Sales tax increase approved
Revenues will be used to construct judicial facilities

By John Christian Hopkins
Diné Bureau

WINDOW ROCK — A 1-cent increase in the Navajo Nation's sales tax was approved by the tribal council Wednesday, with the extra money generated to be set aside to build judicial and public safety facilities.

The legislation, sponsored by Kee Allen Begay, had been tabled from a previous session in order to conduct public hearings on the matter. Hearings took place in each of the five agencies, Begay said. Between 30 and 40 people attended each hearing, and KTNN radio did a two-hour special on the issue, allowing listeners to call in and ask questions, Begay said.

"I can't give a percentage, but overall more were in favor," said Begay.

Begay also had resolutions of support from the Chinle, Western and Fort Defiance agencies, as well as some individual chapters.

The Council is well aware of the myriad problems facing judicial and public safety, from dilapidated buildings to a lack of jail space, said Delegate Hope MacDonald-Lonetree.

"This is not the only solution, but it is one of them," she added.

An analysis provided by the Office of Mangement and Budget predicted the penny tax hike would bring in less than $2 million a year; and with the current cost for construction standing at $20 million per facility, it would take a long time to ever complete the project.

"I believe OMB is mistaken in its analysis," said Delegate Lorenzo Curley. He said he believed the 1-cent increase would net closer to $4 million annually.

But Delegate Ervin M. Keeswood Sr. saw little reason to build sparkling, new facilities to jail lawbreakers.

"We can buy you some tents, some beds and a chain link fence," said Keeswood. "That's all you need. The inmates gave up their rights when they decided to violate the law. Let's not put the burden (of supporting them) on grandma and grandpa, who may be living on a fixed income."

Delegate Jerry Bodie asked about the impact on Kayenta Township. The township already has a 5-cent sales tax, adding another penny would cut into the purses of the township's residents, Bodie suggested.

The Nation has an arrangement with Kayenta Township where it does not collect anything from its sales tax, explained Chief Legislative Counsel Ray Etcitty. Also, people who pay the Kayenta Township sales tax get a "credit" toward the sales tax they owe the Nation, Etcitty said. So this legislation would have no impact on the township, he added.

"We have to support this," urged Delegate Kee Yazzie Mann.

Some delegates argued that the new facilities would be completed quicker if the sales tax were increased by two cents.

"I would support one cent," said Delegate Peterson B. Yazzie. "But we have to remember the cost of living for our people. My constituents didn't elect me to dig into their pockets."

An amendment to increase the sales tax by two cents failed, 27-47.

This is an important issue and council needs to consider it carefully but some action must be taken, said Delegate Orlanda Smith-Hodge.

The Public Safety Committee has tried to work with President Joe Shirley Jr. on this issue for the past four years, but has gotten nowhere, said MacDonald-Lonetree.

"We can hold our breath, or we can take the bull by the horns," MacDonald-Lonetree said.

Without question, new facilities are needed, said Delegate Leonard Teller.

"We took an oath to protect and serve the Navajo Nation," Teller said. "This is forward thinking."

Council approved a 1-cent increase in the sales tax by a 67-13 vote. The tax increase takes effect as of July 1.

In other business, an attempt to override Shirley's veto of an appropriations act that would have increased funding for the judicial branch of government failed, 44-35, needing 59 votes for an override.

"Those people that didn't vote for my override didn't want to take a stand to be leaders for the Navajo people," said a disappointed Ernest D. Yazzie Jr., who sponsored the legislation. "So they shouldn't say a damn word when the crime rate rises, just be happy for them because they can't control them like sheep."

John Christian Hopkins can be reached at hopkins1960@hotmail.com or by calling 505-371-5443.