Good Neighbors – Letter to the El Segundo Herald by Chris Powell

The following letter to the editor was published in the El Segundo Herald newspaper (HeraldPublications.com) on Thursday, January 5, 2012 in the Letters section on page 2. The El Segundo Herald has a strict 250-word limit, including the title.


Good Neighbors

Many who work closely with the City on fiscal issues were surprised when a proposed tax increase on Chevron showed up on the Council’s agenda with no warning.

Considering the Council just balanced the city budget for the first time in ten years, a multimillion dollar tax increase is not something you’d expect to come up. What happened? Do they view Chevron as a convenient target because of its enormous investment in our community? Whatever the reason, this matter hasn’t been given sufficient thought.

Refiners are leaving the U.S. because of escalating costs. If this new tax causes Chevron to scale back its operations here, the City will lose revenue at the expense of other businesses and citizens alike. And the company couldn’t be faulted if this added cost forced them to reduce their substantial support of our schools and charities.

Chevron has always been willing to pay its fair share and to work with the City when the need for more revenue arises. Why the Council failed to constructively engage the company in such a discussion this time around is perplexing, and could cost our community not only revenue, but a very valuable long-term good neighbor relationship.

Local voters have rejected previous tax proposals that were rushed to the ballot, like the utility users tax, even when endorsed by our business community. If the City doesn’t take sufficient time to assess the impacts and present a solid case to voters, this latest tax scheme will deservedly meet the same fate.

Chris Powell

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