November 20, 2008

Debate on tax distribution continues

By Julie Arbach

Closing out the year with a balance of $145,000, city commissioners discussed establishing a clear direction as to how Sales and Use Tax collections will be spent in the future. Before directly addressing Adam’s request, Commissioner Steve Cottingham said he would like to see Underwood’s Area Economic Development Corporation put in a budget request and see to it that they get their portion off the top. "I’d like to see 30 or 40 percent go into a grant pool or low interest or a matching fund type pool," said Cottingham. In doing so, Cottingham said it would allow the commission to direct how money is spent. As an example, he said, fixing up store fronts could be given grant money. Once downtown is fixed up, the commission could direct more dollars to services. Weisenburger said the committee would like to turn the application process over to the UAEDC. In researching other communities, Weisenburger said other towns put money into a grant pool and award it once per year. In his proposal Weisenburger said the Sales and Use Tax Committee would still address the non-profit organizations’ requests for money.



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