Politics & Government

Clear Channel Argues Against Billboard Tax

Company tells City Council committee it may have to stop doing public service announcements if it passes.

Representatives from Clear Channel Outdoor, which owns 95 percent of the outdoor ads in Baltimore, argued a tax on billboards was discriminatory against the company and could prevent it from doing further public service ads.

The bill, which was introduced at the behest of Mayor Stephanie Rawlings-Blake’s administration, was given its first Council hearing on Thursday at City Hall. It calls for a $5 per square foot tax on standard billboards and $15 per square foot tax on electronic billboards.

"We oppose this bill, respectfully we oppose this bill," said Frank Boston, a lobbyist for the company.

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Boston said he applauded the steps the mayor has taken to address a predicted $30 million deficit in the coming fiscal year’s budget and the structural deficit predicted in the 10-year financial plan, but said he doesn’t believe taxing billboards should be part of the solution. 

"This is mainly a tax on one company, Clear Channel, in the whole spectrum of media. We have TV, radio, newspaper this is a tax on billboards," Boston said.

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Andrew Kleine, Baltimore’s budget director, said if approved the billboard tax would bring $1 million in revenue during the coming fiscal year, and $1.7 million the next. He said that if the billboard tax is not approved, it could mean cuts in funding to the Maryland Zoo in Baltimore, the Walters Art Museum and to the Baltimore Office for the Promotion of the Arts.

Steve Ginsburg,  general manager of the local Clear Channel Outdoor office, said the company already is paying $600,000 in property taxes annually to the city, and also criticized the bill for charging a higher tax on electronic ads.  

"This bill taxes new technology at a higher rate. What message does this send to the business community, as well as businesses looking to move into Baltimore City, that you’re looking to tax new technologies at a higher rate," Ginsburg said.

He also said the company provides many public service announcements on their billboards, such as a recent campaign to remind people they can recycle Styrofoam at the Northwest Sanitation Yard in Remington as well as ads for Waverly Main Street.

"I’m not sure that we’ll be able to continue doing public service advertisements on our billboards if this tax were to go through," Ginsburg said.   

Billboard tax proposals, nearly identical to the one currently proposed, have been submitted twice before by Councilman Bill Henry, but have failed both times.


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