At the Phenix City council meeting, council members discussed raising the city's sales tax.
The .75 percent increase had its first reading at council.
Mayor Sonny Coulter said it has been 15 years since city increased sales tax. The mayor said the city’s revenue hasn't increased, but demands for the city have along with the increased by population.
Coulter said he's confidence the tax increase will pass at council. The mayor said, “Practically the only way that a city can operate is to increase taxes and fees and that sort of thing. So the city as I said is in a situation where there is very little choice in what to do at this point.”
The motivations behind the additional taxes are major capital projects in city. Council announced projects requested by citizens for the past three years. Included in those is the new riverfront development of a Marriott hotel. Idle Hour Park is on the list for a facelift that will include a splash park and swimming pool.
City Manager Wallace Hunter said these projects are aimed to please all Phenix City residents. The city manager said, “We’re trying to rid the problem of taking care of some of the citizens and not all. We're taking care of everybody.”
Hunter said the new riverfront Troy University campus has to start on their development by December 11th.
Also slated to increase is the city’s hotel tax. The two percent increase will start on October first. All of the projects will cost the city $16 million to $20 million.
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