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League of Women Voters of California Education Fund
City of Indian Wells
1,558 / 81.96% Yes votes ...... 343 / 18.04% No votes
Index of all Measures
|Results as of Jan 28 2:43pm, 100.00%% of Precincts Reporting (2/2)
|Information shown below: Impartial Analysis | Arguments |
Shall Ordinance Bill No. 2005-14 be adopted to approve an increase in the City’s Admission Tax on patrons attending entertainment events from the current maximum of five percent (5%) to a maximum of ten percent (10%), subject to authorization for the City Council to annually decrease or increase the Admission Tax within the ten percent (10%) maximum tax rate?
The admission tax is paid by any person who pays an admission charge to attend any entertainment, amusement or recreational activity in the City. Typical events subject to the admission tax include sporting contests, athletic events, exhibitions, concerts, lectures, theatrical and musical performances, fairs, and festivals if an admission is charged. Events held by non-profit organizations are exempt. Thus, the tax does not apply to events held by a nonprofit country club, social club or tennis club. Nor does it apply to events held by schools or governmental entities. The tax is not applied to complimentary tickets or event sponsors.
The revenues received from the tax can be used for any municipal purpose. The measure will take effect only if it is approved by a majority of the Indian Wells electors voting on the measure.
By: Stephen P. Deitsch
|Arguments For Measure H
The admission tax is an important, needed revenue source for the City of
Indian Wells enabling the City to continue providing quality public
services to its residents.
The Pacific Life Open is the 5th largest tennis tournament in the world. The economic impact to the Coachella Valley from the tournament exceeds $100 million per year. As a City that depends on tourism revenue, the tournament is extremely important to our local economy. For that reason, the City of Indian Wells has spent $5.7 million to support the tournament over the last six years. More funds will likely be spent to acquire land in an effort to keep the tournament from moving to China. The proposed increase in the admission tax will enable the City to be repaid for its financial support of the tournament. Additionally, the proposed admission tax provides a way to diversify City revenues and pay for local public services without having to directly tax residents.
The City Council is seeking authorization to increase the tax from the current 5%up to a maximum of 10%, as needed, to reimburse the City for its financial support of the tennis tournament. The proposed increase has the following effect, for example, on a $20 ticket:
5% (current tax) $20 ticket = $1.00 tax
The proposed admission tax is fair, reasonable and necessary to keep the tennis tournament. It provides diversified and stable future City income, funding for local public services and improvements, and is not a tax burden to local residents. VOTE YES on the admission tax.
Conrad Negron, Sr.,
Robert A. Bernheimer,
Mary T. Roche,
(No arguments against Measure H were submitted)