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County commissioner outlines proposed Transportation Benefit District that could raise sales tax up to 0.3%
Summary
Pend Oreille County Commissioner Brian Smiley briefed Newport’s council on a proposed Transportation Benefit District that could raise sales tax by up to 0.3 percent, generate an estimated $400,000–$600,000 annually, and distribute funds partly by population and partly through competitive requests; council indicated interest in moving forward.
Pend Oreille County Commissioner Brian Smiley told the Newport City Council on Feb. 2 that county leaders are considering creation of a Transportation Benefit District (TBD) that could raise local sales tax by up to 0.3 percentage point to fund transportation projects.
Smiley said the district is expected to generate roughly $400,000–$600,000 per year and that officials expect revenues would need to be accumulated for about three to four years before major projects could be funded. He described a potential governance and funding-distribution approach in which half the revenue would be distributed by population to the county and its towns and cities, while the other half would be placed in a fund that jurisdictions could apply to for project support. Smiley said the TBD board would include one elected representative from the county commissioners and one from each town and city.
Smiley said the TBD may be placed on a future ballot for voter approval. The council expressed interest in moving forward with creation of the district but took no formal action at the meeting.
Next steps: Commissioner Smiley’s briefing provides an early framework; the TBD proposal will require further design work, legislative or ballot steps, and decisions on revenue-sharing rules before any revenues are collected.
