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Published on Friday, January 15, 2016

Proposal caps water and sewer utility taxes

On Monday, January 18, the Senate Government Operations & Security Committee will consider SB 6115, a proposal to cap the city utility tax rate on water and sewer businesses at six percent. The limit could be exceeded only with voter approval. If a city utility tax rate is already greater than six percent, the city must decrease the rate to six percent by annually reducing the rate by one-tenth of the difference between the current tax rate and six percent. A city would not be required to reduce a current tax above six percent if it was implemented with voter approval.

AWC is strongly opposed to this proposal and will testify against this restriction on traditional city taxing authority.

Categories: Budget & finance