Post Info TOPIC: The Restaurant Tax
Anonymous

Date:
The Restaurant Tax


The restaurant tax has been discussed somewhat in another topic but I think that it is deserving of it's own. The newspaper reported that part of the tax will be earmarked for the operation of the new Southeastern Kentucky Agricultural and Exposition Center. It also stated that perhaps one use could be to convert the old civic center on Gordon Hill into a recreation complex with soccer, football and baseball fields, indoor basketball, volleyball and tennis courts and a walking track. The Tourism Commission has probably already started budgeting and planning for such projects. If not, they will begin soon. Estimates of the money that will be available run between 600,000 and 1,000,000 per year. Of course, the Tourism Commission will need to set aside 300,000 or so for the Expo Center according to the feasibility study that has already been conducted. Lets get behind the Tourism Commission and help them plan ways to improve Corbin. What are some other suggestions for use of the restaurant tax proceeds.

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Anonymous

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If you read back here somewhat I believe one of the posters said this money would be used to subsidize the new civic center (It also looks like the poster disagreed with this point?, not sure just reading between the lines)), the poster also said we would know this in 10 days. Don't know this poster but he or she sure was right on the mark! Using 1/3 of this money to subsidize operations like this is risky, not saying it is wrong but very risky.

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Anonymous

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You are right in that part of the tax proceeds will be used to fund the operations of the expo center. This was the intention of the Commission in going to a 4th class city last year. They did this in order to be in a position to impose the restaurant tax later. I do not see any risk involved here. Most civic centers like this do not pay entirely for themselves. The positive economic impact on the community has to be considered. I believe that this expo center will change the way that Corbin is viewed in this region. I am not sure why the poster would disagree with this concept. The only other choice would have been for the Commission to give Governor Fletcher the 12,000,000 check back and tell him that Corbin was not up to such an endeavor. Just kidding, of course. Corbin is ready for this. Our folks will come together on this project and it will help the entire area.


 


 



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Anonymous

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I am right, and the part to run the center is $300,000 as an estimate, according to the study this number can be up or down, according to what we book and how we run the new center. I agree that ran properly it can be a very good investment for Corbin. Don't think anybody is or has said to give the Gov the 12 Million back. Would be great to hold region tournaments here, tough to get a seat even at the district tourney this year.

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Anonymous

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Terry Forcht's donation of 41 acres to the City was a generous gesture and can be a major step in buiilding a magnificent area in 'South Corbin' . This is a wonderful asset for our community and area.

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Anonymous

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Great Point!!!!!


WOW! A Fantastic Donation!!!


AGREED!!!



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Anonymous

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That was really generous. He bought the land for peanuts, and he donates it and gets a huge tax deduction when the land is appraised at far above its value. 


That is the way the system works. You buy it for a few thousand dollars and get a write off of over a half million.


 



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Anonymous

Date:

Anonymous wrote:



That was really generous. He bought the land for peanuts, and he donates it and gets a huge tax deduction when the land is appraised at far above its value. 


That is the way the system works. You buy it for a few thousand dollars and get a write off of over a half million.







It beats the crap out of individuals who know there are State or Federal funds on the way for a project, going out and telling a land owner that the only way their land will be used for the project is if they sell it to them first, buying the land for peanuts, then reselling the land to the city, county or state for more than it is worth for hugh profits for their friends and themselves. Because of these deals and individuals, other people struggle just to feed their families and pay their bills, but that is not their concern, as long as these people get their cut.


I'm sure their parents would be proud if they knew this is how their kids that they tried to raise with a morals and principals turned out - living their lives for every dime they can make - honest or not - at anyone's expense. Funny thing is that some of these individuals actually claim to be Christians and public servants - Hypocrisy at its finest.


I'll take Terry's way of doing business, at least on this deal, any day of the week. 



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Anonymous

Date:

Anonymous wrote:



That was really generous. He bought the land for peanuts, and he donates it and gets a huge tax deduction when the land is appraised at far above its value. 


That is the way the system works. You buy it for a few thousand dollars and get a write off of over a half million.


 





A brilliant business decision on his part to donate the property, so quit your winning you would have done the same thing if you were in his shoes.



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Senior Member

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The restaurant tax is the best tax for our type of town. With the majority of our restaurants located on the main roads that lead past corbin, many travelers will pay a large percentage of this.

This is a consumer based tax. If you don't patronize the restaurants, then you won't pay the tax.



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Anonymous

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Tell that to the folks that eat at The Depot on Main street or the Vintage House or the Dixie, who's paying YOUR LOVELY TAX there. Is it your Travelers also????
I see mainly local yocals at these Restaurants near the exits. And I agree there is alot of traffic from the interstate as well. Since you love this TAX so much then can you give us all the Specific Percentages Travelers vs. Local on who is paying more. Im sure you have that in your Report don't you? Slick moves on Taxing the Consumer may be your management style But, effective Management without Taxing the consumer and still prospering shows true leadership.

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Sorry, I just disagree with you.

The restaurant tax is in my opinion similiar to the alcohol or tobacco tax. If you don't eat out, smoke, or drink, it won't affect you.

Of course, we could start a local tobacco tax, in the city limits only, or is that legal. I don't smoke, chew or dip, so, it wouldn't affect me.

Do you know if we have a local "motel" tax, only on hotel or motels in the city on persons who stay in their rooms.

And, we could up the property taxes. That would be interesting.

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Anonymous

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Slick move on trying divert away from the issue You started. Food Taxes. You never gave us your specific Report on who pays more on your LOVELY TAX at these Restaurants.. VINTAGE HOUSE, DIXIE, DEPOT ON MAIN, JOY"s WHITES BILLIARD REST. Do travelers pay more or do the local Corbinite's pay more?
Just wondering about these forgotten little spots that you may have overlooked when it comes to managing by Taxation Without Representation. Did the VOTERS OF CORBIN vote for this TAX. I think Not!!! Taxation Without the peoples Representation.

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If you're talking to me, I'm not sure what you mean by diverting the issue.

But, just to reply to your post.

Let's separate the people who live in the city, from the people that live outside the city limits first.

For the people that live outside the city limits, too bad. Even if there was a vote, you couldn't have voted. SO, that's the end of that issue. I don't mean that as harshly as it sounds, but thats the basic facts. If you don't want to patronize a city restaurant, that's ok. I'm not sure if laurel county has a restaurant tax, or the city of london either. I think williamsburg does. Either way, you'll be paying a tax of this type to someone. But, like I said, I'm not sure of Laurel County's policy.

To the tax paying folks of corbin, that is true, we didn't have a voice or vote in this issue. But, we had the chance to put our names on the ballot, run for commissioner or mayor, and take a stand we would eliminate the restaurant tax, and run for office. Also, as a group, had we not decided to run for office, we could have bombarded the elected commissioners and mayor to change it. Believe me, with enough direct complaining to them, face to face, they would have changed it.

For those restaurants you listed, maybe you should ask them what they think. And then, post it back here. I would love to know what they say. They don't pay the tax, they just collect it and send in the check. I would say off hand, more locals pay the tax at Joy's, The Dixie, and White's. But, is that majority of people living inside or outside the city. At those three spots you mention, if you used an average meal ticket total of $5 per person, they's pay 15 cents tax.

When the voters of Corbin have better recreational facilities, better roads, better services, good quality emergency personell, they won't mind this tax.

That all said, what do you think of the occupational tax??????

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Anonymous

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The new convention center would not be possible to operate without the restaurant tax. 75% of this collected tax will go for operations, 25% for tourism to spend to attract folks to our area. Yes, the banners were paid for out of this money. London, as I understand it, passed a 6% restaurant tax. I believe this 3% was a great trade off for people who choose to eat out to help revive our area. I'm excited about the changes happening around here - I don't want to see Corbin whither on the vine. In an area like this, if you don't grow, you die. Let's all work together for the good of Corbin, and respect each others opinions on how to do that!

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I truly hope that the management company can keep the convention center occupied with worthwhile, money making or breaking even events.

That said, I hope we can recuce the projected 75% of the restaurant tax for the operation of this new building.

I'd love to see the tourism dept be able to expand their ability to develop the area with more money to use.

One question. Who will employ the staff for this center. Will they be city of corbin employees, or tourism dept employees, or what.

Who will these staff answer too?

The reason I ask is so we'll all know before this kicks off who oversees the staff and operation of the new center.



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Anonymous

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Excellent questions, NIBROC Fan.

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Anonymous

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These are excellent Questions but at least 1-Year tooooo late, now that a Tax HAS been Levied, a New Complex under Construction, Millions of dollars already invested these questions better have already been answered, if not then we have some serious problems.

When all of this was on the Table I would hope the Consulting Company the City Hired would have had a 100,000 Ft. Strategic Plan that Outlined the Operation of this Project from Contruction Start to Day one Operations.

With 1-Million Dollars of Taxed Money the Rest Tax will and may bring in I would give the Tourism Board some Advise------------You better have your act together as Folks will be watching.

One Last Point:

Who is the Tourism & Chamber boards and are they City Residents???????? If NOT then the Mayor & City Commission should act and Remove these people asap, no crime to live outside the City, that's everyone's own life decision but they should live inside the City Limits. We already have enough outsiders giving us advice on how to run the city.

I would like to see the names of these people but also where they reside!!!!

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A comment on the city residency requirements.

That was true some years ago, requiring them to live in the city, board members and employees and such. But, I think someone sued, a long time ago, and it was ruled unconstitutional, as far as a board member and employee being required to live in the city. It is true you can't be and elected official without living in the city limits, I think for 1 year is the requirement to be eligible to run for office. Remember the fiasco about the election last year.

If anyone knows for sure if I'm right or wrong, please post it here so we'll all know.

And, thanks to this board, I believe it will be a good watchdog for the projects and issues we have all discussed here. I know I've already been making some phone calls about some issues discussed here. And, I'll tell you, there has been a lot of "dancing" by those I posed the questions to. We'll see if they come back with an answer or not.





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Anonymous

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I've been reading the posts in many of the threads on this board, and I've noticed something. A bunch of people are whining like babies about paying three cents on the dollar on a restaurant bill. Three cents!!!!!!!!!!!

And THEY"RE NOT crying about this occupational tax the city and county started. What gives?

They'd rather pay 1% of their GROSS SALARY, before taxes, to the city and county, than three cents on a big mac or double or a large hand tossed pizza. They are crazy. How many times a week do these people eat out.

They don't cry as loud about the overall financial mess the city and county is in, as they do about 3 cents on a biggie fry.

I was at the mcdonalds at the trademart last weekend. There was a school bus form another county there, a ball team eating. Many of their family members were eating too. The didn't care about no restaurant tax. They just cared about eating at mcdonalds. They paid the tax, and they don't live here. We made money off them.

My mom was at bingo the other night, at the south corbin exit. Several friend of hers, from down around Jellico, played bingo with her. They all went to O'Malley's to eat. All but mom was from out of town. THEY PAID US MONEY TO EAT HERE, AND DIDN"T CARE. Mom paid the tax, around .50 cents. It didn't break her, she can still afford to live and stuff.


Another story. A family member is in the hospital. We were visiting him. We went do the cafeteria to get a drink, and saw a sign on the register that explained that the increase in the bill was due to the city of corbin's new 3% food tax on purchases. The register lady talked about it, complaining. She didn't live in the city. So, she has no voice.

But, they aren't crying about the 1% they take from her gross salary for the occupational tax.


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Senior Member

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Some good points the previous poster has.

Simply put too.

But, as you know, I support the restaurant tax 100%.

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Anonymous

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The last quarter results of the restaurant tax should be out soon. I'm anxious to see what they are.



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If we get the new Applebee's, this will really boost the restaurant tax revenue. Many times, when one major chain locates in a area such as ours, another will follow. Maybe a Logans, Texas Roadhouse, etc. I won't even mention the Red Lobster or Outback. That's too much to ask for now.

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I agree, it only takes one to start the ball rolling. I'm glad they're considering corbin first, I would have figured they would have went to london since they have sunday sales and we do not.

We went out to eat three times last week, at serving restaurants, for various reasons (birthday, anniv, meeting) and I kept the receipts for some reason. In all, I paid $12 in restaurant taxes. I would have paid that in gas in one trip to lex or knoxville alone.



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Anonymous

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That is a great point you have made. We forget how much we pay for gas when we go to Lexington or Knoxville. Thanks for reminding us of that.

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Anonymous

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I live in the city, and I like the idea of every time I go to eat now, knowing that just a few cents are going to our tourism development for the city. I'd sure rather pay this than the occupational tax.

Not only the civic center, but, all tourism.



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Anonymous

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I talked to the owner of Buckner's and El Dorado's this week. Neither one said they have heard hardly any comments about the restaurant tax.

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