Financial Impact Of Potential 1/2 Cent Sales Tax Repeal
Repeal measure on the Public Transit 1/2 Cent Sales Tax scheduled for November 2007 ballot:
If repeal is approved, tax ceases July 1, 2008 (FY2009 budget). Projected Revenue from ½ Cent Sales Tax in FY2009:
$77M Uses of the ½ Cent Sales Tax:
Service Scenarios and Resulting Impacts if ½ Cent Sales Tax Repealed:
Options to Cover a Loss of ½ Cent Sales Tax Revenue: A)Increase Property Taxes
B) Delete planned capital projects and cut General Fund services including Police, Fire, Solid Waste, and TransportationImpact to Capital Projects Reduction of $14.2M in planned, annual debt service results in elimination of $257M in capital projects No 2008 or 2010 bond referenda to fund major City capital project needs results in elimination of following projects: Road construction Sidewalks Neighborhood projects Affordable housing Roadway connectivity, traffic flow, bicycles, and bridges Examples of eliminated future road construction projects:
Impact to General Fund ServicesReduce or eliminate the following services ($9.6M to $72.9M): Police officers Judicial system support Fire companies Bulky waste collection Recycling collection Yard Waste collection Street right-of-way cleaning Street pothole repair Street repaving Street lighting Landscape maintenance CharMeck 311 customer service Area and Economic Development Plans Neighborhood action plans and community involvement After-school programs Small business and summer youth employment programs Stormwater capital projects contribution Outside agencies
| |
| Scenarios* | Service Impacts |
| 1. Reduced Bus Service Only (No Light Rail) | -No rail or trolley services -Fares increase 25% -Reduced hours of service -41 of 76 bus routes eliminated, including: 2 of 3 Gold Rush routes 7 of 32 local bus routes 16 of 20 Express bus route 16 of 17 Neighborhood Shuttles 4 routes wholly funded by outside organizations not affected -Reduced frequency on all remaining bus routes -No Sunday Service -Special Transportation Service (STS) Cut 40% -No funding for Dept. of Social Services busing -Half of vanpools eliminated |
| 2. Reduced Bus & South Corridor Rail Service Only (No Additional Corridors) | -Same bus service as in Scenario 1 -Wait times for South Corridor (LYNX Blue Line) services double to 15 minutes peak and 30 minutes off-peak -Fares increase 25% -Limited bus services feeding into rail line |
| 3. Current Bus Service & Planned South Corridor Rail Service Only (No Additional Corridors) | -No future corridors (Northeast, North, Southeast, West, and Center City) -No future bus or South Corridor improvements |
| 4. Continue 2030 Transit System Plan | -None |
| * A replacement funding source is required under all scenarios. |
| Scenarios | Amount of Replacement Funding Needed | Tax Rate Increase | Median Property Tax Bill Increase* |
| 1. Reduced Bus Service Only (No Light Rail) | $18.3M plus $306M to repay Feds and State | 2.6 cents | $42 |
| 2. Reduced Bus & South Corridor Rail Service Only (No Additional Corridors) | $25.4M | 3.6 cents | $58 |
| 3. Current Bus Service & Planned South Corridor Rail Service Only (No Additional Corridors) | $76.0M | 10.7 cents | $171 |
| 4. Continue 2030 Transit System Plan | $108.2M | 15.2 cents | $243 |
| * For comparison, median household ½ cent public transit sales tax expenditure is $39 annually (½ cent only). Average of the four median property tax bill increase scenarios outlined above is $129. |
| Community House Rd. | Oakdale Rd. | Robinson Church Rd. |
| Auten Rd. extension | Beaties Ford Rd. | Fred D. Alexander Blvd. |
| Idlewild Rd. | Statesville Rd. | Rea Rd. |










See What's Playing
Why pay full price when you can Just Pay Half?
Allen Hills is CMPD North Division "Neighborhood of the Month"
10 Ways To Boost Your Confidence
Pet Pictures... And More!
Protect Your Money
Take The Drama Out Of Home Buying
Where Should We Go For Dinner?


