City of El Paso says it's trying make sales taxes more of a budget driver

The Plaza Hotel in Downtown El Paso will begin major renovations in early 2018. Credit: KFOX14 / CBS4

The city's budget is mainly made up of property taxes. But, city staff say the more businesses that come to El Paso, the less dependent the city will be on your tax dollars.

The city's goal is to make more money off sales tax than property tax. Sales tax would come from commercial office space, entertainment like Topgolf and new hotels.

The city has used tax incentives as a carrot to get these major corporations to El Paso. While that means fewer tax dollars coming in at first, the city says it pays off later when these business start paying their full share of property taxes.

"Over the last four to five years, we've see mayor and council get aggressive with economic incentives. But we've seen changes to the airline incentive agreements as well to try to attract more airlines here,” Robert Cortinas of the Office of Budget and Management said. “It's a long-term strategy. It's not going to happen overnight but you should see that gradual shift in time."

Some El Pasoans are all for more coming to their city to help out with their taxes.

"If you don't have an investment it's not going to attract any good jobs,” Gerardo Rodriguez said. “It's not going to attract bigger companies and things like that."

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