LAKEPORT >> The Lakeport City Council approved its staff’s recommendation to issue proposal requests to gather data, public opinion and perform community education for a possible sales tax increase in the November election.
According to Finance Director Dan Buffalo, the city is looking into a sales tax measure because funds from Measure I — enacted in 2005 and go into the general fund — cannot keep up with the rising costs to update Lakeport’s roads, let alone the other services paid for by the general fund. But in order to be successful, research and proper planning for the legislation’s strategy must be completed before the beginning of August as the deadline for submitting ballot measures is in the middle of that month.
“We are presenting both at the same time because of the timeframe in which we are working is significantly strained,” Buffalo said. “We have to start getting this going quickly and getting our ducks in a row.”
The main goal is to get input from the public like how much of an increase they will go for and what exactly they want for the city in the future.
Specifics about the measure won’t be solidified until the data is collected, but there are some ideas.
Buffalo said that it is most likely going to be a non-discretionary tax with monies going directly for the general fund, which provides cash for services like public works, public safety and parks. In fact, he claimed that 46 percent of the revenue for it comes from sales tax alone with property tax being a distant second. And with its uniqueness it can generate cash flow from non-residents.
“It diversifies your tax base, it’s not just limited to the people who live in Lakeport,” Buffalo added. “It spreads that sales tax base over a wider area and has less impact to each individual that enjoys those city services.”
The actual amount may hover around 0.25 percent, which according to him would replace the expiring Proposition 30 tax and keep it in the county.
Councilman Kenneth Parlet was supportive of the idea.
“It seems like such a no brainer to people who live here,” he said.
The city hopes to have a contract awarded in two weeks.
