City officials warn state ballot change could strip West Fork City of major sales-tax share

West Fork City officials said a pending state-level proposal that would allow counties to place measures changing the distribution of county-collected sales tax could substantially reduce the city’s revenues.

The treasurer reported sales-tax receipts were up about 18% year-over-year and estimated the city’s share of county sales tax at roughly $55,000 in January, or about $615,000 annually. The treasurer warned that if a county ballot measure changed distribution, “you’d lose that much money,” and that small cities could be hurt badly by such a change.

Council members described how county sales tax is collected across a county and then distributed, often by population or collection area, and said changes would shift money toward county-level services such as jails and courthouses. One council member said the proposal could “devastate every small town,” and emphasized limits that a new law could place on using county sales tax for bond payments — a change that would reduce cities’ ability to leverage future capital financing.

The treasurer urged residents and officials to contact legislators and the Municipal League, which has been tracking the bill. Council members said they had begun emailing state officials and expected pushback and clarification from legislators but advised members to voice concerns promptly.

What happens next: council did not take formal legislative action beyond encouraging outreach; members asked staff to continue monitoring the bill and to update the council when more details are available.