Mayor Ward Koeser and Tate Cymbaluk, a co-chair on the committee, say the city sales tax has been a successful for the city and it’s important to keep it so city projects can be funded.
Cymbaluk said the sales tax has provided the city of Williston with $22.7 million for reducing city debt, improving infrastructure and creating jobs.
“We want to ensure that there’s the quality of life we’d like to enjoy, so kids will stay and live and work here,” said Cymbaluk.
Cymbaluk emphasized the June 9 sales tax vote does not produce a tax increase, but is an extension of the sales tax that has been in place since 1991. He said the tax is fair as it impacts all people who spend any money in Williston. He also said Williston is not the only city in the state that has some sort of sales tax. “It doesn’t discriminate, not against any individual or business entity. It’s no different than when you come here and spend than if you go to Dickinson or Tioga or elsewhere,” said Cymbaluk.
Koeser said the sales tax is important to maintain because it has reduced past debt and it a key part of the budget process each year. The funds it provides allow work on multiple projects each year.
“The way I see it, this is a critical issue. We can’t get all of the stuff done we want to each year as it is. I can’t imagine what we’d do without this sales tax,” Koeser said. “The only other option we’d have is a tax increase and there’d be a lot of opposition to that.”
The origins of the current tax go back to the early 1990s. In the late 1980s, the oil boom went bust and some people moved, leaving the city with more than $20 million in special assessment deficiency debt.
A committee was formed to find a way to reduce debt and raise money for infrastructure. Voters approved a one-cent city sales tax, with 75 percent of the money going to debt reduction and 25 percent for economic development. This lasted for four years.
In 1995, a five-year extension was approved by voters, this time with some changes. Up to $50,000 for economic development would be awarded for various community enhancement projects. If a major project such as a factory were to come to Williston, the city commission also could reallocate up to 75 percent of the tax for that project for a set number of years by a four-fifths vote.
The tax was given an extension through June 2010 in the year 2000. The committee is asking for it to be extended to June 2020.
Koeser said he’s been asked why have a vote on something that expires in 2010 a year early. He said it needs to be extended so it doesn’t cause any problems with projects in 2010.
“Our budgeting process for 2010 begins in August. We’d like to know if we have this extension so there aren’t any issues in the budgeting process and we know what we’re working with,” said Koeser.
Cymbaluk thinks the sales tax has produced good results and when people vote on the issue they’ll approve the extension because of those outcomes.
“Once we explain to people what it’s for, that it’s not a new tax, the response has been fairly positive,” said Cymbaluk.
Koeser said the sales tax has removed 60 mills from property tax levies since its inception. He said the money from the tax has also helped with numerous road and city infrastructure projects.
“The money we were able to put up kind of tipped the scales in our favor in some cases,“ said Koeser.
A public forum on the extension vote is at 10 a.m. Saturday at the Williston Community Library, 1302 Davidson Drive.
The vote on extending the city sales tax is June 9. Voting for all precincts is at the Raymond Family Community Center, 1102 11th St. West. Voting is from 8 a.m. to 7 p.m.
Absentee ballots can be obtained at city hall and must be postmarked before June 8.
Comments
Sic of taxes wrote on Jun 13, 2009 11:16 AM:
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Its a new tax wrote on Jun 4, 2009 8:20 PM:
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