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Finance Director Ponty presented the staff report and further explained the impacts of the proposed Ordinance which would result in a 2.1 % increase for the 1995196 fiscal year. Mr. Steinfeld was warned he was interrupting the meeting. MEMO 4/25/95 In response to Council questions, Director Ponty advised that providing proration quarterly rather than semi-annually appeared to be more equitable and was in response to input from business owners. Director Ponty explained that coin operated laundromat owners had contacted the City regarding their business license fees and the proposed ordinance addressed those concerns. Vice Mayor Hartnett called upon those in the audience who had submitted Speaker's Cards to address the Council. Joe Steinfeld, 850 Main Street, Redwood City, stated that the business license fees had increased 35% in the last five years, and asked the Council not to adopt automatic increases, especially increases tied to the CPI. John Mooney, 980 Pleasant Hill Road, Redwood City, stated that license fees should not be looked at as revenue producing, but only to offset costs. Mr. Mooney stated that staff should have to ask Council each time it felt an increase was warranted, and not tie increases to an automatic indicator. City Attorney Schricker advised that the business license fee is and always has been a tax to raise revenue, and is in no way a regulatory fee. Susan Keely, 766 Canyon Road, Redwood City, owner of two small child care centers, asked for information regarding: Why is the business license fee amount based on the number of employees; what is she receiving in exchange for the fees; and are some businesses exempt, such as Safeway or those in Sequoia Station? Don Saye, 2021 Broadway, Redwood City, suggested that when currently vacant properties are rented or occupied, the new business operator be given a six months business license tax free status. MEMO 4/25/95 In response to Mrs. Keely's questions, City Manager Everett advised that no businesses have been exempted from the business license fee. City Attorney Schricker advised that the terms and conditions of the DDA with Sequoia Station establish a specific sales tax arrangement, but in no way exempts any business in Sequoia Station nor anywhere else in the City, from paying its business license fee. Regular Meeting Minutes ~1I NUTE BOOK NO. 53 April 24, 1995 Page No. 151 Page 8 _.........