Agenda Date: 06/10/2025
Subject:
Title
Capital Improvement Sales Tax Board Update
Body
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From: |
James L. Becklenberg, City Manager |
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Prepared by: |
Laurie Matta, Finance Director |
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Kevin Orton, Budget Manager |
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Brent Soderlin, Public Works & Utilities Director |
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Presentations: |
Capital Improvement Sales Tax Board Members |
PURPOSE:
The Capital Improvement Sales Tax Board will report to City Council on the use of 3A Capital Improvement Sales Tax funds for fiscal year 2024 (January 1, 2024, through December 31, 2024).
LONG-TERM OUTCOME(S) SERVED:
High-Quality Governance; Sustainable Community with Natural Beauty; Safe Community
DISCUSSION:
The November 2021 3A ballot measure created a dedicated $0.0075 sales tax increase to address backlogged capital improvement projects. The ballot measure also requires the city to report annually the expenditures and progress of backlogged infrastructure projects after review of a board or commission appointed by City Council.
The Capital Improvement Sales Tax Board was created to fulfill that requirement and will present the 2024 annual report to City Council.
BACKGROUND:
In July 2022, City Council created the Capital Improvement Sales Tax Board, and approved a charter and action plan, to fulfill the requirement that the city to annually report the expenditures and progress of backlogged infrastructure projects after review of a board or commission appointed by City Council.
In accordance with the Capital Improvement Sales Tax Citizen Board Charter and Action plan, city staff is required to prepare a report by March 31st outlining the following information
• Revenue generated by the 3A $0.0075 sales
• Comparison of yearly revenue since fund inception
• Projected sales tax revenue for the current fiscal year
• Utilization of money generated by the $0.0075 sales tax for the preceding calendar year. The report shall include
o Total spending
o Spending by major capital category
o Debt service
o Unallocated funds
o Funds to be rolled over into the next year
o Overhead allocated to design and construction projects
o Employee positions allocated to the 3A fund.
This requirement was fulfilled on March 31, 2025.
The Capital Improvement Sales Tax Board met on April 30, 2025 and May 29, 2025 to review the 2024 3A Sales Tax Annual Report and to review requested follow up. Additionally, the board reviewed and created a memo to present to City Council.
Prior Actions or Discussions
The Capital Improvement Sales Tax Board presented the 2023 annual report on June 10, 2024.
FISCAL IMPACTS:
N/A
STAFF RECOMMENDATION:
N/A
ALTERNATIVES:
N/A