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City proposes local option tax to fix crumbling streets

August 22, 2024 | Sandpoint, Bonner County, Idaho


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City proposes local option tax to fix crumbling streets
During a recent government meeting, officials discussed a proposal for a new local option tax aimed at funding street and sidewalk construction in the community. The proposal, presented by a council member, highlighted the urgent need for maintenance and repair of existing infrastructure, as many roads are in poor condition and the city faces limited funding options.

The council member emphasized that the local option tax is a special provision available to resort communities, which the city qualifies for, and is seen as a viable solution to address the pressing needs for street repairs. The discussion included a breakdown of potential revenue sources, including anticipated lodging tax from a new hotel development, which could generate significant funds if occupancy rates meet projections.

Concerns were raised about the implications of the proposed tax, including its potential regressive nature, which could disproportionately affect lower-income households. However, the council member argued that the tax would primarily impact visitors, thereby alleviating some financial burden from residents.

The urgency of the proposal was underscored by the deteriorating condition of the roads, with a backlog of streets in very poor condition reported to be double the national average. The council member noted that without immediate action, the situation would worsen, leading to increased costs in the future.

The meeting also addressed the duration of the proposed tax, suggesting a 25-year period to ensure sufficient funding for necessary repairs. The council plans to seek voter approval for the tax in the upcoming November election, coinciding with a presidential election expected to yield high voter turnout.

In conclusion, the council is poised to present the local option tax proposal to voters, aiming to secure a dedicated funding source for street and sidewalk maintenance while addressing community concerns about the tax's impact. The outcome of this initiative could significantly influence the city's infrastructure and financial health in the years to come.

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