Golden Valley Residents to Vote on Local Options Sales Tax for Capital Improvements
Voters in Golden Valley will have their say on a proposal for a 1.25 percent local option sales tax. The proposed tax increase would only apply to items that are currently taxable, not on items like clothing or grocery staples.
The revenue generated would go toward funding much needed capital improvements within the city, including several public works facilities that no longer meet industry standards.
“The cost of the public safety and public works building is estimated at $105 million and would be financed over 30 years with the revenue bond paid for by the sales tax that we receive from the 1.25 percent collected,” stated Sue Virnig, Golden Valley Finance Director.
Residents and Visitors Alike to Share in Cost of Municipal Improvements
Golden Valley plays host to thousands of visitors during the day. The city’s daytime population surpasses its nighttime population by more than 3.5 times over. A local option sales tax would mean the cost for improvements is shared among all visitors to the city, not just the residents.
In May, the Minnesota Legislature approved sending the local option sales tax to Golden Valley voters. That referendum will be voted on come November.
In the meantime the city is putting a priority on educating voters on the tax.
“We will be putting a lot on our website so people can check that out and there’s already a lot of the facility studies are out there too so that will help also they can call the city at any time for that information,” said Virnig.
RELATED: GOLDEN VALLEY PROPOSES SALES TAX INCREASE TO REPLACE AGING BUILDINGS
