Voters to decide on a sales tax increase

The Covington Transportation Benefit District wants to fund local road repair projects by increasing the city’s sales tax by 0.2 percent through Proposition 1, which will go out to the voters in April

The Covington Transportation Benefit District wants to fund local road repair projects by increasing the city’s sales tax by 0.2 percent through Proposition 1, which will go out to the voters in April.

The sales tax rate is currently 8.6 percent and is the largest source of city revenue according to the city’s website.

An increase of 0.2 percent would make a $15 purchase (pre-tax) increase by 3 cents for the consumer, $16.29 to $16.32. For the city that 0.2 percent is estimated to bring in about $750,000 per year for the next 10 years when it will expire.

According to Regan Bolli, city manager, the money generated from the increase would provide “dedicated funding” for street maintenance, eliminate the $250,000 annual subsidy from the general fund to the street fund and address the issue of aging sidewalks in Covington.

Bolli said, “(The proposition) would also allow for a city-wide assessment identifying repair needs, priorities and gaps in pedestrian accessibility.”

Unless the city receives a grant, it currently does not do any street projects or overlays except for “limited pavement repair” because of a lack of funds, according to the city’s website. In addition, reserves in the city’s street fund are expected to run out by 2017.

In November 2013, the Transportation Benefit District tried running the same sales tax increase, but it failed by 39 votes.

Bolli said he is hopeful this year’s outcome will be different.

The City Council passed a resolution Feb. 10 in support of the proposition.

Ballots for the April 28 special election will mailed to voters in early April, according to King County Election’s website.