As they cast their ballots in a new swing state, Durham County citizens will also decide the fate of the prepared-food tax referendum Nov. 4. If passed, the 1 percent tax will primarily fund civic and cultural amenities.
"The tax is minimal in terms of what the rewards would be," Durham Mayor Bill Bell said. "There's nothing in this program that at some point in time someone won't be able to make use of.... All of those things are things, in my opinion, that improve the quality of life and are usable by all persons in this community." The referendum, which must be approved by more than 51 percent of voters to pass, will tax all prepared foods such as restaurant and catered meals.
County Commissioners Chair Ellen Reckhow said the tax would not apply to restaurants on campus that are already exempt from sales tax when students pay with a DukeCard. If a student pays with cash or a debit card, however, the new tax will apply.
None of the students interviewed for this article were aware of the proposed tax, but most opposed the tax, citing the current economic turmoil and the tax's potential impact on low-income families forced to dine out frequently.
"I think [cultural amenities are important] to fund, but I don't know if this is the way to do it," senior Esi Waters said. "You're charging people to pay for something they're probably not even going to benefit from."
But freshman Stephen Gettliffe-a Durham native-said he would support the tax, though he was not previously aware of it. He said it would improve Durham's cultural development and diversify what cultural services the city has to offer.
Local restaurants such as Cinelli's, Devine's, The Oyster Bar and Elmo's Diner, however, do not support the tax. Cammie Brantley, general manager of Elmo's, said the timing of the tax does not make sense economically.
"It's just not a good time for this tax. The economy is hurting, especially the restaurant industry," she said, adding that she might support the tax under different circumstances.
Though Reckhow said the tax might be coming at a bad time, she said the legislation mandated that the tax appear on the Nov. 4 ballot. The county has discussed the tax since Wake County implemented it nearly 15 years ago, but the legislature only approved a referendum last session, Reckhow said.
Other opponents to the tax, like Dallas Woodhouse, state director for economic advocacy group Americans for Prosperity, said the proposal is "a tax on a necessity to fund luxury." Woodhouse added that the tax is particularly wrong for Durham because the large student and minority populations would disproportionately bear the financial burden.
Yet Reckhow said because dining out is discretionary, those whom the tax might negatively affect could make simple changes in spending to negate its impact. According to the Durham County Government Web site, the average household would spend an estimated $20 per year due to the tax.
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