Springfield City Councilor Thomas Ashe has filed a resolution asking the council recommend voters reject questions 1 and 3.
Some elected officials in area cities are urging residents to reject ballot questions that would reduce the sales tax, saying it would have a devastating effect on city services.
Springfield City Councilor Thomas Ashe is among area officials who are worried by the pair of ballot taxes on the Nov. 2 ballot regarding the sales tax.
He has filed a resolution, asking the full, 13-member council on Monday to go on record as recommending voters reject passage of ballot questions 1 and 3.
Question 3 would reduce the state sales tax from its current rate of 6.25 percent to 3 percent as of Jan. 1, 2011.
Question 1 would repeal the state sales tax on beer, wine and other alcoholic beverages that was imposed last year.
Ashe said the ballot questions, if they pass, will “decimate” all cities and towns, particularly the Springfield school system that relies heavily on state aid.
Springfield would lose an estimated $35 million in state aid annually if both ballot questions pass, that would “cripple city government but decimate the school system,” and jeopardize core services, he said.
“I hope the public understands the consequences,” Ashe said. “People are clamoring for tax breaks and relief but I don’t think this is the way to go about it.”
Mayor Domenic J. Sarno said the cuts in state aid would be devastating in its impact on the schools, the police and fire departments, and public works.
The city has an annual budget of more than $533 million including the school system. Sixty percent of the budget is funded by state aid.
Proponents of reducing the sales tax to 3 percent say it will give back on average of $688 annually to every taxpayer. In addition, proponents say it will create thousands of jobs, retain shoppers in Massachusetts and attract shoppers from other states. Those calling for repeal on the sales tax on alcohol say it is an unfair “double tax” a sales tax on top of an excise tax, that has hurt small businesses that sell liquor.
In Belchertown the Board of Selectmen voted 5-0 Tuesday to urge voters to defeat question 3. Selectman Chairman Ronald E. Aponte said “it’s not good for Belchertown; it’s not good for the state”
Last Thursday, the Northampton City Council voted to support resolutions offered by Mayor Mary Clare Higgins urging voters to vote no on Questions 1 and 3. Higgins calculated that the passage of Question 3 would result in a $600 million statewide cut in local aid and cost Northampton as much as $1.2 million in fiscal 2012. She noted that the city has already lost $1.7 million in state aid over the last three years.
Question 1, she said, could cost more than $100 million in revenues for substance abuse treatment and public health services, if passed.
In Westfield, both the mayor and council president said they do not favor a rollback of the sales tax to 3 percent, but would favor a reduction to 5 percent not on the ballot.
Mayor Daniel M. Knapik said “it will not be easy and the issue will remain on trying to live within our means. But, I think a mistake was made to increase the sales tax to 6.25 percent. That is detrimental to the economy at large because jobs were lost overall.”
“Three percent is a little too far,” Council President Brian P. Sullivan said. “I hope there is some middle ground, like 5 per cent, that can be reached. Ultimately it is the cities and towns that will pay the price but 3 percent will hurt too much in the areas of public health and safety.”
Regarding the tax on liquor, Sullivan said: “I am leaning towards dislike of any tax that hurts the small business owners. There should be other wants to generate revenue without impacting small business which in turn hurts job creation.”
In Holyoke, City Council President Joseph M. McGiverin said he was unaware of any organized effort by the 15-member council regarding the ballot questions.
However, he said he will vote against lowering the sales and alcohol taxes because communities like Holyoke need such revenue, he said.
“My own personal opinion is I’ll be voting no on each (question), particularly the sales tax, which would devastate local communities,” McGiverin said.
Staff writers Ted LaBorde, Fred Contrada, Mike Plaisance and John Appleton contributed to this report.