From Deseret News archives:

Sales tax goes up for Cache Valley bus system

Published: Wednesday, Nov. 7, 2007 10:02 a.m. MST
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LOGAN — The Logan Municipal Council voted unanimously today to raise the sales tax for Cache Valley's bus system to 0.3 percent from 0.25 percent.

The increase is to make up for revenues lost when the Legislature eliminated sales taxes on unprepared foods earlier this year.

The council had postponed voting on the tax Oct. 30 after council members said they were worried that voters would defeat a proposition on Tuesday's ballot to raise the transit tax 0.25 percent. Council members said they were concerned that voters would be confused and reject the 0.25 percent increase if the city had already increased the transit tax 0.05 percent.

On Tuesday, however, 10 of 11 Cache County cities — including Logan — voted against raising the transit sales tax to fund expanded bus service. But Cache County voters did approve a 0.25 percent sales tax increase that will generate about $3 million to buy rights of ways and build new roads..

Many people viewed the road tax and the transit tax ballot measures as competing proposals, reflecting different visions of Cache Valley's future.

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For the tax increase approved today to go into effect Jan. 1, the city had to vote before Nov. 1, said Todd Beutler, Cache Valley Transit District's general manager.. But Beutler said he anticipates the State Tax Commission will still allow the tax to become effective Jan. 1.

Beutler said North Logan, Smithfield, Hyrum, Providence and Nibley have already approved the 0.05 percent hike.


E-mail: mikewennergren@yahoo.com

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