Local Sales Tax Option For Special Projects Discussed

Mar 1, 2014

Credit Fits News

Supporters of allowing Kentucky communities to propose local sales tax increases hold out hope for legislative action in the remaining weeks of the current session. 

Lexington Mayor Jim Gray testified before a House committee on Thursday (Feb. 27).  Cities are promoting this measure as a way to pay for specific local projects.  Gray continues to say it is not a factor in the Rupp Arena project.

“This has nothing to do with the Rupp Project.  This has nothing to do with the project, now going forward the future plans for the Town Branch, for example, in Lexington would be a candidate, but so would fire stations, so would police and fire vehicles, so would streets and sidewalks and parks,” said Gray.

If approved by the legislature, the constitutional amendment would require a statewide referendum.  If approved by voter across the state, then local governments could put issues for funding on the ballot.