Sep 19, 2024
This week, the County Courthouse announced its intent to raise taxes if voters don’t approve a new sales tax on the November ballot.Summit County Manager Shayne Scott and Chief Finance Officer Matt Leavitt met with the County Council on Wednesday, detailing how new county initiatives, unexpected expenses and unfunded state mandates created the need to generate around $10 million in additional revenue as the 2025 budget is predicted to exceed $90 million.County officials hope to achieve this through an emergency services sales tax initiative. But if it fails, Truth in Taxation may be needed to help make up the shortfall — and property taxes could rise by 80%.Scott and Leavitt notified the County Council of their intent to potentially go through the process of raising taxes in the general fund as a precautionary measure to ensure they meet the Oct. 1 noticing requirements. A meeting discussing the specifics of Truth in Taxation would be presented at least two weeks before the Nov. 5 election.Property owners will also receive notices in the mail informing them of the taxation amount, the estimated increase and what the increased revenue would be used for. In Summit County’s case: continuing and supporting county functions and programs in areas like natural resources, mental health and law enforcement.New expenditures next year include indigent defense funds, meeting school resource officer requirements mandated by the Legislature and expenses associated with the 910 Cattle Ranch and landfill cell expansion, according to Leavitt.“We’re just trying to maintain some of those service levels, as well as being responsive to those state-imposed commitments,” he said. The County Courthouse won’t go through with Truth in Taxation if the emergency services sales tax initiative passes. The 0.5% fee on certain goods would generate around $12 million, covering the difference between budget requests and the estimated 2025 revenues.The County Council debated the implications of the notice, and whether it might lean voters against the sales tax. The council emphasized the importance of clear, deliberate communication. Members were previously advised a dual approach might be confusing.“Budget presentations that don’t anticipate Truth in Taxation, in the event the (emergency services sales tax) does not pass, would require significant degradation in services and the loss of personnel county-wide,” a Sept. 18 staff report said. In other words, the presentations will assume there is enough revenue to cover the costs.The sales tax is equivalent to one penny for every two dollars spent. Gas, groceries, prescription medications and a few other items are exempt.More than 65% of the sales tax would be paid for by nonresidents. Visitors create 40% of the solid waste in the county and are responsible for 50% of fire department calls and 90% of search-and-rescue reports.The municipal services and general funds haven’t been raised since 2017. They pay for just under 90% of daily operations, including ambulance services, road maintenance, community development and planning, the library, public health. Scott emphasized the importance of regularly going through the Truth in Taxation process to maintain public transparency and go through incremental increases rather than one large one.The post Summit County intends to raise taxes if ballot initiative fails appeared first on Park Record.
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