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Committee Advances Bill Letting Cities, Counties Use Half‑Cent Sales Tax for Bonding; Emergency Clause Included
Summary
House Bill 1308 would allow cities and counties to bond against the permanent half‑cent sales tax and includes an emergency clause to meet election timing; the committee approved the bill after brief questioning about over‑bonding risks.
The City, County & Local Affairs Committee voted to advance House Bill 1308, which permits cities and counties to use the permanent half‑cent sales tax for bonding and includes an emergency clause to accommodate election timing.
Representative Feit explained that the temporary sales tax expires June 30 and the permanent half‑cent tax will take effect; HB 1308 changes statutory references and enables local jurisdictions to bond against the permanent half‑cent. The bill contains an emergency clause intended to allow jurisdictions to meet the 70‑day election timeline and, if necessary, place questions on the fall ballot rather than waiting a full year.
Senator Rice questioned whether the change risks encouraging municipalities to over‑bond. The presenter replied he did not see that concern and said only one jurisdiction had used the bonding option under the temporary program; larger cities or counties were more likely to use it.
Following discussion, the committee moved and seconded the bill and voted to pass.
