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HomeMy WebLinkAbout[10a] Sales Tax Ballot Question 10(a) Council Agenda Item MEETING DATE: August 7, 2014 AGENDA ITEM: Administrator Reports a) Sales Tax – Ballot Question SUBMITTED BY: Administration BOARD/COMMISSION/COMMITTEE RECOMMENDATION : PREVIOUS COUNCIL ACTION : The City Council conducted two public open houses to solicit input on proposed uses for sales tax funds. BACKGROUND INFORMATION : The legislature has authorized the extension of the existing additional ½ cent sales tax for an additional 20 years, running through 2038. Each City must place the matter on the ballot. The ballot question is similar to that being used by the area cities. It is more general as this is a 20 year tax that does not start until 2018. The questions reflect the input received at the open houses. The ballot question has been reviewed by the bond attorney (Briggs and Morgan – Waite Park, Sartell and St. Joseph are sharing the cost) and we have a final phone conference tomorrow. BUDGET/FISCAL IMPACT : Potential revenue of 11M over a 20 year period ATTACHMENTS: Request for Council Action Ballot Question REQUESTED COUNCIL ACTION: The ballot question must be submitted to the Auditor no later than August 13, 2014 – approval is requested. This page intentionally left blank EXTENSION OF ONE-HALF PERCENT SALES AND USE TAX The residents of St. Joseph, Sartell, St. Augusta, St. Cloud, Sauk Rapids and Waite Park currently collect a ½ percent sales and use tax which will expire on December 31, 2018. The State Legislature has authorized the extension of the existing ½ percent sales and use tax for the aforementioned cities through 2038, subject to voter approval in each city. If St. Joseph voters approve an extension, the first $ 900,000 collected annually will be used to fund the regional projects identified below with the remaining annual sales tax funds distributed to the area cities pursuant to a Joint Powers Agreement. Based on the Joint Powers Agreement with the Cities of St. Cloud, Sauk Rapids, Sartell, Waite Park, St. Augusta and St. Joseph, St. Joseph will receive approximately $ 1.42 for every dollar collected in St. Joseph. To vote, complete the oval to the LEFT of your choice, like this ( ). Voters desiring to vote in favor of the question should complete the oval opposite the word “YES” next to the question. Voters desiring to vote against the question should complete the oval opposite the word “NO” next to the question. Shall the City of St. Joseph be authorized to continue the collection of a ½ cent sales and use tax through the year 2038 to pay for all or part or all of the following regional projects (or debt service on bonds issued therefor)? JOINTLY FUNDED REGIONAL PROJECTS Regional Trails – Interconnection of trail system, not to exceed $ 500,000 annually; Regional community aquatics center, not to exceed $ 200,000 annually; Regional Airport, not to exceed $ 200,000 annually. – The development, acquisition, and improvement of: ST. JOSEPH PROJECTS and related infrastructure in an amount not REGIONAL TRANSPORTATION IMPROVEMENTS to exceed 10 Million. Examples can include, but are not limited to: streets, roads, related infrastructure, green initiatives and mass transit projects in an amount not to exceed 8 Million. Examples can REGIONAL COMMUNITY FACILITIES include, but are not limited to: community center, senior center, historical center, government buildings, branch library, technology and/or fiber and green Initiatives. and related facilities in an amount not to exceed REGIONAL PARKS, TRAILS, OPEN SPACE 4 Million. Examples can include, but are not limited to: adding bathroom facilities, water amenities, expanding shelters, green initiatives and development of Sauk River Park. Yes No This page intentionally left blank