The City of Newton is considering enacting two different taxes in the city that would in essence raise the city’s sales tax to 9 percent across the board.
The aldermen have been discussing the possibility of a tax increase on either restaurants or on food purchased in the city. Board attorney Brian Mayo presented the aldermen with two different resolutions to ask the state legislature to support and pass to help create the additional tax. If the legislature enacted either or both, the move would not require a referendum among city voters.
“The legislature would just authorize us to start collecting the taxes,” Mayo said. “We are just asking the legislature for the authorization to collect those taxes.”
One tax would enact a 2 percent sales tax on the sale of personal property items within the city limits. In addition to food, it would be any type of goods sold within the city, whether its cigarettes, beer, light wine, equipment, etc.
The other is a 2 percent tax for hotel rooms and prepared food at restaurants.
If both laws were enacted, the sales tax in effect would be increased to 9 percent inside the city limits. Currently, all of Newton County has a 7 percent sales tax.
No action was taken on the resolutions, but Mayor Murray Weems asked the aldermen to review the resolutions and consider making a decision at a future board meeting, possibly as early as January.
In other business, the aldermen:
• Will apply for a 80-20 trails grant for up to $120,000, the match of which would be about $30,000. They also selected Carter Miller Sansing to make drawings of the proposed trail.
• Will pay Neel-Shaffer $10,105 and $123,562.20 on the sewer improvement project, Allen & Hoshell $11,500 for engineering services and Walters Construction $158,737 when funds become available.
• Hired Brandon Lahr as a full-time, non-certified police officer at the rate of $11.50 per hour. Police Chief Harvey Curry said the city would send Lahr to the police academy so that he can become certified within the three-month timeframe required by the state.
