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SALT LAKE CITY — City leaders Tuesday expressed support for a proposal asking voters for a local sales tax increase that would generate more than $4.6 million in annual transportation funding for Salt Lake City.
Currently, the Salt Lake County Council is faced with the decision of whether to put an item on the November ballot that would ask for voter input on a countywide 0.25-cent sales tax increase for transportation needs. The increase would mean Salt Lake County residents would pay almost $50 million more in taxes, according to a Wasatch Front Regional Council report.
The local tax option was offered to Utah counties through HB362, a bill passed during the 2015 Legislature that calls for a statewide fuel tax of 5 cents more per gallon starting Jan. 1 for state transportation projects.
Patrick Reimherr, Salt Lake County director of government relations, said County Council members must decide whether to ask voters for the 0.25 percent sales tax increase, so they’re seeking input from city leaders on how to proceed. If voters approve, 0.1 percent would go to cities, 0.1 percent would go to the Utah Transit Authority, and 0.05 percent would go to counties.
“It’s got to be something that everybody wants,” Reimherr said.
Five out of six Salt Lake City Council members voted in favor of sending a letter to the county voicing official approval of asking for voter consideration of the tax increase.
It's got to be something that everybody wants.
–Patrick Reimherr, Salt Lake County director of government relations
Councilman Kyle LaMalfa said he disapproved of the proposal because the council had already decided to place an item on the ballot that would ask voters to approve a bond that would raise taxes for city recreation maintenance, though the council has not decided how much that increase would be.
LaMalfa said while the city’s need for transportation is great, it’s “too much to ask voters for two tax increases.”
But City Council Chairman Luke Garrott said the city is “far behind” in funding for maintenance of transportation infrastructure, as well as in future investments for improvements. The majority of the council, he said, is “interested in giving voters a choice” to raise the county’s sales tax for transportation needs.
“This would help us move in the right direction (and) dig out of the hole that we’re in right now,” Garrott said.
Billy Hesterman, vice president of the Utah Taxpayers Association, said if Salt Lake County decides to put the local sales tax on the ballot, Utahns need to be “cautious” and understand their cities’ transportation needs before they cast their votes.
“Taxpayers should really ask the hard questions on this,” Hesterman said. “Is this needed at this time or should we wait until there’s a higher need? Or are there other options we can look at?”
The Salt Lake County Council must decide by August whether to place the sales tax option on the ballot, Reimherr said.
Katie McKellar is a Dixie State University graduate with a bachelor of science in mass communication. Before interning at Deseret News, she reported and edited news content for Dixie Sun News, first as Photo Editor, then as Features Editor. Email: kmckellar@deseretnews.com
