A proposal extending the rural county sales tax authority for public facilities (the 0.09 sales tax) to 2054 has been introduced again this session (HB 1267) and is scheduled for a hearing in the House Local Government Committee. Cities support this sales tax option and frequently partner with counties on economic development projects using the funds.

The sales tax authority is credited against the state sales tax and expires 25 years after imposition by counties that imposed the tax prior to August 1, 2009. The bill also clarifies that counties imposing the tax prior to August 1, 2009, but have a population that now exceeds the definition of rural, will also continue to be eligible to collect the tax.

The bill also requires the State Auditor to create a website to provide information from the reports it collects on uses of the funds.

Date to remember

The House Local Government Committee hearing is scheduled for Tuesday, January 24 at 10:30 am.