Daily Independent (Ashland, KY)

April 15, 2009

Raceland board approves tax

By TIM PRESTON / The Independent

RACELAND — A Raceland police officer ordered everyone out of the lobby of the city’s community building Tuesday evening after an argument between a city council member and a railroad worker escalated to the threat of a fistfight following the city’s approval of a 1 percent payroll tax.



Most of the crowd of more than 100 had left the building and were discussing the city’s new payroll tax when the argument was heard from within.

Council members had called the meeting into an executive session following the payroll tax vote and were attempting to conduct the private portion of the meeting when words were exchanged between Councilman Mike Wilson and Woody Lane, a spokesman for many of those present to protest the proposed tax on behalf of CSX and Progress Rail. Another unidentified man, believed to also be a railroad worker, was restrained and left the lobby before the uniformed officer commanded, “Everybody out! Now! Go!”

The standing-room-only crowd made its feelings about the proposed payroll tax quite clear with a protest march of more than 100 walking together to the meeting hall. Many carried signs with slogans including, “Times are tough Don’t make them tougher!!!” and “Please don’t take my lunch money!!!”

Mayor Don McKee allowed the crowd 15 minutes for comments and questions, and had to use his gavel to call order several times before the allotted time had passed. Audience members questioned council members’ own participation in the payroll tax, the purpose of the tax and perceived impact of the tax on the city’s schools and students. Some sought assurance the payroll tax would not be increased if it fails to produce the revenue city leaders seek.

Diana Prater asked city officials to contact the league of cities for guidance about constructing and maintaining a budget, and requested elected officials seek alternate sources of revenue instead of the payroll tax.

“I can see both sides of the fence,” said Carla Miller, owner of Paradise Pools, as she discussed city problems that need to be addressed, including the accumulation of sewage gas in her business. Miller said she is distinctly concerned about plans to boycott businesses in Raceland in retaliation for the payroll tax and asked for assurances the tax money will be used to help the city’s property and business owners.

Councilman John Rowe made a motion to approve a 1 percent payroll tax, cutting the original 2 percent proposed rate, and was immediately criticized by the collective audience. Members of the crowd repeated “NO! NO! NO!” “Shame on you!” and “That is ugly” before the motion could receive a second from Wilson. Council member Joyce Potter cast the only vote in opposition to the 1 percent payroll tax.

TIM PRESTON can be reached at tpreston@dailyindependent.com or (606) 326-2651.