HUTCHINSON, Kan. — The ¼ cent sales tax that has been in place for more than 20 years will come back to a vote once again. The tax, which was first approved by voters in 1993, will be back on the ballot, asking city residents to extend it for another five years to 2024.
The sales tax provides about 30 percent of the funding for city street and sidewalk improvements. Another portion of it goes to the Cosmosphere and The Underground Salt Museum for ongoing operations and capital improvement. The rest is for property tax relief.
Dick Hollowell, CEO of the Cosmosphere, says the funding makes up about 18 percent of the operating budget and is about six percent of the Strataca budget. Both say the money is vital to their operations and pointed out the revenue that both generate from a tourist standpoint.
During Tuesday’s agenda session, the council wanted to stress that the proposal is not a tax hike, but simply keeping the ¼ cent tax on the books for another five years. The council also wanted to stress that the sales tax increases were approved overwhelmingly by the public and that they will have the say on it again in the November election.
If the public votes “no” on the tax proposal, the tax would drop off the books March 31, 2019.