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House approves partial repeal of 'flood tax' and adjusts sales‑tax rate
Summary
After extended floor debate about promises to voters and state spending needs, the House voted to adjust the sales‑tax rate and repeal a portion of the flood tax; sponsors framed the measure as both keeping a promise and limiting government growth.
The Utah House approved legislation to partially repeal a component of the sales tax commonly described as a ‘flood tax,’ a measure that attracted extended debate on fiscal promises, spending priorities and earnings distribution.
Representative Don Bush framed the bill as honoring an earlier pledge to voters that the temporary flood surcharge would be removed once the immediate need had passed. Opponents warned that the state still faces substantial infrastructure and education needs and cautioned against reducing revenue too far. Representative Wadhams moved an amendment to set a revised rate (4.875 percent cited in debate) to align with broader tax‑cut goals discussed elsewhere in the session; the amendment was adopted.
Supporters focused on limiting the growth of government and returning money to taxpayers; opponents argued that the state must preserve revenue for highways, education and other obligations. After prolonged debate and several offers to extend time for discussion, the chamber voted to pass the bill 70‑5.
Next steps: the Tax Commission and State Treasurer will implement the rate changes and notify counties and municipalities as required by statute.
