At the risk of churning up even more debate on the stadium issue I simply
wanted to chime in on one point.

It is outrageous and insulting that the County plan proposes to, once again,
put extra tax on those of us (nearly 25,000 strong) who live in the downtown
neighborhoods who want to eat and drink in our own neighborhoods.  Ask the
Band Box Diner in the Elliot Park neighborhood, Ruby's Cafe in the Loring
Park neighborhood, and all of the downtown restaurants from Chessen's to
Eli's that are not directly adjacent to the Convention Center how much
business they see from conventioneers? Does it outweigh the lost business
from downtown residents who would dine out more if they weren't targeted to
pay the extra sales tax simply by going to the bar or cafe in their own
building or on the corner? Likewise, restaurants not adjacent to a potential
Warehouse District stadium  will not benefit from the increased business the
Twins might provide yet it could be a tax that keeps their residential
neighbors/customers away. 

Downtown Minneapolis has more residents than downtown Denver, downtown
Detroit, and downtown Dallas combined, and yet most of the restaurants
designed to serve the 175,000 downtown workers, especially those in the
skyway system, are not even open after 3:00 PM during the week and they are
certainty not open on the weekends. What is left in their own neighborhood
for downtown residents to enjoy are the cafe's, steak houses, bistros, and
sports bars that already have a higher tax bill than similar restaurants in
the suburbs and the rest of the City because of the Convention Center sales
tax. 

Economic choices which drive policy decisions such as taxing restaurants and
bars throughout the downtown but not everywhere else in the City, County or
region will have the effect of making our downtown less friendly to
residents, workers and visitors all at once.  Restaurants and bars have
livened up Nicollet Mall.  Creating an inequity in the tax structure of this
proposed magnitude will not make it easier to attract more small businesses
and restaurants to our downtown area.  The difference in sales tax between
downtown St. Paul and downtown Minneapolis could be in excess of 5% if this
foolish idea is adopted.

To clarify questions about sales tax levied in the City of Minneapolis:
  
1.      All restaurants and bars serving liquor pay 6.5% to the State of
Minnesota.
2.      Both Minneapolis and St. Paul then levy an extra � cent on
restaurants and bars as well as theatre, lodging and other retailers that
the suburbs do not.
3.      Downtown Minneapolis restaurants and bars levy an additional 3% for
the convention center ( used for debt reduction on arguably what is a
Statewide resource).
4.      The City of Minneapolis collects an additional 3% entertainment tax
on restaurants w/live entertainment, liquor, lodging and theatre.

The current totals add up to the following:

Minneapolis restaurants:                                        7%
Sidney's, Birchwood Cafe, Jax etc.
Minneapolis restaurants w/ live entertainment                   10%
Famous Dave's, Dixie's, etc.

Downtown restaurants                                            10%
The Local, Little Wagon etc.
Downtown restaurants w/live entertainment                       13%
MPLS Cafe, Loring Cafe etc.

Liquor in Bars & restaurants                                    9.5%

Liquor in Bars & restaurants w/live entertainment
12.5%

Downtown Liquor in Bars & restaurants                           12.5%
Downtown Liquor in Bars and restaurants w/entertainment 15.5%   

I have not been a supporter of a new stadium for a business that has yet to
address the need for its own reform.  The Hennepin County Plan as well as
some of the others do not address the issue of reform of Major League
Baseball - that problem has been ignored in the debate this time around.

A stadium plan which counts on user fees from people who benefit from the
stadium I might have been able to support.  This latest plan moves in the
opposite direction.  The one advantage, other than the site, of the
Minneapolis stadium plan was that unlike St. Paul's plan it did not consider
tax increases targeted at several neighborhoods in the City to fund the
local government portion of the equation.  Now that the Hennepin County plan
includes a downtown Minneapolis tax increase on food and beverages, it has
made my decision a whole lot easier.

Lisa Goodman
Loring Park



_______________________________________
Minneapolis Issues Forum - A Civil City Civic Discussion - Mn E-Democracy
Post messages to: [EMAIL PROTECTED]
Subscribe, Unsubscribe, Digest option, and more:
http://e-democracy.org/mpls

Reply via email to