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Ephrata vendor asks council to repeal portion of local gambling tax, says levy eats 17% of his net
Summary
At a council meeting a petitioner, Rod Peters, presented a petition seeking repeal of part of the city’s gambling/vendor tax, saying the levy—assessed on gross receipts—reduced his profit by roughly 17% and is forcing small vendors to subsidize operations. Council members queried tax rates and statutory definitions; no formal council action on the petition was recorded.
Rod Peters, who introduced himself to the council as the petitioner on a newly added public agenda item, urged the City of Ephrata to repeal a portion of the local gambling/vendor tax, saying it is assessed on gross receipts and imposes a heavy burden on in‑city vendors.
“This represents 17% of my net,” Peters told the council as he held up a fourth‑quarter tax statement and described paying $2,004.68 in the quarter. He said the tax is applied to gross receipts—rather than net revenue—making it disproportionately costly for small operators and contributing to business closures in town.
Council members and staff asked technical questions about collection and legal definitions. One council member asked whether the city is using the Revised Code of Washington (RCW) definition of gross receipts; Peters offered to provide an economist who could quote the RCW definition. Other council members sought clarity on whether the rate is 1% or 1.5% of gross receipts and whether the tax yields sufficient revenue to justify administrative burden.
The petitioner characterized the tax as unfair and urged the city to consider relief to help small businesses survive. The council thanked Peters for presenting the petition and moved on to the consent agenda; no vote or formal referral on the petition was recorded in the transcript.
What happens next: The petition was added to the public agenda and heard during public comment. The transcript records questions from council members about legal definitions and rates but does not record a council decision or vote on the petition; further council consideration or referral to staff appears to be the next step.
