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Lawmakers debate framework to allow local-option sales taxes; cities and counties urge refinements
Summary
Chair Gomez presented HF3027, a bill proposing a framework to allow certain cities to adopt local-option sales taxes without special legislation; municipal and county associations supported the principle but raised concerns about strict ballot requirements, required interjurisdictional approvals and a 15% revenue-sharing formula.
Chair Gomez presented House File 3027 to the House Taxes Committee on April 9 as a framework intended to permit certain local-option sales taxes for capital projects without requiring special legislative authorization each time.
Gomez said the bill seeks to balance local tools for financing capital projects with statewide equity concerns, arguing that a patchwork of ad hoc local taxes can create "winners and losers" where access to retail tax base determines whether a locality can fund public amenities. The framework would allow cities to propose voter-approved local sales…
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