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Council backs renewing Palm Beach County 6¢ local option gas tax formula; staff recommends joining interlocal
Summary
Staff recommended the Village of Tequesta sign an interlocal agreement to preserve the current distribution formula for the county's 6¢ local option gas tax; council members present expressed support for maintaining the status quo so the village will continue to receive its share of the revenue.
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Staff briefed the council on a county proposal to renew a 6¢ local option fuel tax that Palm Beach County levied in 1985 for 30 years. The county is seeking municipal participation in an interlocal agreement that would preserve the current distribution formula; staff said the village currently receives roughly $129,000–$132,000 annually from the tax.
Village Attorney Keith advised that if municipalities representing more than 50% of the incorporated-population sign the interlocal agreement, the distribution formula will be governed by that agreement. If the interlocal agreement does not secure majority participation, the county may still renew the tax but distributions would follow a statutory formula that could be less favorable to municipalities.
Council members present voiced support for renewing the tax under the existing formula, citing the village's capital needs after the loss of other surtax revenue. Staff recommended the village sign the interlocal agreement so the municipality preserves the current distribution method; no formal vote to sign the interlocal agreement was recorded at the workshop.

