When the UUT first was announced, the City posted information on its own website to explain what would be covered.

Here is what the July 2010 "Utility Users Tax Proposal for November 2nd Ballot Measure" said:

"The UUT would cover all communications (including long distance telephone and cellular phone and data services), cable TV, gas, electric, water and sewer services, and increase the rate to 1.5%.  Garbage collection and satellite TV services are unaffected."

But recently, changes have been made to the list of services that would be taxed. The text in red above does not appear in the new description provided by the City. The September 30, 2010 version states:

"The UUT would cover all communications, cable TV, gas, electric, water and sewer services, and increase the rate to 1.5%.  Garbage collection, internet, and satellite TV services are unaffected."

As you can see, the City dropped the description of the types of communications the new UUT would cover (presumably ones the existing UUT does not).  Even more interesting is the fact that the City has suddenly added "internet" to the services that are "unaffected."  Does this mean internet won't be taxed or does this mean internet has been taxed all along?

All of this began when residents started looking at their utility bills to see what taxes they are currently paying. To their surprise, their cell phone bills contain a tax described as "Utility Users Tax"! So does this mean that the City is already taxing something they said would be a service to be taxed under the new plan? How did that happen? We would like the City to explain to everyone what taxes they are currently collecting and what would be added were "T" to pass. It looks as if the City itself is unclear about the taxes they are collecting! 
 


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