Council Supports Intelligence Partnership Against Black Market Economy

The showed its unanimous support for state senate bill 1185 during last meeting. This bill would help create a statewide network of intelligence to better combat California’s underground economy.  The latter of which is estimated cost 7 billion dollars in revenue to the state of California.

“Legitimate businesses have their business licenses and pay their taxes, but we have we few [businesses] who do not participate at all,” said South Gate Mayor Bill De Witt. “We have a number of business who have not paid their taxes.” 

Virginia Johnson, was the only resident of South Gate who spoke about this decision, expressing her concern over the efficiency of the bill and the cost that it could have.  

“It appears to me this is another commission that will take more tax dollars,” said Johnson. “Since we already have laws, why are we doing this?”

The mayor insisted that a tax increase would not be the case if this bill is approved.

“This is something that does not create any additional tax,” said De Witt.” [Instead,] it may involve more work from agencies to try and get their act together.”

The more work for the agencies and departments familiar with black market economies will come in the form of being expected to share their knowledge with one another.

 “Everybody has a little information, but they are not sharing it,” explained l, city manager of South Gate. “This will create a network to share this information.” 

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