A new recreational marijuana tax and a measure to allow the city to lease out Internet infrastructure to private companies could be on Durango ballots in November.
But the City Council is looking to hear from Durangoans on both issues Tuesday before putting them to a vote.
The city is examining a special 5 percent sales tax on recreational marijuana to help fund upgrades to city buildings that can’t be funded with existing revenue streams, said Sherri Dugdale, an assistant to the city manager.
“We have to look at a new source of revenue,” she said.
The buildings that likely need to be replaced or remodeled include the Durango Police Station, the General Services Building, the Carnegie Building, City Hall and River City Hall.
The police department is the highest priority for the city because it is too small and dated.
“I would love to see the police department moved,” said Councilor Sweetie Marbury.
A different location could give police officers room to park their vehicles off the street, and it would allow the current building on East Second Avenue to be converted into a business.
Right now, the city is polling residents on whether they would prefer raising property taxes, sales taxes or instating a special sales tax on marijuana to fund construction. But there are no estimates available yet about how much construction could cost.
“I think we would expect of those three choices, marijuana would test better with voters than the other two,” Dugdale said.
In addition to funding building construction and remodels, the city is also looking at what purpose the tax’s revenue would fund when those building projects are finished.
The City Manager Ron LeBlanc recently encouraged the councilors to consider not restricting the funds for specific purposes so it could give future city leaders flexibility to use the money as needed.
But Marbury believes the money should be earmarked to some degree.
“I am a believer in knowing about where the possible tax money might go,” she said.
For example, Marbury suggested the tax’s revenue could be used to fund the trolley and help eliminate the new $1 fare instituted in January.
“I think a free trolley enhances transportation for our citizens,” she said.
But she predicted the issue would attract a full-house during the public hearing, including plenty of opposition from the marijuana industry.
There’s still plenty of time left to revise the percentage of the new tax or abandon the ballot question, she said.
“I’m here to listen,” she said.
The city is also seeking feedback on a proposed ballot measure that would allow the city to lease infrastructure to private communication companies.
Right now, the city has more Internet fiber and conduit than it needs, and it would prefer the ability to lease it out. But a 2005 state law currently prevents this kind of agreement
The law requires residents of individual municipalities to opt out of the law by a vote.
“It’s a no-brainer,” Marbury said.
If residents allow the city to opt out of the restrictions, the city would have the ability to provide communication services, like broadband Internet, or cable services directly. But the city has no plans to create a new utility, according to city documents.
The public hearing on these two potential ballot questions will be held at 6:30 p.m. Tuesday at City Hall, 949 East Second Avenue.
mshinn@durangoherald.com
