Oro Valley council votes to move half-cent recreational sales tax revenue into general fund, keeps community center fund for transparency

The Oro Valley Town Council voted on Aug. 13 to amend the town’s sales-tax ordinance and direct revenues from the half‑cent recreational sales tax to flow into the general fund, while retaining the community center fund as a reporting vehicle supported by budgeted transfers.

Town Manager Wilkins presented the history and fiscal context for the half‑cent tax, telling council the levy has generated about $29.6 million since inception and that recent annual receipts have ranged from roughly $2.9 million to an estimated $3.9 million in the most recent fiscal year. He noted the community center fund currently covers some capital and debt-service obligations tied to facilities; Wilkins also described options staff prepared, including moving all community‑center revenues and expenses into the general fund or preserving the community center fund and supporting it with transfers.

Matt Wood, a member of the Parks and Recreation advisory board and an Oro Valley resident, spoke at the public hearing and urged council to trust members to use funds responsibly while giving the town flexibility to address broader needs: “I think we need to trust the town council to use most of the sales tax … for parks and rec but give them the flexibility in case there is a very important need elsewhere,” he said.

Vice Mayor Barrett moved the ordinance that directs half‑cent revenues into the general fund while keeping the community center fund intact as a reporting mechanism and supporting it through budget transfers. The motion carried with six votes in favor and one abstention; Councilmember Green recorded an abstention.

Council debate centered on competing priorities: several members said moving the revenue to the general fund provides flexibility to address roads, public safety and other townwide needs as sales-tax receipts grow; others urged preserving the community center fund to retain historical continuity and transparency about how parks‑related revenue is spent. Council agreed the council and future budgets will continue to show transfers to the community center fund so citizens can track how money is used.

The ordinance text discussed options and staff’s proposed implementation approach; council did not adopt a separate deadline or sunset in the motion recorded at the meeting. Staff said prior materials had included an option with an effective date of July 1, 2026, but council’s motion did not specify that date during the meeting.

The ordinance passed with no votes opposed and one abstention.