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March 10, 2011


Arena tax dollars coming in on target

by Deena Winter

The city finance director reported Thursday that new hotel, car rental, bar and restaurant taxes being collected for the city’s arena project appear to be coming in as projected.

The city of Lincoln began charging the new occupation taxes — which are usually passed on to consumers — in January. The first batch of taxes were due in late February — although bars and restaurants can choose to pay the tax quarterly — and Finance Director Don Herz told the Joint Public Agency that oversees the arena project that the city collected about $743,000.

“I’m very comfortable with those numbers,” Herz said. In fact, depending on the final numbers that come in by April, he said the tax revenue “may slightly exceed” the city’s projections. Car rental and hotel businesses are seasonal, he said, and will fluctuate.

Speaking of occupation taxes, the Journal Star is reporting that the Legislature is on the verge of taking away the city’s authority to charge occupation taxes on the sale of telecommunications equipment. The city of Lincoln broadened this tax from services to equipment last year, but the Legislature was lobbied heavily by retail groups to rein the city in. Looks like a compromise would allow the city to keep the tax until 2013 — giving the city breathing room for awhile.

7 Comments Post a comment
  1. Jon Duhon
    Mar 10 2011

    Thanks for the information.

  2. Jane H Kinsey
    Mar 10 2011

    Too Bad. If they weren’t we would have something to squawk about. People must be eating out a lot. Maybe it will change when we have $5 a gallon gasoline and higher property taxes.

  3. Jon Duhon
    Mar 10 2011

    Thank you Deena for sharing this with us.

    It’s strange to see good news about our city and a former candidate’s response is “Too Bad. If they weren’t we would have something to squawk about.”

    Jane, are you rooting AGAINST the prosperity of our city?

    • Roger C
      Mar 12 2011

      Ms. Kinsey has always made it clear where she stands, even when she was running for office, which is why she is not in office…

  4. in the real
    Mar 10 2011

    Only prosperous for some.

  5. Eric Bahm
    Mar 11 2011

    This only prosperous for some gets old after awhile. I for one as a business owner in the center of our city am excited for arena and the oppurtunities that it brings . As a citizen Iam more then happy to pay my fair share of the cost and plan to out for lunch today. Is everyone going to reep the same benifits no but as a whole everyone who lives or works has something to gain either directly or indirectly. Besides we all choose our own careers so don’t be mad when the other guy wins more. Is the arena the be all that ends all no but its part of the puzzle.

  6. Joe's Bro
    Mar 12 2011

    From the Lincoln Journal discussion on “Report, Tax receipts below February forecast”

    eegeebs said Google “Lincoln Gas and Electric Co vs City of Lincoln. So i did a Yahoo search.

    Interesting reading, I don’t know if it pertains to the way we are being double taxed today for the arena though.


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