Higher taxes will be on the table as the City of Omaha begins its 2011 budget debate next week.
Mayor Jim Suttle is certain to propose at least one new or increased tax when he unveils his proposed city budget at Tuesday's City Council meeting.
And the tax burden could fall on more than just Omaha residents — the changes may affect anyone who works in the city, dines at a local restaurant or visits the zoo.
In an interview with The World-Herald, Suttle said Omaha needs to raise more tax revenue in order to keep providing basic city services such as police protection, parks and libraries.
“We need to face the music to maintain our quality of life,” Suttle said. “We want services, and we want the police to be there to protect public safety.”
The mayor is looking at the possibility of higher property taxes, a new entertainment tax or an occupation tax on Omaha workers and their employers. He also is considering an increase in the wheel tax to pay for street improvements.
Suttle declined to say which tax hike he will propose, calling the decision “a dead heat.” He did not rule out the possibility of more than one new tax.
“We need to explore all the revenue options,” he said.
Spending cuts alone can't solve the city's budget problems, Suttle said. The public doesn't want to see services eliminated, he said, noting strong opposition last year to his efforts to ground the police helicopter and close pools and libraries.
In addition, the mayor said, few of the reductions he could propose would make a major dent in the projected $21 million shortfall for 2011 — let alone cover an additional $13.5 million to help shore up the city's police and fire pension fund.
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