New York City residents can expect to pay higher taxes and fees under a proposal that will give electricians the ability to work in the city for a year.
The City Council voted 8-1 Wednesday to authorize the issuance of a new tax break for electricians, which will be paid for by levying a new fee on electric companies.
The fee will be set at $2,000 per year for the first four years of the electrician’s license.
The new fee would cover the first two years of a license, plus $1,000 for the third and fourth years.
The ordinance allows the city to raise the fee by up to 50% if there is an increase in the rate of inflation, but it doesn’t specify how much the new fee should be.
A study by the City Council’s budget committee found that electricians earn $20,000 annually and spend $1.2 million in taxes on electric power.
The study also estimated that a 1.5% increase in electric company revenue could generate $1 billion in new revenue for the city.
The council is expected to pass the ordinance in a closed-door meeting next month.
It is one of several bills being considered by the council that would increase taxes for electric and natural gas companies, as well as increase property taxes.