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Roanoke Rapids business owners shared their views on a proposed 1 cent sales tax increase with city staff and council members Friday.

Business owners understand why the city is seeking legislative approval for a referendum on the matter but also believe the city has to explore reducing expenditures.

“We understand the city needs to raise money,” said Al Eatman of Lloyd’s Decorating. “One cent is well above anybody in the state.”

As sales tax revenue increases, something Eatman has seen at his business, he believes, if imposed, the city will make well beyond the projected $1.2 million to $1.7 million the proposal could bring.

Coupled with the highest school tax in the state, Eatman said, “Putting an entire 1 cent on a referendum is too much.”

Mayor Emery Doughtie, who is a business owner, said the challenge is to overcome the city’s enormous theater debt. “We had no direct say in that. We’re committed to bring the city back so it can purchase a fire truck or put a roof on the library.”

The theater debt is not the city’s only debt, Doughtie said. There was no referendum on Fire Station 2 on Highway 125 and that is $90,000. That was just after the theater was built.

The mayor said he knows the debt has caused pain for sone. “Some more than others because of poor decisions made.”

Doughtie said if the sales tax is imposed if approved by voters in the city limits, people, “Have the option to purchase goods in another market. It can be a temporary tax. When the debt is relieved the tax can come off and the (property) tax rate can possibly be reduced.”

City Manager Paul Sabiston told the business people the city believes it can get by this year. He believes the city can handle between $200,000 to $400,000 a year in debt. “This year it looks like we can pay the bills without capital improvements.”

Barry Wilson, of New Republic, said the city needs to look at things like the Canal Trail and Aquatic Center. “We lived pretty good in the 60s and 70s. We didn’t have as many things as we do now.”

Wilson said the Aquatic Center needs to be evaluated. “We’re running out of business owners in Roanoke Rapids. When you lose private business owners you lose your leaders. A tax increase is an assault against the business owners.”

Scott Aman, of New Dixie, said one of the disturbing things about the county’s recently approved quarter cent sales tax, which has not been imposed, was, “You didn’t see a ballot you could check for cutting expenses. It was like we’re going to jam you one way or anther.”

Aman sees people go to Virginia to save 15 cents on gas. “It’s all because of the state gas tax. People are really skipping the state of North Carolina because of gas taxes.”

Wilson also discussed the school tax. “They get the same amount of money as in Wake County. They had so much money they could buy the Patterson Mill.”

Wilson said the city may have to consider cuts and the city should consider fees for the school using the Aquatic Center.

“The Aquatic Center is losing $143,000 a year,” Eatman said. “The Canal Museum is losing $75,000.”

State Representative Michael Wray attended the meeting and said afterward the matter would be discussed by the local legislative delegation and if any of them disagree it won’t move forward.

Doughtie said he hopes legislators will not view the matter on a partisan level. “I know Republicans are mostly against increases in taxes. I’m hoping they’ll look at this as an individual issue and not a political issue.”