By: Donna Duperron
Donna Duperron, President & CEO, provided testimony at the December 12th Finance and Governmental Operations Committee in opposition of an Oil Industry Business License Tax. Committee members present were City Council members Mike Griffiths, Asam Sheikh and committee Chair Jon Kaji. After a presentation and testimony, Griffiths and Sheikh opposed moving the recommendation forward with Kaji in support.
A document provided at the meeting provided the following background/analysis. During the course of the pandemic and throughout the City of Torrance’s -term recovery from 2020 – 2023, the health, safety and well-being of the City’s constituents is dependent on the achievement of fiscal stability and flexibility. As the City continues to rebuild its reserve balances, resolve the underfunding of certain funds, attract and retain talent, and manage an ever-changing pension liability, it is important to consider all options that can help ensure that the City’s long-term budget is not only balanced, but resilient.
The Finance and Governmental Operations committee was provided information from City staff on five revenue sources that could be considered by the City Council consideration. Considerations were for an increase in Occupancy Tax; an increase in Utility users’ tax; an increase in Business license tax; a documentary transfer tax and an Oil Industry Business License Tax which is an excise tax based on the privilege of doing business in the city; not a property tax or sales tax.