The Jones Board of Trustees will consider a resolution to call a special election during the Trustee meeting on Tuesday May 4, 2021 at 6:00 pm at Jones City Hall. If the resolution passes, Jones voters will be asked to consider a 1% Sales Tax Increase during a July 13, 2021 Special Election. If the proposition passes, the new tax rate would go into effect on October 1, 2021.
The Resolution states that the 1% Sales Tax increase would be used to fund capital expenditures for the use and benefit of the Town or for debt service related to capital expenditures. The funds could also be used by any public trust for which the Town is a beneficiary.
The funds would be used to update and replace critical infrastructure and ongoing needs. Mayor Ray Poland pointed out that with over 190 new approved rooftops that are slated to be built in the Town limits in the coming years, 61 of those that will be water/waste water customers. Of the 528 active water meters operating in Jones, there is already a projected 11.6% increase in demand on current systems. These numbers do not include the addition that is proposed behind Sonic, as this has not been approved by the Board of Trustees.
The Jones Sales Tax rate is currently 4%. Along with the 4.5% Sales Tax Rate charged by the State of Oklahoma, the total Sales Tax for Jones is 8.5%. If the voters pass the Proposition, the new Tax Rate would be 9.5%, effective October 1, 2021.
To compare the Tax Rate to neighboring communities, see the chart below:
To get an idea of the impact of the potential increase, the Total Sales Tax Collections for the Jones for Fiscal Year 2021 have been $762,336.23. This represents the Sales Tax Checks from July 2020 through April 2021. If the additional 1% would have been in effect during Fiscal Year 2021, the total amount collected would have been $952,920.29, an increase of $190,584.06 or 25%.
Representatives from Municipal Finance Services Inc will give a presentation during the meeting. Mayor Ray Poland has encouraged any with questions to attend the Trustee Meeting at 6:00 on Tuesday May 4, 2021.
To see the actual language that will go before the trust, see the links below:
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