May 20, 2010

Montgomery Council taxes hurt the poor

ROCKVILLE, Md. - The Montgomery County Council, in an effort to close a projected budget gap, has voted to cut spending on schools and raise some taxes. Spending on the public school system, previously a sacred cow, will be cut by about $163 million next fiscal year. Teachers and other county employees will forgo raises. Most departmental budgets will be cut. Council members concluded that the budget reductions were not enough to close the gap. So the tax on cell phone service will rise from $2 a month to $3.50 a month. The local tax on power consumption will go up for homes and businesses. The average homeowner will pay about $6 a month more. And the Mirant power plant in Dickerson will face a new carbon tax.

After a seven-year fight, Montgomery County will impose ambulance fees. After July 1, expect to receive a bill for $400 for basic transportation by ambulance. The fee for advanced life support transport could be $800. Insurance companies are expected to pay in most instances. School board members, who previously threatened to sue if the cuts were more drastic than County Executive Ike Leggett recommended, have decided to live with the cuts. Leadership in the volunteer fire/rescue community may not be so accommodating. There is serious talk about using a referendum to allow voters in Montgomery County to decide whether to keep or to kill the ambulance fees. SOURCE: My FOX

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