Mail Tribune - High court to decide on J'ville safety surcharge - November 15, 2006

Mail Tribune (Medford, OR — Wayback)

2006-11-15

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http://www.omniture.com --> Sections Home Page Local News AP News Archives Business Classifieds Event Calendar Forums Life Opinion Obituaries Photo Gallery Readers Photo Gallery Sports Tempo Weather Special Coverage 2006 Britt Festivals --> Shop Our Valley AutoFinder HomeFinder JobFinder Search Our Valley Special Sections Readers' Choice Homelife Magazine Joy Magazine Neighborhoods Employment Guide Oregon Golf Info Oregon Wine Info Other Publications Local Links Ashland News eSouthernOregon Newspapers In Education Personals Moving Here Movie Listings TV Listings Volunteer Customer Service Advertise With Us Media Kit Place Classified Ad Contact Us FAQ's Home Delivery Site Map  --> Email Story to a Friend November 15, 2006 High court to decide on J'ville safety surcharge By Sanne Specht Mail Tribune JACKSONVILLE — The legal battle between the city and some of its residents has made its way to the state Supreme Court. The dispute centers on the city's efforts to collect a controversial public safety surcharge. Ten Jacksonville residents say the $15 monthly surcharge is an unapproved property tax and therefore illegal under the Oregon Constitution. City leaders say the surcharge is a legal funding source for the city's public safety departments. City Attorney Kurt Knudsen on Nov. 2 defended the city before the Oregon Supreme Court in an appeal attempt filed by the plaintiffs' attorney, Karen Williams of Portland's Lane Powell PC. "We asked the Supreme Court to find that the original surcharge was a tax under Measure 50 — and that the amended surcharge is a tax under Measure 5 and Measure 50," Williams said. Williams filed the Supreme Court appeal after the residents failed to prevail in a July 2005 Oregon Tax Court judgment. Williams hopes her clients' case will prevail. Although the Tax Court ruled in the city's favor in three legal arguments, the court also ruled the surcharge was originally implemented as a property tax, Williams said. Advertisement The Tax Court also ordered the city to refund plaintiffs their portion of $80,000 collected in the five months before the city changed the fee's regulatory language, she added. The city has collected $470,000 in surcharge fees since its implementation, said City Administrator Paul Wyntergreen. The money will continue to be held in an account while the court challenges play out, he added. Wyntergreen said Knudsen "felt good" about the city's chances of facing down the appeal based on what he witnessed in court last week. "He said the more intensive questioning focused on the opposition party and not on us," said Wyntergreen. However, the wheels of justice grind slowly, Wintergreen said. "The court could take up to six months to render a final decision," he said. Williams declined to speculate on the outcome, but said "the court was very engaged, they had a lot of questions for both attorneys." "They were focusing on whether Jacksonville's public safety surcharge should be defined as a property tax," said Williams. City officials agreed to stop collecting the controversial public safety surcharge after voters OK'd a property tax in November 2004. The annual fire department levy was proposed as an interim funding source and structured to raise $230,000 annually. The levy funds are needed to cover the potential loss of revenue should the surcharge be permanently struck down by the courts, Wyntergreen said. The levy imposes a property tax of $1.06 per $1,000 of assessed value on Jacksonville properties, he said. That amounts to $265 for the owner of a $250,000 home. Wyntergreen thinks the city will ultimately prevail. If so, the surcharge ordinance will be reinstated, he said. But that would not occur until the levy cycles through to another July 1 start date, he added. Reach reporter Sanne Specht at 776-4497 or at [email protected] Would you like to respond to this story? If so Click Here to visit our forums. Advertisement Copyright © 1997-2006 Mail Tribune, Inc. All rights reserved. Privacy Policy | Terms & Conditions | Website Feedback online casinos news Home Security Systems Online Casino Reviews Men's Clothing Fundraisers UK Homeowner Loans Discount Hotel Reservations Send Flowers Casinos Canada Texas Electric Choice Compare Electric rates in Texas Windermere Van Vleet Trunks, Footlocker Online poker at AbsolutePoker.com