Recent discussions at the local government level have focused on how to create a sustainable funding source for economic development efforts including those of the Grand Junction Economic Partnership, Business Incubator Center and the Chamber. Chamber members who collect sales tax for local governments are allowed to keep a portion of the tax (3.3%) to help with this administrative burden which, due to technology, has been diminishing in recent years and it has been suggested that the amount given to these businesses be capped at some level on a monthly basis. For example, any business whose share of the tax at 3.3% exceeds $1,000 in one month would only be allowed to keep that amount and not the full 3.3%. It was also an observation of the North Star Economic Development Study that contrary to many communities the City of Grand Junction does not have a business license fee.
The Chamber Board has discussed these proposals with city and county staff and have pledged to work with them in early 2017 to hear from businesses on all of these proposals. As a starting point for these discussions the Chamber asked a couple of questions on the annual survey. Of the 34% of respondents who do collect sales tax 53% were not in favor of any options proposed, 25% preferred the City look at a business license fee and 14% preferred a cap of $500 per month on the vendor’s fee remitted to businesses. We also received about 70 comments on all of the proposals. This is helpful and we appreciate all of the feedback. We will continue the discussion in early 2017 and if you would like to be part of those conversations please email Diane (firstname.lastname@example.org).
Click here to download full version of the Grand Junction Area Chamber of Commerce November 2016 Newsletter.