considere. There was a $300 license feel to start and the
machines cost $300 ac. Insurance costs for the lounge and gambling
machines is over $5,00 .00 per year. Nancy's Placel supports one bowling
team, one ladies ba eb II team, one Little League fbotball team and
one dart team as we I s donations to various commu' ity activities.
The profit from the ambling devices is not much compared with what
Nancy's gives back he community. I
,
V,alley Tavern uck Russell, ~~ined that t~vern and
lounge owners are r nsible members of the commu~~ty,and listed the
civic activities in eh he participates . Mr. Ruslsell further n.oted
that the Valley Tav has been in continuous opera~ion for 50 years,
providing employmen d taxes to this community. !trhere are presently
three and sometimes r employees. If the gambli~g tax is passed, one
person will have to be laid off. During the past YI~ar the Valley Tavern
has done the. follow'ng. Paid real estate and prope-rty taxes of over
$1,100.00; paid sals ax; donated all aluminumcanJ~ to the Girl Scouts;
donate to the Junio L ttle League ball team, the A~erican Legion Salmon
Derby, Uni tep. Good ei hbors, the VFW and a Thanksgl1i ving D.inner was
~ ,~~{~i ~,~~s c, ~m,e,..', ;::niiYs ~~ ~~,e ~,~~ ~t ;'~e'~ 1. wh~r/t~~, s~a ; ol',,'.~o p,a,s~:~~, ~~~e ~U~,;~i~
added, many of the xt as and donations will have tp be curtailed.
A 5% tax on the gro s ambling revenue amounts to ~ third,to a half of
the gamblingl profit d pending on how efficiently t, e operation is run
and how often peopl ,w n. There is no way that thii~ tax can be passed
along to the consum r ecause of the strict State rlegulation of gambling.
Mr. Russell stated ha in his opinion this is an iillegal tax, because
the State law has b en interpreted to mean that thils revenue can be
spent for th;ings ot er than gambling enforcement,b4t this is a perversion
of the governmental sy tern and the law should mean what it says.
Mr. Russell then pr se ted a letter from Dr. John arrett in Hadlock,
stating his opposit.on to this proposed ordinance. '
, ,
stling Oystbr Tavern,repres~nting Mr. Hal Turner,
fit and loss statements fro i June of 1985 tm'show
er Tavern'slprofits..Ms. L~~n further stated
~~b;~r~ ~~V~~i~,~r;i~~O~~et~er', ~~~~t~Vf~~,:a:a~~fing.
x the gross] which does not take into consideration
payo.ut"s, IPst"boards,a ndt~~,p urcha s"e 9",f, the board.
ade $11,000!on gambling, which would mean a tax
ty 5%. Thel net profit for the tavern was $641. 00
tax wGluldrJlflve been p.;:tyable ~he net protit would
e whole mon,fh. , !
I !
I I
1" 13859 '
, i .' '. nril ~,,' '
", '=>>:. ,(AGE W) I
Helen Lynn from the
presented copies of
the Whi~tling
that the profits fr
the business"would
This .ordinance woul
the amount of money
Dastmonth the tave
of 561.00 for the
las month and if t
hav been $52.50 fo
lYi3L
Wee~ of De.ember 9, 1985
ing re: Propose Gambling Tax ~rdinance (Cantin ed):
Whistling Oyste would have tollay off employeeli if this tax is
sed. Ms. Lynn hen listed thet' civic ciLctivitiesr that the tavern
. up o1'"ts ,and, noted hCit . t~ese acti i ties tould have'1 to be limited if
;;t:;;;~:~;;:;~:;; m;;;~;~;:;;;;:~h~~~bil~~i~a~:!k~~ ~~~~i~~a~~~
eedy in the commun.ty, has mainly tone so~rce of in orne which is the
arnival at the Had ock Days festifities. I This cariival t4kes in about
9,000 gross which . ould be taxed, if thi$ ordinancr is pa$sed, for
400 to $500.00. T is, amount does' t loolt like aloF until i you realize
hat is done, with t is money in do ationslt,o variou~ civic ',Organizations
nd activities, nee ed items such s eye glasses anij hearir).g aids for
eedy people. Mr. anke asked tha the Bci>ard consi~er notiimposing this
i ' ,
ax. , i i
Ii'
dgren Distribu ing, g~ve,an ove view of the problems
oplerepresent d at t~e hearing have e~dured over
at times have changediover the last tel) years. The
re,' with liabilt ty ins ~ran ce req,'f',. ired ,f9, :- taverns
se some of thefe estalDlishments, even wlthout the
ax. The taver~s that~lcan stilliget in$urance are
p,.",remiums of. 1p .,0 to 1',00'%,0 WhiCh,li.., most ,tci.,. verns cannot
n asked that tte Boar cQnsiderial1 of it he facts
pproving this ax. I ' !
, ! '
, 'i
Chairman Pitts aske the patience f the ~udience t explciin ,) why this
Ordinance has been roposed. The, evenues to Jeffel'son Cot;1nty from
this tax, which cou d have been imposed a~ early as 1973, would have been
$15,000 to $i16,000 his year, whicp doesnrt sound I ke.much to ~he County's
budget. This would be half of a p!trOlma*,s salary for a year r two-
thirds or more of a clerical perso 's sal.$.ry. Afte" the questi n was
raised about,. how th'" s money COUld', e used~ it. was, v rified~, with the State
that 51% of the tax received must 0 towards,gambli g and the e~force-
ment of this: law. he Sheriff infrrmed tfue Board I, st week tha~ his
department has not pent that much on gam~ling enfo~cementover the past
few years rria1-nly be ause the taverns haveibeen self! policing on their
gambling activities. I Ii!
The Chairman went 0 to explain thrt the ~ounty has! the same ty e of
insurance problems hat these busiresses a.refacingl~ and that m ny of
the taxes imposed 0 such .items as alcohot and Ciga~' ettes has nt been
used towards such t ings as rehabi' i tatio1jl and law 'nforcement, Iprevention
andresearch'as"it hould have beep. The I Chairman I hen thanked those
present for their t stimony and adyisedtbem that t~is testimon had
educated himi in are s that he had not thmllght aboutl~ After fur her
Sharing funds will ave on Jeffers n County, fur the publiC:: tes imony
resumed. ' . ' I :
Jean O'Connor, form r owner of thetHil1 TJp Tavern, informed th Board
that this tax would have been 26% f theiavern's n t income, b sed on
last year's figures, which is not small I tax. ! . J
Commander of, Post 2 of the Americ, n. LegiJn, Hersch,' Atki+, son,'. reported
that the American L gion sponsors tinany programs in ,he communit ,,' and if
thiS, tax is i, mposed the,se programs I would fu"ave to bel:, cutbac~. Thf Veterans
Service Officer, wh ~ssists veter,ns in JII areas ~f the County! would
not be reimbU'", rsed f r his travel, leI, epho$e charges!! and sta,., mps, Iwhich
would make it hard or anyone to d this job since 'hey do ,not X1eceive
any other compensation for their t me. i i I
Th ' i d f h K. L l d il B . ., '.. IH
e past pres ent,t e ltsap tce,nse , everage ',sso,clat,..,lon,~' arry
Jens, reported that he had been inyolved ~ith this 'ype ofiprob em
around the State at various times. I. Mr. J$nsadded hat this ta , which
is small compared t what is neede?- to rur!1the County) will : have la massive
impact on many of t e people in business in the Cou'ty. Tq.e or~ginal
legislation was, passed to help dettr cimir),al e, lemen s coming in ito an
area and was'primar ly to be ,spent on gam~ling enfo'cement~
!
ernie Lundgren, Lu
hat the business p
he years, noting t
roblems in the fut
and lounges Will cl
imposition of this
seeing increases i
afford. Mr. Lundgr
when they co-p.sider
.,
l VaL
11 rAbt
038 0
Min tes, Week of December 9, 1985
Pag 4:
i
,
,
Hea ing re: Proposed Gambling Tax Ordinance (Contittu
. I
The County has no history of gambling problems here;,
ued,and,if you pass t,hiS tax YOU,W,OUld h,ave to,ta14',e
a p sition, train a person, and provide an office ju
to ustify passing this tax. It is possible that ',t
~at re, legislation will be introdtlced to eliminat !
l t as been proven that it is not needed. Mr. J ens !c
tes imony by strongly urging the Board to reconsid ir
thi tax. :
,
,
San
hav
occ
She
lic
y Davis, owner of the Boarding House, stated
a gambling license now but has had in
sion to call a law enforcement officer
advised that if this tax is assed she
nse.
She iff Lee Smith noted that eac
gam~ling licenses do police thei
Dep rtment records indicate thre
fiv years into gambling type co
Com~issioner Brown moved to deny
tax lordinance. Commissioner Den
vot d unanimously:irt favor of it.
tha it was not the Board's inte
Mis.nformation waS rece~ved Tega
cou d be used for land the impact
anQ everyone of p
o~ gambling act.~
investigations 0 ~
plai ts. oi
"
pass ge bf the pr p
ison seconded them
. Com issi oner Den~!i
tiOt). to overburde '
,
ding what, therev:n,..
that it would hav :
,
i
,
!
FROM COUNTY DEPARTMENTS:
In esponse to EII'a Sandvig's qu
for the activities, of the Human
her to contact Homer Smith Insur
tha are covered by the County's
Ell Sandvig then iasked the Boar
ded ct the amount iof dependent h
of hose employee~ in her depart
pay that premium to the health i
Cur ently the empl:oyees of the H
their own dependent health insur
all w the County to deduct this
pay and send the check to the in
this could be done and Ella Sand
men regarding thVs matter.
or, 'Human Service
r rown move to
ealth as recommen e
issioner Dennisonl!s
stions regarding in
ervices Department!,
nce!and have them !r
insurance.
,
I : !
if ,they would allp
alth insurance pre~
entwho desire such
surance carrier f~~
man'Services Depa, ~
nce coverage. Thip
nsurance premium fir
U1lTance carrier. ~~
ig Will write a P1~
II
II
ourthouse due to Jb
o oWlng as a po
is closed due to i
did not come to p
I be given a choi e
y, comp-time day, p
option ~nd direc ~
I
ernithat making t.k
could only be don I
p time would be p ~
it was agreed th ~
policy will be d.s
dqpted. 1
Policy re: Closure
Com issioner ennl'son 0 ere t
employees pay when the Courthous
con itions: "Thosie employees wh
Nov mber 22, 1985 'due to snow wi
Hea, of taking a 'floating holi.d
or the time may b~ made up at th
Hea " '
issioner Brown expressed con
pressed in such a way that this
is ehind in work and this make
fur her discussion of this issue
be eleted from the policy. Th
nex staff meeting before being
LVOL
OGti 3861
I
Mr. J ens Jntin-
money to create
t to spendilm, oney
the next I gis-
his tax be ause
nclilded hi
and not pa s
I
I
she does mot
nd never htd
a problem
pply for a1gambling
businesse: with
ties. The Sheriff's
the last our to
,
sed gambliJg
tionarrl the I Board
on then stlted
ny small b siness.
e from the tax
n business s.
I
I
I
e: Mental tal th
rove tea en ment
by Ella S~ndvig,
conded thelmotion.
urancec,ovJrage
the Board directed
port onth~ services
I
her deparJment to
urns from,t~e salary
coverage a4d then
the employ~e.
ent have t~aY for
procedure ould
in the empl ye~s
Board cOne d-that
cy for her depart-
I
ther condiJions;
cy to ea IWlt
clement we4ther
k on Frida!
by their D partment
a vacatio day,
n of the DjPartment
up should be ex-
f the depa tment
uctive. A~ter
the last oRtion.
ussed at tij.e
Min ~es, Week of Decembe 9, 1985
Pag 5 : i
PUBLIC WORKS
Agreements
ict =# an
prove t e enta Agr
is being remodeled f
r one year at' a rate
occupy the adpitiona
n. I
, '
ental Agreement for
for ne year ~t a ~ate of
Comm. ssioner Brown" secon
. I ~
lS t commenc~ on January
, :
Let~er of Agree
Fund ng for nstruct on
son move to ave t
ment wit the. Depart
, '
n of 50%1 of the loca
s River Bridge. Com
I '
Sig~ Maintenanc
he has at e t at a
r the Si n Ma~ntenan
helps the Parks Depa
his emplfyee's salar
be finel as long as I
Flo~d Control:,
rking upl a bu~get fo
of prel~mina~y plan
cts is anticipated f
ol Districts. i
I. ,
the Flobd Control D.str~cts w~uld be pro
y Roads by any work one outside of the r
tment co~ld contribu e $4,360 annually to
3,175tolthe Brinnon District which would
elp protfct the Coun y roads.
oard dir~cted' th Pu lic Works Department
necessary to: se up these budgets and tr
the RoadlFundjas ind.cated.
I. PuumING I
1 I
Murtay P~rl pointment re:Water Planning I
Dire tor Davi 0, sm eporte t at Mr. Per made an ap~lication
to I" cate a m;bi,le i.,. h 0 xt to the, Goeduck Ta Brinnon. ~he
mobi e home w uld be d by the same water as the tavern and
Mr. ,erley wa grallte ne year variance to he use of this
watet system fhichido t have State approva . r-
Rand Durant',IEnvir,on I Health Director, r that he ha6 checked
wi th the Stat~ and th ve not received arty rom Mr. perlley
so t at the wfter sys an be given the nece pproval. I
Mr. Mrs. Pet-ley wer pr sent and Mr. Perley epor. d that he c~n not
get tate app~ovali fo th.s water system bec~u_e_th _pro~~rty dO!'eS_~o~
meet the Statfreq1rlir men s.", Mr. "Perley clari ied at the tave n is
supp led watet by the wel. ,wliIletlie mObTlem-e - a- - ilnaaarfio al ---
~~~~~~r e s;~~:m aF~:lt~S C~~K~aundrom~t are SiiPI'r"a ter y a~u _face
Public Works Dire
arks Department empl
e Technic1an, while
tment budget, since
for this time. The
verything is worked 0
ental of Courthouse
ra re t non:
ement Wlt
r their use in the Courth
, ' ,
of $99.67 per month and w, I not comm~nceuntil
space. C,ommissioner Den! .son second~d the
: 1 i
Hice spac,e for PEJP Fede! 1 Credit uJion,
$83.85 per. month was appr 'v dby motio* of
ed by Commissioner Dennis . The agr~ement
1, 1986 after the office ace is rem1deled.
ral Resourqe re:
Comm ss 0 er
he letter f
r their co tri-
nstruct thel
motion.
ary Rowe, rleported
allowed to! fill
n vacation,l.asneeded.
.ll not hav~ to
concurredtlhat this
the Union.!
is in the Jrocess
rying to colver
flood control
Quilcene FlloOd
service tO~he
-ways the oad
ilcene Distl.Lict
eed these J::gets,
This
Gary Rowe reported
flood control for 1
ing and possibly som
r 1986 for the Brinn
The
step
from
to them
val
11I"A{,EOO 3862
Randy Durant !explctined that
originally s~ppli~d water fr
(creek)~ Af~er he well was
and put on a :qua tierly water
not meet the Ireq ired setbac
The quarterl~ wat~r samples
The surface ~ate :system and
from the pub~ic ater system
Social and Healt :Services i
system plan dnd ell logs.
I ,
, '
After furthe~discussion of
with regard yO t ~ir water s
to the well Rrovided the Sta
mobile home ~o a !individual
that the Boa~d m steither e
Perley's tim~ to seek a Stat
or to direct !the Perley's as
compliance w~th tqe State an
! ,
, ,
Commissioner IBro 'moved to
to the Countyt'silding Cod
give them th~ oppqrtunity to
system. Commissioner Dennis
ication that Isomet:h~ng must
mean either the S~ate grants
disconnecting the Imobile horn
,
,
I "
Danlene i&Beecher
Larson Lake oa" ort u 0
o smlt ouy ne t e reque
requirements tOlallo , the legal
owned by Mr. 1& Mr~. Snipes I
Colton. Thisl property is lo
Valley Store Ion t 'eLarson L
of action negessi~ated in th
which it was Ilisted on the A
valuation beiing IjJsted on th
Commissioner ,Bro i moved to
1 acre homes~te Orl the Snipe
Commission. :Com ilssioner De
1 '
Le~ter
The letterrlom
why the miti~ati
Gardiner Beadh R
the Public Wqrks
ported. I
i
! '
Ag'Ijeem tit re: Rent
Brown move ~o approve t e r
month of Dec~mbeas present
seconded the Imotion.
ApHrov Jl of
Development
I
I
Qece ber 9, 1985 I
contJnued) :
. .
Minutes,
Page 6:
(Planning
was drilled bec
napproved surfa
d the tavern wa
I
ested for the
bytlhe Planning
,
n. ,
I
,
Forest Products:
ro ucts, exp aining
ache~ on to the
e,wa~ referred to
id G9ldsmith re-
i
Attorney's
Sl.oner
e, setting
lic hear-
s Office.
VOL
11
00 3863
; ..
Minutes,
Page 7:
, , '
ional Services; Peter eerlofs, M.D.:
approve t e pro ess , a s~rvlcescontract
the performance of th dutiles of the
Officer, effective ,3 uary ~, 1986.
emotion. i
I ,
Ueate of Absence: Cmissipner Brown
a :se~ce requeste by ,. nda B~gley in
approximately one ye' Commissioner
, ~
i
:
:
,.
~ V rn..
,
11 [~(,t 00 3864
..I;'u'I., ,
..," '..'..~"
.~. . ~4: r ,;" ,
.~ '. . (' .... . f.
;, 4;'/' '
: \-:1
.- ,", ',',
., .~. .
.,. 1;0 'I,,;
t::Jr:.;. .,~ '\
.&..... '<<S..:' ~
..~ ' '...
.\
.. ,~
. .1
1_, t~-
" ..
,.