Tagged: local sales tax option

Louisville Mayor Greg Fischer will discuss his strategy to create a local sales tax option with members of the Metro Council this week.

Fischer has been lobbying state lawmakers and other leaders across Kentucky since July, saying the city needs the tool in the face of budget shortfalls.

The option would give Louisville voters the ability to vote for or against a sales tax increase to fund specific projects. Before that could happen, however, the measure needs a two-thirds vote in both chambers of the state legislature and a statewide referendum to amend the state constitution.

Democratic Caucus spokesman Tony Hyatt says his members are eager to hear the mayor outline his plan, adding they have serious questions about the sales tax options before showing support.

"What are you going to do with the money if it is passed and how long would such a local option tax be in place? Are you going to use it for infrastructure projects or to supplement the budget? The caucus would like to hear directly from the mayor what he plans to do with the money if the effort is successful," he says.

Mayor Fischer has been an outspoken proponent of a local sales tax option for the city. At the Kentucky Chamber of Commerce's annual meeting in July, he explained: 

Let’s say we want a new forensic crime lab in Louisville, costs $35 million dollars, could be public transportation, could be schools—but again they’re optional. So in other words the voters of your city, the voters of your county get to vote yes or no.

Louisville Mayor Greg Fischer continues to push for a local sales tax option to fund future city services and projects.

The option would make it easier for the city to pay for services in the face of budget shortfalls. Currently, the state must approve a ballot initiative to increase local taxes for specific projects. In 2007, Louisville voters rejected such a tax referendum to pay for an expansion of the Louisville Free Public Library by a resounding 2-to-1 margin.