New licenses will be required next year for lodgers and those who sell marijuana or liquor.
However, the Durango City Council decided Tuesday night not to increase the business license fees or change the fee structure.
“This is not the year to try and achieve equity within our clerk’s department,” Councilor Dean Brookie said.
He pointed out that the business community also would shoulder much of the burden if property tax increases for Durango School District 9-R, roads and bridges, and the Durango-La Plata County Airport passed.
The city’s fees for business licenses are based on employees, and total fees are capped when a business employs 21 people or more.
The proposal would have increased fees and created five new tiers – levying added fees for businesses with 501 employees or more. The largest employers would pay $320 for a license.
Instead, the most expensive licenses will remain $122.
Councilors Sweetie Marbury and Dick White supported the proposed structure because it would help the clerk’s office cover the expense of licenses and the increases were fairly modest.
Other councilors argued it doesn’t cost the city more to process a license for a company with more employees, and those companies are more likely to be large retailers.
“I don’t want to charge more to the businesses that are collecting money for us,” Councilor Keith Brant said.
White proposed increasing the fees for all the existing tiers by $10, but that proposal was not supported.
Ultimately, Marbury and White voted with the other councilors to introduce fees aimed at a more equitable structure for all.
Alcohol and marijuana sellers in Durango receive their business licenses for free when they pay for or renew specialty licenses.
Next year, they will have to pay for a license, the same as other businesses.
Those with state liquor licenses will have to pay an occupational fee of $500 because they do not pay for local licenses.
Hotels, motels and vacation rental companies will all have to pay $30 annually for a sub-license fee that has been law since 2008, but it has not been enforced.
These new licenses are expected to raise about $15,800.
mshinn@durangoherald.com
