Boone County’s gross sales tax scenario has turn out to be so dire that it ought to elevate the property tax to compensate for declining income, County Auditor June Pitchford stated in her proposed funds for fiscal 2020.
The primary in a collection of public hearings on the proposed funds is scheduled for 7 p.m. Tuesday within the Boone County Fee chambers on the Roger B. Wilson Boone County Authorities Middle. Pitchford’s funds plan proposes spending a complete of $85.eight million, down 2% from this yr.
Gross sales tax is the first concern addressed within the proposed funds. The tax, which accounts for round 68% of complete income for almost all of county operations and companies, has been on the decline for the previous a number of years. Pitchford blames untaxed on-line retail gross sales for the drop and known as the scenario “alarming.”
Pitchford is estimating gross sales tax income for 2020 of $47.6 million, a decline of 1.75% in comparison with 2019. She detailed the influence of declining income on the county’s main funds since 2017. The final fund for instance, is anticipated to gather $600,000 much less subsequent yr than it did in 2017, whereas the Kids’s Companies and 911/Emergency Administration funds will gather $320,000 and $450,000 much less, respectively.
To treatment the issue, Pitchford is proposing a 2-cent enhance within the property tax levy, which might elevate about $600,000 and value the proprietor of a house value $200,000 a further $7.60 per yr. That might increase the entire property tax to 19 cents. Of that, 14 cents would go to the final fund and 5 cents to the Highway and Bridge Fund.
The county is permitted to levy a property tax as excessive as 31 cents per $100 assessed valuation with out searching for voter approval.
By way of spending, Pitchford’s funds consists of $322,000 for worker raises, averaging 1.75%, and $875,000 for election bills, provided that 2020 is a presidential election yr. It additionally requires spending $four.eight million for brand spanking new and substitute know-how, autos and tools. This would come with:
- $865,000 to switch laptop hardware, legislation enforcement tools and varied workplace and jail tools.
- $1.07 million from the Highway and Bridge Fund for routine substitute of equipment, tools and autos.
- $573,000 from the Regulation Enforcement Companies Fund for substitute of autos and tools.
- $2.1 million from the 911/Emergency Administration Fund to switch laptop hardware, radio tools, emergency sirens and radio community infrastructure.
- $214,000 from the opposite funds to switch workplace tools and know-how.
Supervising editor is Scott Swafford.