Aurora lawmakers on Monday night decided to keep a promise made to businesses that they would repeal the occupational privilege tax, which taxes businesses for each employee.

The decision came after a series of meetings during which councilmembers went back and forth on the issue and ended up in arguments with each other over whether they should keep the promise, made last year, or go back on it and keep the tax to fund new fire stations. 

The occupational privilege tax collects $4 monthly from companies for each employee. Employers and employees split the dues, paying $2 respectively. The tax began in 1986 to support street maintenance, police and fire services.

In a study session earlier in October, Councilmember Francoise Bergan proposed keeping the occupational privilege tax to fund fire stations in the Blackstone and Southshore areas.

She made the proposal, she said, after hearing concerns from residents about the lack of fire stations in the areas, telling a story about a resident who may have died due to a long response time had a bystander not known CPR.

Councilmembers originally voted to repeal the tax, which generates about $6 million in annual revenue for the city, in January 2023. At the time of the vote, the tax was set to expire in January 2025.

After going back and forth on whether or not to keep this promise to businesses, councilmembers decided Monday night to go forward with the tax repeal — but not without pushback.

Councilmember Alison Coombs called the situation “extremely disappointing,” saying the funds could have been used for fire stations and other needs in a time when the city is under “budgetary restraints.” 

Councilmembers voted to keep the repeal with three ‘no’ votes from Coombs, Curtis Gardner and Crystal Murillo.

Councilmember Danielle Jurinsky originally proposed repealing the tax, which she said is “essentially a head tax on businesses and workers in Aurora.”

Jurinsky, who is a business owner, earlier said the occupational privilege tax puts an unfair burden on small businesses.

But the fire stations are “sorely needed,” Councilmember Gardner has said, and “won’t be built but for this tax staying in place.”

Councilmember Murillo has also expressed her support for the tax, saying she is “not comfortable” with the alternative that Jurinsky proposed of finding other ways to cut funding.

On Monday night, Councilmember Stephanie Hancock said they need to find ways to fund the fire stations, but keeping the council’s promise to businesses of repealing the tax was also important. She voted to keep the tax repeal.

Aurora Chamber of Commerce President Naomi Colwell told the Denver Gazette Tuesday that the Chamber is not surprised by the council’s action Monday night.

Repealing the tax will be beneficial to Aurora businesses, Colwell said. 

“While it may seem like a small price to pay, we have found small businesses end up paying $200 for a bookkeeper/accountant to file for a $56 fee for the year,” Colwell said. “Our larger businesses will benefit significantly and will commit those funds saved to invest back into their employees and the community.”