President Donald Trump proclaimed Tuesday that his momentous summit with North Korea's Kim Jong Un had gone "better than anybody could have expected" and announced that the leaders planned a signing ceremony shortly.

President Donald Trump proclaimed Tuesday that his momentous summit with North Korea's Kim Jong Un had gone "better than anybody could have expected" and announced that the leaders planned a signing ceremony shortly.

President Donald Trump proclaimed Tuesday that his momentous summit with North Korea's Kim Jong Un had gone "better than anybody could have expected" and announced that the leaders planned a signing ceremony shortly.

President Donald Trump proclaimed Tuesday that his momentous summit with North Korea's Kim Jong Un had gone "better than anybody could have expected" and announced that the leaders planned a signing ceremony shortly.

President Donald Trump is praising North Korean leader Kim Jong Un as a "very worthy, very smart negotiator" on behalf of his people as the two leaders bid each other farewell after their historic summit

President Donald Trump is praising North Korean leader Kim Jong Un as a "very worthy, very smart negotiator" on behalf of his people as the two leaders bid each other farewell after their historic summit

A new report is describing Dubai's real-estate market as a haven for money launderers, terror financiers and drug traffickers sanctioned by the U.S. in recent years

A new report is describing Dubai's real-estate market as a haven for money launderers, terror financiers and drug traffickers sanctioned by the U.S. in recent years

President Donald Trump and North Korean leader Kim Jong Un have signed a joint document in which they commit to working "toward complete denuclearization of the Korean Peninsula."

President Donald Trump and North Korean leader Kim Jong Un have signed a joint document in which they commit to working "toward complete denuclearization of the Korean Peninsula."

President Donald Trump and North Korean leader Kim Jong Un have signed a joint document in which they commit to working "toward complete denuclearization of the Korean Peninsula."

President Donald Trump and North Korean leader Kim Jong Un have signed a joint document in which they commit to working "toward complete denuclearization of the Korean Peninsula."

The head of the U.N.'s nuclear watchdog is welcoming President Donald Trump's joint statement with North Korean leader Kim Jong Un.

The head of the U.N.'s nuclear watchdog is welcoming President Donald Trump's joint statement with North Korean leader Kim Jong Un.

The head of the U.N.'s nuclear watchdog is welcoming President Donald Trump's joint statement with North Korean leader Kim Jong Un.

The head of the U.N.'s nuclear watchdog is welcoming President Donald Trump's joint statement with North Korean leader Kim Jong Un.

The head of the U.N.'s nuclear watchdog is welcoming President Donald Trump's joint statement with North Korean leader Kim Jong Un.

The head of the U.N.'s nuclear watchdog is welcoming President Donald Trump's joint statement with North Korean leader Kim Jong Un.

President Donald Trump and North Korea's Kim Jong Un conclude an extraordinary nuclear summit Tuesday with the U.S. president pledging "security guarantees" to the North and Kim recommitting to the "complete denuclearization of the Korean Peninsula."

President Donald Trump and North Korea's Kim Jong Un conclude an extraordinary nuclear summit Tuesday with the U.S. president pledging "security guarantees" to the North and Kim recommitting to the "complete denuclearization of the Korean Peninsula."

The U.S. Border Patrol says one of its agents has been wounded in a shooting in southern Arizona near the U.S.-Mexico border.

The U.S. Border Patrol says one of its agents has been wounded in a shooting in southern Arizona near the U.S.-Mexico border.

(AP Photo/Matt York, file). FILE--In this April 10, 2018, file photo, a Customs and Border Patrol agent patrols the international border near Nogales, Ariz. The U.S. Border Patrol says an agent has been wounded in a shooting in southern Arizona near th...

(AP Photo/Matt York, file). FILE--In this April 10, 2018, file photo, a Customs and Border Patrol agent patrols the international border near Nogales, Ariz. The U.S. Border Patrol says an agent has been wounded in a shooting in southern Arizona near th...

Police say a man suspected of battering his girlfriend shot and wounded a police officer before barricading himself inside an apartment with four young children.

Police say a man suspected of battering his girlfriend shot and wounded a police officer before barricading himself inside an apartment with four young children.

A school superintendent in New Jersey charged with public defecation doesn't offer an explanation during a brief court hearing.

A school superintendent in New Jersey charged with public defecation doesn't offer an explanation during a brief court hearing.

For the second straight year, throngs of Oakland fans will get to celebrate the Golden State Warriors with a parade for a team some are calling a basketball dynasty.

For the second straight year, throngs of Oakland fans will get to celebrate the Golden State Warriors with a parade for a team some are calling a basketball dynasty.

(AP Photo/Josh Edelson). Ben Del Fante crowd-surfs as Golden State Warriors fans celebrate outside Oracle Arena in Oakland, Calif., Friday, June 8, 2018. The Warriors defeated the Cleveland Cavaliers 108-85 in Game 4 of the NBA Finals in Cleveland.

(AP Photo/Josh Edelson). Ben Del Fante crowd-surfs as Golden State Warriors fans celebrate outside Oracle Arena in Oakland, Calif., Friday, June 8, 2018. The Warriors defeated the Cleveland Cavaliers 108-85 in Game 4 of the NBA Finals in Cleveland.

Nevada's Dean Heller is considered the vulnerable Republican senator seeking re-election this year, but he has an easy primary battle Tuesday thanks to President Donald Trump.

Nevada's Dean Heller is considered the vulnerable Republican senator seeking re-election this year, but he has an easy primary battle Tuesday thanks to President Donald Trump.

(Steve Marcus/Las Vegas Sun via AP, File). FILE - In this Oct. 4, 2017, file photo, Sen. Dean Heller, R-Nev, speaks during a media briefing at Metro Police headquarters in Las Vegas. Heller is considered the vulnerable Republican senator seeking re-ele...

(Steve Marcus/Las Vegas Sun via AP, File). FILE - In this Oct. 4, 2017, file photo, Sen. Dean Heller, R-Nev, speaks during a media briefing at Metro Police headquarters in Las Vegas. Heller is considered the vulnerable Republican senator seeking re-ele...

The Southern Baptist Convention opens its annual national meeting Tuesday in an anxious mood as the denomination's all-male leadership grapples with the fallout of multiple sexual misconduct cases.

The Southern Baptist Convention opens its annual national meeting Tuesday in an anxious mood as the denomination's all-male leadership grapples with the fallout of multiple sexual misconduct cases.

(Paul Moseley/Star-Telegram via AP, File). FILE - In this Oct. 12, 2010, file photo, former Southwestern Baptist Theological Seminary President Paige Patterson poses for a photo in Fort Worth, Texas. The Southern Baptist Convention, the largest Protest...

(Paul Moseley/Star-Telegram via AP, File). FILE - In this Oct. 12, 2010, file photo, former Southwestern Baptist Theological Seminary President Paige Patterson poses for a photo in Fort Worth, Texas. The Southern Baptist Convention, the largest Protest...

Seattle leaders say they plan to repeal a tax on large companies such as Amazon and Starbucks as they face mounting pressure from businesses.

Seattle leaders say they plan to repeal a tax on large companies such as Amazon and Starbucks as they face mounting pressure from businesses.

(AP Photo/Elaine Thompson, File). FILE - In this May 14, 2018 file photo, members of the public look on at a Seattle City Council before the council voted to approve a tax on large businesses such as Amazon and Starbucks to fight homelessness in Seattl...

(AP Photo/Elaine Thompson, File). FILE - In this May 14, 2018 file photo, members of the public look on at a Seattle City Council before the council voted to approve a tax on large businesses such as Amazon and Starbucks to fight homelessness in Seattl...

Electric car maker Tesla Inc. is laying off about 3,600 white-collar workers as it trims costs in an effort to become profitable.

Electric car maker Tesla Inc. is laying off about 3,600 white-collar workers as it trims costs in an effort to become profitable.

The legal marijuana industry in Alaska is seeking changes to a tax structure that many see as burdensome or unworkable.

The legal marijuana industry in Alaska is seeking changes to a tax structure that many see as burdensome or unworkable.

(AP Photo/Mark Thiessen, File). FILE - In this Feb. 20, 2015, file photo, Alaska Cannabis Club CEO Charlo Greene prepares to roll a joint at the medical marijuana dispensary in Anchorage, Alaska. In their zeal to get voters to support legalizing adult ...

(AP Photo/Mark Thiessen, File). FILE - In this Feb. 20, 2015, file photo, Alaska Cannabis Club CEO Charlo Greene prepares to roll a joint at the medical marijuana dispensary in Anchorage, Alaska. In their zeal to get voters to support legalizing adult ...

Massachusetts is suing the maker of OxyContin over the deadly opioid crisis and has become the first state to also target the company's executives.

Massachusetts is suing the maker of OxyContin over the deadly opioid crisis and has become the first state to also target the company's executives.

(AP Photo/Elaine Thompson). In this May 24, 2018, photo, Will Hartfield, who said he has been homeless about five years, stands on the sidewalk and eats a meal given him as people nearby line-up to buy lunch at a Dick's Drive-In restaurant in Seattle. ...

(AP Photo/Elaine Thompson). In this May 24, 2018, photo, Will Hartfield, who said he has been homeless about five years, stands on the sidewalk as people nearby line-up to buy lunch at a Dick's Drive-In restaurant in Seattle. Seattle city leaders say t...

(AP Photo/Ted S. Warren, File). FILE - In this May 7, 2018, file photo, a pedestrian walks past the site at right in Seattle where Amazon.com has halted construction planning on a new 17-story tower as it awaits a tax vote from the Seattle City Council...

(AP Photo/Elaine Thompson). In this May 24, 2018, photo, paid signature gatherer John Ellard, right, gives thumbs-up as two men stop to sign petitions to put on the November ballot a referendum on Seattle's head tax, in Seattle. Seattle city leaders sa...

(AP Photo/Elaine Thompson, File). FILE - In this May 14, 2018 file photo, members of the public look on at a Seattle City Council before the council voted to approve a tax on large businesses such as Amazon and Starbucks to fight homelessness in Seattl...

SEATTLE (AP) - Angry people at a Seattle City Council meeting shouted for more time to discuss a vote Tuesday on repealing a tax on large businesses like Amazon that aimed to raise money to fight a homelessness crisis.

Supporters and opponents of the tax were talking for about an hour before Council President Bruce Harrell gave them more time. City leaders said they plan to repeal the tax just a month after unanimously approving it as they faced mounting pressure from companies.

The quick surrender showed the power of Amazon to help rally opposition and aggressively push back on taxes at all levels of government, even in its affluent home city where the income gap is ever widening and lower-income workers are being priced out of housing. It has resulted in one of the highest homelessness rates in the U.S.

Amazon and other businesses had sharply criticized the tax, and the online retailer even temporarily halted construction planning on a new high-rise building near its Seattle headquarters in protest.

Mayor Jenny Durkan and seven of nine City Council members said Monday they worked with a range of groups to pass a measure last month that would strike a balance between protecting jobs and supporting affordable housing.

But a coalition of businesses is working to get a referendum on the November ballot to overturn the tax.

In a statement ,Durkan and the council members said "it is clear that the ordinance will lead to a prolonged, expensive political fight over the next five months that will do nothing to tackle our urgent housing and homelessness crisis."

They said they would move forward to repeal the so-called head tax.

It marks the latest Amazon move against city, state and national taxes.

The company recently said it would block Australians from purchases on its international websites after the nation planned to impose a 10 percent consumption tax on online retailers for goods shipped to Australia.

The tax debate comes as 20 cities vie to lure the company's second headquarters and as it expands its workforce in Boston and Vancouver, British Columbia.

Cities have offered lavish tax breaks and incentives to lure the company and its promise of adding tens of thousands of high-paying jobs. Critics have said it is wrong for profitable company to push for public money, especially considering the added costs to infrastructure and services the new headquarters would bring.

Seattle's tax would charge companies about $275 per full-time worker each year and raise roughly $48 million a year for affordable housing and homeless services. It would target businesses making at least $20 million in gross revenue and take effect in January.

The liberal city spent $68 million on homelessness in 2017 and plans to spend $78 million this year.

Just days after Durkan signed the ordinance into law, the No Tax On Jobs campaign, a coalition of businesses, announced it would gather signatures to put a repeal referendum on the November ballot.

The campaign has raised about $285,000 in cash contributions, with more employers, including Amazon and Starbucks, pledging nearly $200,000 in additional support.

The coalition is glad the "Seattle City Council has heard the voices of the people loud and clear and are now reconsidering this ill-conceived tax," said John Murray, a spokesman with the No Tax on Jobs campaign.

Councilwoman Teresa Mosqueda, one of four sponsors of the tax, said she could not support repealing the tax without "a replacement strategy to house and shelter our neighbors experiencing homelessness."

Sawant said on Twitter that the repeal "is a capitulation to bullying by Amazon" and other big business.

The clash over who should pay to solve a housing crisis exacerbated by Seattle's rapid economic growth was marked by weeks of raucous meetings and tense exchanges that didn't abate after the tax was approved.

Opponents called the Seattle measure a tax on jobs and questioned whether city officials are spending current resources effectively. Others praised the tax as a step toward building badly needed affordable housing.

The Seattle region had the third-highest number of homeless people in the U.S. and saw 169 homeless deaths in 2017.

Associated Press journalist Lisa Baumann contributed to this report.

Copyright 2018 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.</s>The tax, which would have assessed $275 per employee on Amazon, was not considered a ‘winnable battle’ by officials

This article is more than 1 year old

This article is more than 1 year old

A month after Seattle leaders applauded themselves for landing a small blow against big business in the form of an “Amazon tax”, on Tuesday they hurriedly abandoned it to avoid what they called “a prolonged, expensive political fight”.

The tax, which would have assessed a $275-per-employee “head tax” on Seattle’s largest private employer, was slated to pay for new public housing and homeless services in the booming city. Passed unanimously on 14 May, the tax was also an unsubtle demonstration of the company town’s disaffection with its unofficial patron, Seattle-headquartered Amazon.

A month of pressure from business interests broke city leaders. Seven of the city council’s nine members voted to repeal the ordinance, cutting short opponents’ efforts to put the tax up for a public vote.

Opposition to Seattle's 'Amazon tax' unites labor and big tech Read more

“This is not a winnable battle at this time,” councilmember Lisa Herbold said before voting for the repeal. “There is so much more to lose between now and November.”

An Amazon spokesman, Drew Herdener, called the council vote “the right decision for the region’s economic prosperity”.



“We are deeply committed to being part of the solution to end homelessness in Seattle,” continued Herdener, who went on to highlight Amazon’s support for charities involved in the issue.

In recent years, Seattle has seen incomes and population climb, and housing costs rise, as Amazon and its downtown campus exploded. Aubrey Pullman, an Amazon employee, said he supported the tax even if it cost the city Amazon.

“I want all kinds of people in the city, not just rich people,” Pullman said. “And if it means that I have to get a different job because Amazon moves, I will take that.”

In Washington, a state with no income tax and ample restrictions on local taxing authorities, cities struggle for a cut of a roaring economy. Councilmember Teresa Mosqueda, an architect of the head tax who voted against its repeal, described the head tax as one of the few options in the city toolkit.

“It’s easy to say no, it’s harder to say yes to a solution,” Mosqueda said.

The solution endorsed in May by the city council – after ample dickering over the dollar figure – would have raised $48m annually through a tax on the large businesses. Mayor Jenny Durkan signed off on the tax, which she described at the time as a compromise that would “address our homelessness crisis without jeopardizing critical jobs”.

Nearly half of the Seattle’s renters are overburdened even as household incomes jumped 27% from 2012 to 2016, according to the US Census Bureau. The city’s forests, roadsides and sidewalks are increasingly packed with tents and shacks as the region’s population of unsheltered has grown to an estimated 12,500 people.

Mosqueda argued that other funding be secured for housing programs before any repeal.

“We need funding desperately to house the homeless,” Mosqueda said. “We need funding to shelter the unsheltered.”

Seattle lawmakers appeared poised to again lead the way for other left-leaning cities; Seattle in 2015 was the first large American city to institute a $15- an-hour minimum wage. Leaders in San Francisco and several Silicon Valley cities have taken steps toward taxing tech giants reshaping their communities.

Organizers in San Francisco expect to put a measure on the November ballot that would deliver $300m annually to house, shelter and assist homeless residents. Sam Lew, policy director for the city’s Coalition on Homelessness, said the measure amounts to a 0.5% tax on receipts from businesses grossing more than $50m.

“In the face of the enormous 14% Trump tax break for large corporations, we hope to recapture just 0.5% of that tax on the local level,” Lew said Tuesday.

A head tax will be on the November ballot in Mountain View, California, home to Google. Mountain View’s mayor, Lenny Siegel, described a situation similar to the one facing Seattle – rapid tech growth driving up housing costs and overwhelming community infrastructure – with a key distinction.

“We have a positive continuing relationship with Google and other tech businesses,” Siegel said on Tuesday, noting that Mountain View’s tax on Google would amount to about $143 per employee.

“A small tax – a fraction of a percent of payroll – is a good way to invest in transportation infrastructure, pay for local transit, and build housing,” he continued.

In Seattle, the tax found plenty of critics. The city’s self-styled, unabashedly vocal “silent majority” decried the tax as a drag on Seattle’s economy, while socialist activists demanded double the tax rate approved by the council. They marched from the May meeting chanting: “We’ll be back for more!”</s>Did you know seven of the nine Seattle City Council members’ terms expire next year?

In early May the Seattle City Council approved a new business head tax to combat the homelessness crisis. From my post:

“The tax is an amount businesses pay per employee ($275 per year), with a sunset clause of 2023. The head tax was approved by a unanimous vote.”

The main target of this new business tax was Amazon, which was not pleased with the tax. “Amazon had strong words for the Seattle City Council as it questions its future in the city. “We are disappointed by today’s City Council decision to introduce a tax on jobs,” Amazon Vice President Drew Herdener said in a statement.”

Immediately after the tax passed, a group calling themselves “No Tax on Jobs” gathered enough signatures to put the matter on the November ballot and let the voters decide. They needed 17,000 signatures by June 14 and surpassed that amount.

On Monday, Council President Bruce Harrell announced that he had called a special meeting for the council to discuss repealing the head tax. (Harrell’s term expires next year.) They already had a draft bill prepared for the repeal.

Mayor Jenny Durkan issued a statement regarding the consideration of the repeal. Excerpts from her statement:

“Over the last few weeks, these conversations and much public dialogue has continued. It is clear that the ordinance will lead to a prolonged, expensive political fight over the next five months that will do nothing to tackle our urgent housing and homelessness crisis. These challenges can only be addressed together as a city, and as importantly, as a state and a region.

We heard you. This week, the City Council is moving forward with the consideration of legislation to repeal the current tax on large businesses to address the homelessness crisis.”

Less than a month later the council has voted to repeal the head tax.

The council yesterday repealed the head tax by a vote of 7 to 2. More details from MyNorthwest.com:

“Seattle Councilmember Lisa Herbold said the opposition to the tax was just too great. The opposition, she said, has “unlimited resources.”

Teresa Mosqueda, one of two council members to vote against a repeal, said she is concerned that a repeal will result in months of inaction and more regressive taxes. The process to implement a head tax took months, she pointed out. And, if the city wants to continue getting people off the streets, it will need additional funding. She called on businesses who opposed the head tax to come to the table with progressive ideas.

Numerous people in support of the head tax expressed similar concerns as (socialist) Councilmember Sawant, who accused her peers of making a last-minute decision and “caving” to Amazon. “Backroom betrayal” and “caving” were thrown around frequently.

“Jeff Bezos is our enemy, he is our enemy,” Sawant said before the council voted.”

Read the whole story here.

I can’t believe the Seattle citizens are putting up with this clown council with a socialist member who is calling the owner of one of their largest employers an “enemy” in a public forum.

Yet I gather from the comments on this article and also at the Seattle Times that some proggies in Seattle are finally waking up to the madness they elected as the majority have had it with the council members. Next year’s re-election cycle is bound to be a hoot.

PS: Jason Rantz from KTTH Radio tweeted from the repeal meeting (see his Twitter timeline here). A bunch of socialists/proggies were there to support the crazy council member Kshama Sawant. A few of Jason’s tweets:
• “Lunatic just claimed the Council is pushing “the Trump agenda.”
• “Priest is mad that Christians don’t ideologically agree with him and now claims you can’t call yourself a Christian if you support capitalism. This guy is a lunatic.”
• “Sawant activists in the crowd shouting down speakers whom they disagree with. But remember: they’re fighting fascism or something.”
• “We’re done with Trump tactics,” said one lunatic at the headtax meeting.”
• “Crazy women being removed by security now but because she’s a Progressive activist, the crowd doesn’t mind and she’s getting a pass from the crowd.”
• “Socialists think the couple hundred of them that worked to pass the Seattle head tax is more important than the 45k who signed on to repeal the headtax. They don’t know how numbers works: it’s why they’re Socialists.”
• “Sawant said she’s now talking as an economist and some in the crowd just laughed at her. Loudly. That annoyed her.”
• “CM Sawant – “I’m speaking as an economist….” People in SeattleCouncil chambers break out in laughter….”

Sounds like the meeting was a whole lotta crazy!!</s>Seattle City Council voted Tuesday to repeal the controversial head tax that it passed less than a month prior.

“Hopefully it’s not the end of anything,” said Seattle City Council President Bruce Harrell. “Hopefully it’s the beginning of something.”

The $275-per-employee tax would have gone into effect in January for businesses grossing more than $20 million per year in revenue.

The repeal came days after a head tax opposition group announced it had collected 45,833 signatures to put a referendum to repeal the measure on the November ballot. No Tax on Jobs needed to collect 18,000 signatures before Thursday to get the referendum on the ballot.

Councilmember Lisa Herbold said the head tax was “not a winnable battle” at this time.

“People who say we are bowing to political pressure – nothing could be further from the truth,” Herbold said.

The Council passed the resolution to repeal the tax 7-2. Councilmembers Kshama Sawant and Teresa Mosqueda were the two dissenting votes.</s>Seattle City Council is expected to vote Tuesday on legislation that would repeal the city’s recently passed head tax.

Seven Seattle council members and Mayor Jenny Durkan released a statement Monday that said: "We heard you."

"It is clear that the ordinance will lead to a prolonged, expensive political fight over the next five months that will do nothing to tackle our urgent housing and homelessness crisis," the statement read. "These challenges can only be addressed together as a city, and as importantly, as a state and a region."

Council President Bruce Harrell sponsored the legislation to repeal a $275-per-employee tax on businesses grossing more than $20 million in revenue.

The tax, which was signed by Durkan on May 16, is set to go into effect in January with a 2024 sunset clause. It aims to raise funds for housing and homelessness services.

The legislation came one day after a group that opposes the head tax announced it was “well over” its target to get a referendum to repeal the tax on the November ballot. No Tax on Jobs was trying to collect about 18,000 signatures by Thursday.

"The No Tax on Jobs Coalition appreciates that the Seattle City Council has heard the voices of the people loud and clear and are now reconsidering this ill-conceived tax," the group's spokesperson John Murray wrote in a statement.

Harrell declined to call the legislation a mistake on Monday, saying, "I always tell my children if learning is the goal there are no mistakes and I think what we have learned is a collaborative process, an open process, one with a very well articulated strategy makes sense and that's what I'm focused on moving forward, I'm not going to look over my shoulder and say should I have taken a left turn or a right turn."

Councilmember Teresa Mosqueda, however, said she couldn't support the legislation without a replacement plan in place. Mosqueda also declined to say the legislation was a mistake, saying "the timing of this is urgency, the urgency of now to get people inside."

Councilmember Kshama Sawant, who also opposes any repeal effort, indicated she was unhappy to be left out of the process.

If the city council was to repeal the tax without a referendum, it would avoid additional election costs, according to the legislation summary note.

Seattle Metro Chamber President and CEO Marilyn Strickland released a statement late Monday," “The announcement from Mayor Durkan and the City Council is the breath of fresh air Seattle needs. Repealing the tax on jobs gives our region the chance to addresses homelessness in a productive, focused, and unified way."

"From day one, the Seattle Metro Chamber has been clear that a tax on jobs is not the way to address the regional homelessness crisis," the statement continued, "Our business community is ready to work on solutions—from employment, to technological innovation, to housing. We look forward to collaborating with federal and state government and the region to help address issues that affect housing stability."

Denise Moriguchi, CEO of Uwajimaya, says her family-owned business that has been in the Seattle community for 90 years. She would have to look at raising prices and possibly cutting back on employee perks because of the head tax. She was happy to hear city council is considering a repeal.

"I was pleased. I feel that Seattle City Council are listening to the people," said Moriguchi. "We want to make sure the money being spent is being spent wisely. The people have spoken. It is not just businesses saying we don't want the head tax."

Sharon Lee, Executive Director of the Low Income Housing Institute, said she is very disappointed that city council is considering this kind of reversal.

"We think that we have one of the worst housing and homelessness crisis in the whole entire country and everybody has to pitch in," said Lee. "We are going to have more people living in RVs, more people living on the street, and that is a direct impact on tourism, trade, and businesses."

City Council will discuss repealing the head tax during a special meeting in Council Chambers on Tuesday at 12 p.m. The Council is expected to vote on the measure during the meeting, according to Harrell’s office.

RELATED: ‘Seattle will not be a priority’ for some in business community if head tax remains</s>A vote on repealing Seattle's head tax is scheduled for noon Tuesday at City Hall. Mayor Jenny Durkan and seven of nine council members expressed support Monday for repealing it.

Councilmember Kshama Sawant calls out Mayor Jenn Durkan at a press conference ahead of the head tax vote at City Hall.

The City Council plans to vote in a special meeting at noon Tuesday on repeal of Seattle’s controversial new head tax.

Nixing the tax of $275 per employee, per year would amount to a colossal flip-flop. It was less than a month ago that the council voted 9-0 to pass the measure.

Mayor Jenny Durkan and seven of nine council members expressed support Monday for repealing it.

[ Seattle City Council to consider repeal of head tax less than a month after approving it ]

Social-justice advocates and homeless-services providers planned to rally at City Hall before Tuesday’s meeting.

The tax on the city’s largest employers is supposed to take effect in 2019 and collect about $47 million per year for five years, to fund low-income housing and homeless services. Durkan and the council have no immediate backup plan for raising that money, they said Monday.

Amazon, Starbucks and other businesses have been funding a signature-collecting effort to qualify a referendum on the tax for the November ballot.

The deadline for submitting the signatures is Thursday.</s>SEATTLE (Reuters) - Seattle’s city council, facing stiff opposition from the business establishment, voted on Tuesday to repeal a newly enacted “head tax” imposed on the city’s largest companies, including Amazon.com, as a way of fighting an affordable housing crisis.

The 7-2 vote in favor of repeal, capping an acrimonious public hearing interrupted by chanting supporters of the tax, came as momentum was building for a referendum drive against the measure just weeks after it was unanimously adopted by the council and signed by the mayor.

Amazon.com (AMZN.O), the city’s largest employer, was at the forefront of a coalition of businesses running a well-financed campaign to place a repeal referendum on the ballot for the November elections.

As passed on May 14, the measure would have levied a new tax of roughly 14 cents per employee per hour to raise $45 million over five years, with revenue earmarked to build more affordable housing and support services for the homeless.

The tax would have applied only to the largest companies by revenue, those grossing at least $20 million a year.

Sponsors of the tax said Seattle’s biggest-earning businesses should bear some burden for easing a shortage of low-cost housing that those companies helped create by driving up real estate prices to the point where the working poor and many middle-class families could no longer afford to live in the city.

Opponents said they feared the measure would lead to an economic backlash.</s>SEATTLE — Seattle's city council voted on Tuesday to repeal a newly enacted "head tax" imposed on the city's largest companies, including Amazon.com, in the face of apparently insurmountable big-business opposition to a tax meant to fight an affordable housing crisis.

The 7-2 vote in favor of repeal capped an acrimonious public hearing interrupted by chanting supporters of the tax. It came as momentum was building for a referendum drive against the measure, just weeks after it was unanimously adopted by the council and signed by the mayor.

"This is a cowardly betrayal of the needs of the working people," Councilwoman Kshama Sawant, a leading proponent of the tax who voted against repeal, said to thunderous applause moments before the council completed its vote.

But Councilwoman Lisa Herbold said she was reluctantly voting for repeal rather than drag the city through a political fight she called "not winnable at this particular time."

"The opposition has unlimited resources," she added.

Amazon.com, the city's largest employer, was at the forefront of a coalition of businesses running a well-financed campaign to place a repeal referendum on the ballot for the November elections.

The tax would have applied only to the city's largest companies by revenue, those grossing at least $20 million a year. It was expected to be borne by about 500 companies.

Opponents had already collected nearly 49,000 signatures from voters in support of a repeal initiative, well more than the 17,000 needed to qualify for the ballot, according to the Downtown Seattle Association, a business group which led the petition drive.

The effort quickly raised $300,000, including contributions of $25,000 each from Amazon and coffee retailer Starbucks , another major Seattle stalwart, and $30,000 from a grocers trade group, said Jon Scholes, president of the Seattle Association.

The measure, passed on May 14, would have levied a tax of roughly 14 cents per employee per hour worked within the city to raise at least $45 million over five years. The revenues were earmarked to build affordable housing and furnish support services for the homeless.

Sponsors of the tax said Seattle's biggest-earning businesses should bear some burden for easing a shortage of low-cost housing that they helped create in driving up real estate prices to the point where the working poor and many middle-class families can no longer afford to live in the city.

Opponents branded the measure a "tax on jobs" and said they feared it would spark an economic backlash.

Amazon had threatened to abandon plans for a major downtown office building if the head tax was approved.

The debate has been closely watched by politicians in major cities nationwide. Last month, about 40 elected officials from across the country, some from local governments vying to host Amazon's second headquarters, published an open letter to Seattle in support of the head tax and expressing concern that Amazon opposed the measure.</s>SEATTLE, June 12 (Reuters) - The Seattle City Council on Tuesday repealed a newly enacted "head tax" on the city's largest companies, including Amazon.com, in the face of seemingly insurmountable big-business opposition to a revenue measure meant to combat homelessness.

The 7-2 vote in favor of repeal capped an acrimonious public hearing interrupted by chanting supporters of the tax, conceived in response to a local economic boom that has driven up real estate costs at the expense of the working class.

The council's stunning reversal came as momentum was building for a referendum drive against the measure, just weeks after it was unanimously adopted by the council and signed into law by the mayor.

"This is a cowardly betrayal of the needs of the working people," Councilwoman Kshama Sawant, a leading proponent of the tax who voted against repeal, said to thunderous applause moments before the council completed its vote.

But Councilwoman Lisa Herbold said she was reluctantly voting for repeal rather than drag the city through a protracted political fight she called "not winnable at this particular time."

"The opposition has unlimited resources," she added.

Amazon.com, the city's largest employer, was at the forefront of a coalition of businesses running a well-financed campaign to place a repeal referendum on the ballot for the November elections.

Amazon Vice President Drew Herdener hailed Tuesday's vote as "the right decision for the region's economic prosperity."

The tax would have applied only to the city's largest companies by revenue, those grossing at least $20 million a year. It was expected to be borne by about 500 companies.

Opponents had already collected nearly 46,000 signatures from voters in support of a repeal initiative, well more than the 17,000 needed to qualify for the ballot, according to the Downtown Seattle Association, a business group which led the petition drive.

The effort quickly raised $300,000, including contributions of $25,000 each from Amazon and coffee retailer Starbucks , another major Seattle stalwart, and $30,000 from a grocers trade group, said Jon Scholes, president of the Seattle Association.

HELP FOR THE HOMELESS

The measure, passed on May 14, would have levied a tax of roughly 14 cents per employee per hour worked within the city to raise at least $45 million over five years. The revenues were earmarked to build affordable housing and furnish support services for the homeless.

Sponsors of the tax said Seattle's biggest-earning businesses should shoulder some burden for easing a low-cost-housing shortage they helped create through an over-heated real estate market that has left the working poor and many middle-class families unable to afford to live in the city.

Opponents branded the measure a "tax on jobs" and said they feared it would spark an economic backlash.

Amazon had threatened to abandon plans for a major downtown office building if the head tax was approved. After Tuesday's vote, Herdener said Amazon was committed to "being part of the solution to homelessness" and would continue to invest in nonprofit groups addressing the problem.

Advocates for the poor say that rampant homelessness in the city is an extension of a larger crisis in affordable housing.

They cite data showing Seattle's median home prices have soared to $820,000 and that 41 percent of renters ranked as "rent-burdened," meaning they pay about a third or more of their income on housing.

The Seattle metropolitan area is home to the nation's third-largest concentration of homeless people, nearly 12,000 counted in a January U.S. government survey and almost half of them living on the streets.

The debate has been closely watched by politicians in major cities nationwide. Last month, about 40 elected officials from across the country, some from local governments vying to host Amazon's second headquarters, published an open letter to Seattle in support of the head tax and expressing concern that Amazon opposed the measure. (Reporting by Eric M. Johnson in Seattle; Additional reporting by Jeffrey Dastin in San Francisco Writing by Steve Gorman Editing by Bill Tarrant and Leslie Adler)</s>SEATTLE — A tax on large companies such as Amazon that was meant to fight a growing homelessness crisis got rolled back during a raucous Seattle City Council meeting that exposed divisions over how much companies that have fueled booming economies should help pay to alleviate the downsides of success.

A divided crowd chanted, jeered and booed at the meeting, drowning out city leaders as they cast a 7-2 vote Tuesday. People shouted, "Stop the repeal," as others unfurled a large red banner that read, "Tax Amazon." An opposing group held "No tax on jobs" signs.

The vote showed Amazon's ability to aggressively push back on government taxes, especially in its affluent hometown where it's the largest employer with more than 45,000 workers and where it has been criticized for contributing to a widening income gap.

It remains to be seen whether Seattle's retreat will have a chilling effect on other cities considering taxes on big tech companies to help mitigate the effects of growth.

The City Council in Mountain View, California, where Google is based, will vote June 26 on whether to put a similar measure before voters in November. The "Google tax," which has unanimous support from the council, aims to alleviate transportation woes and high housing costs in the Silicon Valley city south of San Francisco.

Mountain View Mayor Lenny Siegel said Seattle's about-face hasn't changed his support for the tax, the details of which the council and city administrators have been working on for several months.

"It appears that we have a better relationship with our business than Seattle does," Siegel said.

He said Google hasn't taken a position on the proposal and that no "groundswell" of opposition has materialized from the Internet search giant and other companies.

"That doesn't mean they support it," Siegel said. "Our chamber of commerce has not been excited by it."

In Seattle, the tax was proposed as a progressive revenue source aimed at tackling one of the nation's highest homelessness numbers, a problem that hasn't eased even as city spending on the issue grew.

Businesses and residents demanded more accountability in how Seattle funds homelessness and housing and said the city should take a regional approach to the problem. Many worried that Amazon and others would leave the city as the companies sharply criticized the tax.

Amazon called Tuesday's vote "the right decision for the region's economic prosperity."

The company is "deeply committed to being part of the solution to end homelessness in Seattle," Drew Herdener, an Amazon vice president, said in a statement.

City leaders underestimated the frustration and anger from residents, businesses and others over not just a tax increase but also a growing sense that homelessness appears to have gotten worse, not better, despite Seattle spending millions to fight it.

It poured $68 million into the effort last year and plans to spend more this year. The tax would have raised roughly $48 million annually.

But a one-night count in January found more than 12,000 homeless people in the Seattle and surrounding region, a 4 percent increase from the previous year. The region saw 169 homeless deaths last year.

Many supporters called the repeal a betrayal and said the tax was a step toward building badly needed affordable housing. They booed council members, imploring them to keep it and fight a coalition of businesses trying to get a referendum overturning the tax on the November ballot.

"It's frustrating to see the council be so spineless when the city has so much leverage for businesses to come here despite the tax," said Jake Lindsay, 25, a musician and Lyft driver who supported the tax.

Several council members, including three who sponsored the legislation but voted to repeal it, lamented the reversal and conceded they didn't have the resources or time to fight the referendum.

Councilwoman Lisa Herbold said it "was truly our best option" and that she repealed it with a heavy heart. She lashed out at business interests for blaming the problems on government inefficiencies.

Seattle's so-called head tax would have charged companies about $275 per full-time worker each year for affordable housing and homeless services. It targeted nearly 600 businesses making at least $20 million in gross revenue and would have taken effect next year.

Days after it passed, the business-backed No Tax On Jobs campaign began gathering signatures for the ballot and raised more than $280,000 in cash contributions in just weeks.

In Silicon Valley, Siegel, the Mountain View mayor, said Google and other companies such as LinkedIn that are based in the California city acknowledge that soaring housing costs and long commutes make it harder to recruit and retain workers.

He said city officials estimate the tax would raise about $10 million annually once it's completely phased in after three years. Google is expected to pay half.

Siegel said public meetings that touched on the issue were "moderately" attended, and the proposal does not appear to be as contentious in Mountain View as in Seattle.

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Seattle's city council votes 7–2 to repeal a controversial employer head tax, which was approved a month earlier.