Three first responder agencies are seeking a one-cent sales tax increase in the upcoming April election due to concerns at the state level regarding the possible reduction or elimination of future property taxes.
The Warrenton Fire Protection District, Wright City Fire Protection District and the Warren County Ambulance District are all seeking one-cent sales tax increases during the election April 7.
Warrenton Fire Protection District Chief Anthony Hayeslip said that for months the district’s board has been working with their accountant to crunch the numbers, considering the growing movement at the state level to eliminate or significantly reduce property taxes.
Hayeslip said the district decided to join other entities around the state in the movement to incorporate sales tax into the way the district collects property taxes.
Wright City Fire Chief Ron MacKnight said the movement is supported by local union officials and is a collaboration of several districts in the area to attempt to get ahead of potential reductions and property taxes. He said that part of the goal is to reduce the burden for the cost of services off of residents and spread it around to include people who also shop in the community.
Ambulance District Administrator Darren Lenk also said the goal in part is to help reduce some of the burden property owners are currently experiencing and spread costs out to a broader swath of people.
All three districts rely heavily on property tax revenues and each district said one of the reasons for the proposal is to diversify their pool of resources.
“It is driven by the scare of what is happening in state legislation,” Hayeslip said. “One of our goals is to put it out there for the public to decide, do you want to diversify the money coming into the district?”
MacKnight said that while the state is continuing its discussion about reducing or eliminating property taxes the state has not come up with a sustainable plan to continue a wide array of services. He said he personally wasn’t a fan of going out to a vote, but due to the enormity of the situation the district has to do what it can to sustain the organization.
Lenk said that for his district the same fear permeates discussions.
“There are fears around the reduction in property taxes,” Lenk said. “How are we going to survive?”
Hayeslip said the goal of the proposal is not the districts simply “seeking more money,” but is designed to protect the funds each district is currently receiving.
For Warrenton, Hayeslip said that the district anticipates the one-cent sales tax would generate roughly $1.6 million, however $800,000 of that would need to be reduced from property taxes, resulting in a lower rate for property owners.
MacKnight said their estimates are around $1.2 million, with half needing to be rolled back from property taxes.
Lenk said the figure for the ambulance district is approximately $3.2 million, with the same 50 percent rollback the other districts would experience.
Lenk noted that just like everything else, the expenses each district faces increases every year. As an example he said an ambulance now costs around $300,000 and takes his district two to three years to procure.
Hayeslip said that his district is currently in better shape than it has been in previous years, but noted that the proposed sales tax increase is to prevent the district from ending up in financial straits due to legislation at the state level.