Sales tax vote divides officials
By Johnny Edwards| Staff Writer
Sunday, November 16, 2008

Frugally minded Augusta Commissioner Joe Bowles is criticizing a plan to hold the next special-purpose penny sales tax vote in June, arguing the city could save money by tacking it onto the general election ballot in November 2009.

A one-issue election would cost Augusta about $80,000, according to Board of Elections Executive Director Lynn Bailey.

Mr. Bowles says it's the commission's job to put together a special purpose local option sales tax package that the community supports and will pass on the first try, unlike the $486 million package that failed in 2004.

At a work session last week, looking over next year's proposed budget cuts -- among them chopping Public Works' budget by 6.5 percent, the recreation department's budget by 7.5 percent and public transit by $739,536 -- Mr. Bowles called holding an early election "irresponsible." "I don't see how we can even entertain that, personally," he told City Administrator Fred Russell.

Mr. Russell counters that voting early is a matter of the city hedging its bet. He said he wants to avoid a lapse in collections that could cost millions.

Under state law, if a sales tax vote fails, it can't go back on the ballot until a year later. If it passes, the tax can't start until the nearest quarter of the year 80 days after the election, and it can't start until the previous tax is finished.

Mr. Russell anticipates the current sales tax package to end in the latter part of 2010. If the vote for the next package is held in June and fails, then passes in June 2010, there will still be time for collections to pick up uninterrupted.

But if the tax doesn't pass until November 2010, Mr. Russell estimates there could be a three-month lapse costing the city about $9 million. Spending $80,000 could ensure that doesn't happen, he said.

"My math comes out that that's probably a good shot to take at this point," Mr. Russell said at a town hall meeting Thursday.

The decision is ultimately up to commissioners.

Based on past single-issue sales tax elections, Ms. Bailey said voter turnout in the spring would probably be about 15 percent. With next year being an odd year with no mayoral vote, she estimated turnout in November at 19 percent. That election will cost about $80,000 whether the sales tax is included or not, she said.

Mr. Bowles said as long as the sum isn't exorbitant, pet projects are kept out and the list sticks to roads, bridges and drainage improvements, the tax package will pass.

"Why would it fail if we present something responsible?" he said. "You're looking at spending $80,000 as opposed to $160,000."

Reach Johnny Edwards at (706) 823-3225 or johnny.edwards@augustachronicle.com.

Penny Tax Plans

At Thursday's town hall meeting, City Administrator Fred Russell said he's recommending the next round of penny-tax collections total $150 million to $160 million, roughly the same as the current package's cap of $160 million. Along with improvements to roads and bridges, possible projects include a $6.5 million jail pod at the Webster Detention Center, he said.

At the first town hall meeting Tuesday, residents asked for improvements to Windsor Spring Road and a system of emergency sirens. On Thursday, about 25 people who live near Lake Olmstead asked for funds to dredge the lake to clear it of silt deposits, overgrown vegetation and trash. Estimates run from $3.5 million to more than $6 million. The next town hall meeting will be at 6:30 p.m. Wednesday at May Park, 622 Fourth St.

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