Article published January 14, 2004
Sandusky may rescind parking tax
SANDUSKY - The city commission has asked its law department to draft an ordinance that would rescind a municipal parking tax, a tariff that Cedar Point amusement park has lobbied against since it was imposed last spring.
Cedar Point spokesman Janice Witherow said yesterday legal action is planned if the city does not abolish the tax, which the amusement park claims is aimed solely at the amusement park.
"We have always gone on record ... opposing any tax aimed at Cedar Point," Ms. Witherow said. "Since the parking tax came into being, we have actively been communicating our position."
Mike Kresser, commission president and ex-officio mayor, said the threat of a lawsuit was a factor in the decision Monday.
"I think, in the minds of the four new commissioners, it was," said Mr. Kresser, who supported the tax. The 8 percent parking tax was a campaign issue for the four new commission members.
The proposal is expected to appear on the commission’s Jan. 26 agenda.
If the motion to repeal the tax receives approval of four of the seven commissioners on Jan. 26, it will need a second reading before final passage. If at least five commission members approve it at the first reading, the repeal will take effect on an emergency basis, he said.
Last year, the park - "under protest" - paid $372,000. Cedar Point charged $8 a vehicle last year; recreational vehicles were charged $13. Parking costs did not go up because of the tax, Ms. Witherow said.
The park threatened to escalate its "under protest" declaration into the legal arena if the tax was not repealed.
"We have been working very diligently with our attorneys over potential legal action," she said.
The tax also is paid by a church that charges for use of its lot and by towing companies that store vehicles, Mr. Kresser said.
In addition to the parking tax, Cedar Point last year paid $4 million in taxes levied on admissions, occupancy or bed tax on hotel stays, and income tax, she said. Property taxes paid to Erie County totaled $3.3 million, she said.
Should the commission vote to abolish the tax, the commissioners will meet again on Jan. 28 to discuss how the money will be replaced.
The city has backed off on some overtime for snow removal in anticipation of losing the money, the commission president said.
"There’s going to have to be something to replace it in order to maintain the level of services we have," Mr. Kresser said.
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