The City Council has preliminarily approved a $116.7 million budget for this year that includes an increase in the telecommunications tax and new ambulance fees for residents.
The tax increase was approved Monday on a 5-4 vote, with Mayor Tony Arredia breaking the tie. Arredia said that even with the increase–to 3 percent from 1 percent–the telecommunications tax was lower than in many suburbs. The increase would generate an extra $250,000 this year and nearly $1 million in 2008, officials said.
Residents’ new ambulance fees would start at $400 and jump to more than $500 for advanced life-support services. Non-residents pay $450 for ambulance calls.
The new fees are expected to generate at least $600,000 this year and about $1 million in 2008, the first full year in which they will be collected.
Ald. Carla Brookman said the ambulance fees would be a financial burden to residents, especially those without health insurance. But Ald. Laura Murphy said rising health-care costs must be offset.
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The budget and the new ambulance fees come back to the council for final approval March 19.