Daily Archives: January 26, 2012

El Segundo making Chevron’s taxes too high

The city manager’s Chevron Shakedown must stop, including efforts to extort large “gifts” of money under threat of a $10 million annual tax hike. The city will suffer long-term damage to its reputation as a good city to locate a business.

Doug Willmore used false premises to construct a deceptive one-sided analysis for the Chevron property, rather than a true cost-versus-benefits analysis. It is unfair and dishonest to compare tax revenues generated per acre by the Chevron refinery with that of other local businesses. Land use in other South Bay cities is mostly residential and not three-quarters commercial/industrial as in El Segundo.

In his one-sided analysis, Willmore ignored the cost for the city to provide and maintain infrastructure and services for residents and businesses that would otherwise exist on the massive Chevron refinery property.

If the refinery never existed, that land would be mostly residential and some commercial. Tax revenues would be much less, and the city would have to provide and maintain infrastructure and services for twice as many residents at great expense that Willmore failed to include in his seriously flawed and biased analysis. … Continue reading →