If approved by voters, a 1-cent sales tax increase in Ignacio would be used for capital improvement projects in town, such as water, gas, sewer, irrigation and street improvements.
The town’s board of trustees approved putting the question to voters on the spring ballot, along with the election for the mayor’s position and three board positions.
The board approved putting the measure on the ballot at its Dec. 11 board meeting.
At the high end, the sales tax would bring in an estimated $225,000 per year, said Mark Garcia, the town’s interim manager. It would bring the town’s sales tax from 2 percent to 3 percent. There is no sunset on the tax increase.
“We’re just trying to catch up with maintenance that’s been deferred for years,” he said.
The town staff and board have been leveraging grant funding for years, but the grants often require a local match, and the increased sales tax could help pay for that, Garcia said.
“It would help us to be able to complete more projects that are needed,” he said,
The town recently completed a five-year capital improvements program.
“We need to address some of our own infrastructure needs,” Garcia said.
The election will be held at the polls, not via mail, he said.
Trustees haven’t heard of anyone starting a campaign to endorse the measure, but they might ask local businesses or residents to help support the measure by forming an interest committee.
In other action, the town approved its 2018 budget, with expected revenues of $3.65 million, and $3.89 million in expenditures. The budget includes a 5 percent pay increase for town employees.
