The Daily Collegian Officials disagree on changes to sales tax By Brendan McNally COLLEGIAN STAFF WRITER Local leaders have mixed feel ings on a proposed tax that could have Penn State students paving more for everything from candy to legal fees. The tax. which Gov. Ed Rendell proposed Tuesday to replace expiring federal stimulus hinds, would lower the state sales tax from 6 to 4 percent and broaden it to include 74 items that are cur rently exempt. Rendell wants to tax candy and gum, newspapers and magazines, caskets, dry cleaning and profes sional service fees in order to cover a projected $2.3 billion budg et shortfall for the fiscal vear 2011, Manssa Gutherz Co^egian Locals watch as construction workers set up for the Central Pennsylvania Festival of the Arts on Allen Street in 2009. In a State College Transportation Commission meeting Tuesday, the possibility of converting the 100 block of Allen Street into a pedestrian mall, as is done annual ly for Arts Fest. resurfaced. The council also discussed making other streets such as Burrowes, Fraser and Pugh one way. Businesses welcome street proposal By Nathan Pipenberg COLLEGIAN STAFF WRITER Some Allen Street business owners said they would support plans to make select downtown streets one way even if it means removing some on-street parking. One day after officials met to discuss making some downtown streets one way and converting the 100 block of Allen Street into a pedestrian mall, managers at McLanahan's Downtown Market. 116 S. Allen St., and Appalachian Outdoors, 123 S. Alien St., said they would welcome plans that would increase foot and bicycle traffic in front of their stores. Justin Penfield. an assistant manager at Appalachian Outdoors, said w’hile lie couldn't 1215 Nor th Ather ton St. 814.861.5540 OPEN UNTIL 2AM! press secretary Gary Tfima said. He said the changes would both raise revenue and make the sales tax fairer. "It's a matter of fairness,” he said. "Right now everyone is pay ing 6 percent, but a lot of special interests have succeeded in get ting special exemptions into the tax code." Tuma said that goods and serv ices usually consumed by upper income people have remained exempt from the sales tax, placing a greater burden on lower-income consumers. Investment gold bul lion. helicopters and legal and accounting fees are a few exempt items that help upper-income con sumers more than anyone else, he said. speak for owner Geoff Brugler. he personally felt the best option would be to turn the 100 block of Allen Street into a pedestrian mall by closing the street. He said the Central Pennsylvania Festival of the Arts shows shutting down the block can work well. "Most of our customers don’t actually park in the spots in front of our store." Penfield said. "I'd like to see it be exactly how it is during Arts Fest all the time." Brugler could not be reached for comment. Karlen Jovanis. a manager at McLanahan's, said she didn't think the loss of on-street parking would affect business. ‘[McLanahan's! isn't really a store that people drive to," she said. The idea resurfaced at YOU CALL WE DELIVER! EVERY DAY 4PM-10PM Call 814-861-5540 Full Menu Available For Delivery $2 Delivery Charge $l5 Minimum Order I ss OFFS2O ) I Food Purchase Valid on T.G.I. Friday’s State College delivery orders only. | I One coupon per order. Not valid with any other promotions or discounts including 3 Course. Tax and gratuity not included. Expires 2 28 10. Call or Order From StateCollege.com LionMenus.com View Full Menu @ www.fridays.com THURSDAY FEB. 11 AT 7:OOPM if NATIONAL GIRL/WOMEN IN +FANS CAN RECEIVE A BLINKING SPORT DA/ SHAKER AT THE GATES THON SAAB GAME: ALL STUDENT TICKET * p NC £££ MEMBERS CAN SALES WILL BE DONATED TO THON BY m PURCHASE 2 ADULT THE STUDENT ATHLETE ADVISORY BOARD TICKETS FOR $ 16! State Sen. Jake Corman, R- Centre. could not disagree more. "It's not just higher-end servic es," he said. "It's across the board it's a $1 billion tax increase." He said he would not support changes in the sales tax or an increase in the income tax. espe cially during a recession. Tuma said the sales tax changes are necessary to raise funds for a projected shortfall in 2011. He said the state is receiving $2.8 billion in federal stimulus funds this year that it will not receive next year. "If there is no stimulus money next year, there is a $2.8 billion hole we need to fill," he said. Tuma said additional revenue raised by the change in the sales Tuesday's State College Transportation Commission meeting, when members dis cussed plans to change up to six streets Burrowes. Fraser. Allen, Pugh. Heister and Garner streets. Mayor Elizabeth Goreham and Transportation Commission member Paul Jovanis agree that trial runs shutting down the 100 block of Allen Street could deter mine whether a pedestrian mall is feasible. Goreham suggested keeping the block closed for up to a week after Arts Fest ends. Borough officials still had a lot to discuss at the meeting, includ ing problems with any plan that would create room for bike lanes. Transportation Commission Chairman Rick Hirsch said mak ing changes to parts of Allen Street could affect traffic down to State College Area Only VS* BEAT tax would go to a Stimulus Transition Reserve Flind, which could not legally be tapped into until next year, after Rendell is out of office. State College Mayor Elizabeth Goreham said more questions need to be asked about how the tax will affect the average con sumer. She could support the changes if it took some of the tax burden off the average consumer and put it on higher-income earn ers. she said. "If it spreads out the load, it sounds good." Goreham said. "But if it just lowers taxes in one place and raises them in another, then I don't know." But the tax changes are almost certain to face resistance in the where it intersects with Atherton Street. "What we do to the 100 block could severely impact the blocks south of it," said Hirsch. Jovanis said a big concern of his was backlash against remov ing on-street parking. If Allen Street were to change to one way, on-street parking would be moved to only one side of the street. If one block of the street were to become a pedestrian mall, all on street parking on that block would be lost. That said, he also thinks it could improve Allen Street's appear ance. "If we have the courage to elim inate parking, we could have a better streetscape." Jovanis said. To e-mail reporter: ndpso4s@psu.edu Thursday, Feb. 11, 2010 I 3 Proposed tax ■ Lower the state sales tax from 6 to 4 percent ■ Levy the tax on 74 additional items, including candy and gum, newspapers and maga zines, caskets, dry cleaning, helicopters, gold bullion and professional service fees Republican-controlled Senate, where Republicans favor cutting spending over raising taxes. "I don't think there is much sup port for it in our caucus." Corman said. To e-mail reporter: bwmsl47@psu.edu Hot water in dorms repaired By Matt Scorzafave FOR THE COLLEGIAN Housing is in hot water with some dorm residents. Students living in North Halls have experienced lukewarm water in their bathrooms since Saturday, sparking some hot tempers. Conal Carr, Penn State direc tor of housing, said a failing heat pump is to blame for the lack of hot water in the past few days. Housing employees were noti fied of the issue when water tem peratures began dropping Monday. Officials immediately attempted to resolve the issue with little success. But by Tuesday evening. housing employees were able to rewire the failing heat pump and bring water temperatures up to par. Carr said the heat pump sup plying hot water to North Halls' residents most likely failed due to old age. Mackenzie Kraus, a resident of Leete Hall, and said she received an e-mail from North Halls Housing and Food Services detailing the problem. But that didn't help during her morning routine. "It's freezing outside," Kraus (sophomore-elementary educa tion) said. "And it is difficult to not be able to take a warm show er." While some students showed agitation, others were more understanding. "Housing gets things done quickly I trust their work," Will Woods (sophomore-man agement) said. Samantha Taylor (junior-biol ogy) said she noticed the lack of water last week but found a solution. "Tve taken a few showers at my boyfriend’s." Taylor (junior biology) said.
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