City of Enterprise votes to raise sales tax rate - WSFA.com Montgomery Alabama news.

City of Enterprise votes to raise sales tax rate

ENTERPRISE, AL (WSFA) -

Residents in Enterprise will soon pay more in taxes after a new measure was approved by the city council to raise the city's sales tax rate.

The council voted unanimously to approve the increase, raising the rate from 8.5 to 9 percent. The half cent increase will generate $16 million to help fund an improvement plan for the Enterprise City School system.

The system will have to put up an additional $10 million, but the city will forgive a $7 million debt the school system owes it.

Mayor Kenneth Boswell said last week that he didn't see any downside to the proposed increase, calling it "an investment in our community."

"We feel like the students that are coming into kindergarten this year, they are going to graduate in 2026, so we kind of have to think about what do they need when they get out project at least 15 to 20 years down the road in our building plan and kind of do some futuristic planning," Enterprise City Schools Superintendent Camille Wright explained.

The improvement plans include safe entry points and storm shelters at schools that do not currently have them. There is also the possibility for a new junior high school.

A portion of the sales tax will also be earmarked to fill equipment and manpower needs for first responders in the city.

Estimates of about $2 million more per year will flow into the school system and the increase would remain in effect for 20 years. 

Copyright 2014 WSFA 12 News.  All rights reserved.

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