City officials consider new sales tax for streets

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June 12, 2014 - 12:00 AM

LAHARPE — The city is strongly considering asking its voters to approve a sales tax in order to build up funds for street upkeep.

City Council members discussed the matter at their regular monthly meeting Wednesday, noting most every street in town needs some type of repair, with scant funds available.

City Superintendent Carol Buzbee showed the Council a map denoting about four miles worth of roads in need of chip seal, at a cost of $26,000.

The city has $28,000 in its budget from accumulating several years of state money.

“And that’s just chip seal,” Buzbee said. “If we don’t have money, we don’t have roads.”

Council members agreed seeking a sales tax vote was more palatable than increasing property taxes because revenue would come from more than just residents living in city limits.

Council members directed City Attorney Chuck Apt to draw up language for the referendum, with the hopes the vote would occur in the November General Election.

Ray Maloney, who owns Ray’s Metal Depot on the north edge of town, encouraged council members to seek other sources of funding, noting city residents still would foot a lion’s share of the bill.

While the city has some retail outlets, most of the revenue would come from taxes assessed to utility and telephone bills, Maloney said.

He wondered if the city could cut spending in other ways, such as by selling city-owned buildings around town and move all equipment to City Hall for storage.

The Council agreed to at least consider some of Maloney’s suggestions, but noted the sales tax would still be the most feasible way to generate a steady source of income.

How much would be generated wasn’t immediately known.

Council members directed City Clerk Michelle Altis to nail down how much revenue a 1-cent tax would create.

Apt told the Council the referendum language must be prepared by August in order to appear on the November ballot.


THE CITY wants to rid itself of a vacant building next to City Hall. 

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