Kerr: The BPOL debate continues

The Business and Professional Licensing Tax, known as the BPOL, was approved by the Stafford County Board of Supervisors last year. It follows an example set by Fairfax, Prince William and Spotsylvania counties. It requires businesses of all kinds, ones with store fronts, as well as those run out of the garage, to register and pay a tax on their revenues. The vote on this new tax was one of the most heated debates the county board of supervisors has had in years and it’s still raging.

The advocates for the tax, contrary to the way some have characterized them, aren’t a bunch of big government, tax them until they drop, liberals. They were actually trying to give the county another source of revenue besides property taxes. In other words, the idea was to give the bulk of us, the ones who write that tax bill twice a year, a little bit of a break.

However, though the new tax was approved, it had an unintended consequence. The debate, which is till ongoing, has energized entirely new group of voters in the county. Stafford is home to hundreds, if not thousands, of small enterprises. They include crafters, pet sitters, carpenters, designers, financial experts, import/exporters and government consultants. Before BPOL they paid taxes to the state and federal government, but Stafford left them alone. Now they have to register with the county and pay a tax based on their revenues. The tax isn’t large, but these days, even a little bit can seem like a lot, and this group of voters, once apolitical, is now agitated and anxious to back any candidate who wants to repeal the tax.

The democrats, for their part, when they passed the legislation, made one serious political mistake. Instead of having the tax take it effect right away — which after people realized it wasn’t all that onerous, might have cooled some its opponents — chose instead to have it take effect in 2010. This gave the tax’s opponents the perfect rallying cry for this year’s board of supervisors’ races. Change the makeup of the board of supervisors and we’ll get rid of the tax.

However, nothing is ever quite that easy. Since the tax was created, and it’s projected it will generate roughly $4 million a year, it’s already been tagged as a revenue stream to help the county budget. This includes the transportation bonds the county will be floating to help improve our ailing road structure. This bond issue was approved by the voters of the county in 2008. Now the question is, if you lose BPOL because a new board repeals it, where are you going to get the money? With the county budget as tight as it’s been in years that is a tough question. So, when a cheery candidate for the board of supervisors shows up on your door step promising to repeal the tax, it might be a good idea to put that question to them and see what they say.

David S. Kerr is a former member of the Stafford County School Board. Reach him at info@staffordcountysun.com.